Live Nation Entertainment, Inc. (LYV) | Investment Case

1. Company Snapshot

1.a. Company Description

Live Nation Entertainment, Inc.operates as a live entertainment company.It operates through Concerts, Ticketing, and Sponsorship & Advertising segments.

The Concerts segment promotes live music events in its owned or operated venues, and in rented third-party venues; operates and manages music venues; produces music festivals; creates associated content; and offers management and other services to artists.The Ticketing segment manages the ticketing operations, including the provision of ticketing software and services to clients for tickets and event information through its primary websites livenation.com and ticketmaster.com, as well as provides ticket resale services.This segment sells tickets for its events, as well as for third-party clients in various live event categories, such as arenas, stadiums, amphitheaters, music clubs, concert promoters, professional sports franchises and leagues, college sports teams, performing arts venues, museums, and theaters through websites, mobile apps, and ticket outlets.

The Sponsorship & Advertising segment sells international, national, and local sponsorships and placement of advertising, including signage, promotional programs, rich media offering that comprise advertising related with live streaming and music-related content; and ads across its distribution network of venues, events, and websites.This segment also manages the development of strategic sponsorship programs, as well as develops, books, and produces custom events or programs for specific brands.As of December 31, 2021, it owned, operated, or leased 165 entertainment venues in North America and 94 entertainment venues internationally.

The company was formerly known as Live Nation, Inc.and changed its name to Live Nation Entertainment, Inc.in January 2010.

Live Nation Entertainment, Inc.was incorporated in 2005 and is headquartered in Beverly Hills, California.

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1.b. Last Insights on LYV

Live Nation Entertainment, Inc.'s recent performance was negatively impacted by a Q3 earnings miss, with earnings per share of $0.73, below the Zacks Consensus Estimate of $1.21. The company's revenue growth was driven by packed venues and robust ticket sales, but rising costs pressured margins. A price target reduction by Deutsche Bank ahead of Q3 earnings, citing potential regulatory overhangs, also affected the stock. The company's Q3 results showed a year-over-year decline, missing Wall Street estimates. (Source: Zacks Consensus Estimate, Deutsche Bank)

1.c. Company Highlights

Last Price	139.68
Change Percentage	2.70%
Open	136.54
Previous Close	136.01
Market Cap ( Millions)	32435
Volume	3509646
Year High	175.25
Year Low	112.88
M A 50	146.1
M A 200	144.91

FCF Yield	4.96%
Dividend Yield	0.00%
ROE	309.84%
Debt / Equity	1800.88%
Net Debt / EBIDTA	143.24%
Price To Book	62.17
Price Earnings Ratio	36.05
Price To FCF	20.15
Price To sales	1.32
EV / EBITDA	19.04

2. Live Nation's Q3 2025 Earnings: A Strong Performance

Live Nation reported an impressive third quarter with revenue up 11% to an undisclosed figure, operating income up 24%, and Adjusted Operating Income (AOI) growth of 14%. Earnings per share (EPS) came in at $0.73, missing estimates of $1.31. The company's diversified platform drove the success, with some markets overperforming and others underperforming. As Joe Berchtold mentioned, "we are confident in a strong 2026, with a mix of international and domestic growth."

Publication Date: Nov -14

                                    📋 Highlights
                                    Revenue & Profit Growth::
                                                Q3 2025 revenue rose 11%, operating income up 24%, and AOI grew 14%, driven by a diversified platform with mixed market performance.
Ticketmaster Anti-Scalping Measures::
                                                Shutdown of Trade Desk and deployment of identity verification tools to combat scalping, with optimism about reducing high-risk accounts.
Concert Segment AOI Dynamics::
                                                AOI growth fueled by stadium shows (+) and cyclical decline in amphitheater shows (-), with 2026 pipeline optimism.
Regulatory Confidence::
                                                Executives confident in case against FTC, citing Google remedies as validation; no breakup risk to Live Nation-Ticketmaster merger.

                                

Segment Performance

The concert segment AOI growth was driven by an increase in stadium shows, which offset a decline in amphitheater shows. The company attributes the decline in amphitheater shows to a cyclical trend and is optimistic about the pipeline for 2026. On the Ticketmaster side, efforts to combat ticket scalping continued, with the shutdown of Trade Desk and deployment of identity verification tools to cancel high-risk accounts.

Regulatory Landscape

Live Nation discussed their dialogue with the FTC and DOJ, expressing confidence in their case against the FTC. The company believes that the remedies decision in the Google search case validates their view that the claims in their case will not lead to a breakup of Live Nation and Ticketmaster.

Valuation and Growth Prospects

With a P/E Ratio of 35.31 and an EV/EBITDA of 18.68, the market seems to be pricing in significant growth. Analysts estimate next year's revenue growth at 9.6%. The company's return on invested capital (ROIC) stands at 11.64%, indicating a decent return on investment. The current valuation metrics suggest that the market has high expectations for Live Nation's future performance.

Future Outlook

Michael Rapino stated that the business has "incredible growth ahead of it," driven by the increasing popularity of live shows. Sponsorship numbers have grown 14% year-over-year, and the company expects continued growth in this area. The venue pipeline and international fan growth are also expected to contribute to the company's growth story.

Economic Sensitivity and Sponsorship

Rapino mentioned that the company has not seen any signs of bimodal behavior, where high-end consumers spend more while low-end consumers pull back. The diverse business model, including clubs, arenas, festivals, and stadiums, is contributing to the growth, with all levels of consumers participating. Sponsorship numbers are expected to continue growing as brands want to be part of live events.

3. NewsRoom

Berman Tabacco Announces Investigation of Live Nation Entertainment, Inc. (NYSE:LYV)

Dec -02

Source: globenewswire.com

HALPER SADEH LLC ENCOURAGES LIVE NATION ENTERTAINMENT, INC. SHAREHOLDERS TO CONTACT THE FIRM TO DISCUSS THEIR RIGHTS

Nov -30

Source: prnewswire.com

Stocks on the move and Calls of the Day: Zoom, Applied Materials, Snowflake, Live Nation and more

Nov -25

Source: youtube.com

Daniel Loeb's Strategic Moves: A Closer Look at Norfolk Southern Corp's 5.52% Portfolio Impact

Nov -14

Source: gurufocus.com

Global Report Surveying 40,000 People Finds Live Music Is the World's Favorite Form of Entertainment

Nov -11

Source: prnewswire.com

Berman Tabacco Announces Investigation of Live Nation Entertainment, Inc. (NYSE:LYV)

Nov -10

Source: globenewswire.com

Johnson Fistel Continues Investigation on Behalf of Live Nation Entertainment, Inc. Shareholders

Nov -10

Source: globenewswire.com

3 Big Earnings Misses: Is It Time to Buy the Dip?

Nov -09

Source: marketbeat.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (6.59%)

6. Segments

Concerts

Expected Growth: 7%

Live Nation Entertainment, Inc.'s 7% growth in concerts is driven by increasing demand for live events, strategic acquisitions, and expansion into new markets. Additionally, the company's focus on festival and ticketing platforms, such as Ticketmaster, has contributed to revenue growth. Furthermore, the rise of experiential entertainment and the growing popularity of music festivals have also fueled this growth.

Ticketing

Expected Growth: 5%

Live Nation Entertainment's ticketing segment growth is driven by increasing demand for live events, strategic acquisitions, and expansion into new markets. The company's strong brand portfolio, including Ticketmaster, and its ability to offer exclusive ticketing deals to popular artists and festivals also contribute to its growth. Additionally, investments in digital ticketing platforms and data analytics enhance the fan experience, driving ticket sales and revenue growth.

Sponsorship & Advertising

Expected Growth: 4%

Live Nation Entertainment's 4% growth in Sponsorship & Advertising is driven by increasing demand for live events, strategic partnerships with brands, and expansion into new markets. Additionally, the company's data-driven approach to targeting high-value sponsors and advertisers, as well as its ability to offer unique brand activation opportunities, contribute to this growth.

Other & Eliminations

Expected Growth: 3%

Live Nation Entertainment's Other & Eliminations segment growth is driven by increasing ticketing fees, higher revenue from ticket resale, and growth in advertising and sponsorship sales. Additionally, the company's expansion into new markets and strategic partnerships contribute to the segment's growth.

7. Detailed Products

Concerts

Live Nation Entertainment, Inc. promotes and produces live concerts and events featuring top artists and bands across various genres.

Ticketing

Live Nation Entertainment, Inc. provides ticketing services through its subsidiary Ticketmaster, allowing fans to purchase tickets to events online or at the box office.

Sponsorship and Advertising

Live Nation Entertainment, Inc. offers sponsorship and advertising opportunities to brands, allowing them to reach a large and engaged audience.

Venue Management

Live Nation Entertainment, Inc. owns, operates, and manages a portfolio of iconic venues, providing a unique and memorable experience for fans.

Artist Nation

Live Nation Entertainment, Inc. provides artist management services, supporting artists in their careers and helping them to achieve success.

Festivals

Live Nation Entertainment, Inc. produces and promotes music festivals, featuring a diverse lineup of artists and activities.

8. Live Nation Entertainment, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Live Nation Entertainment, Inc. faces moderate threat from substitutes, as customers have limited alternatives for live entertainment experiences. However, the rise of virtual events and online concerts may pose a threat in the future.

Bargaining Power Of Customers

Live Nation Entertainment, Inc. has a diverse customer base, which reduces the bargaining power of individual customers. Additionally, the company's strong brand and unique experiences limit customers' ability to negotiate prices.

Bargaining Power Of Suppliers

Live Nation Entertainment, Inc. relies on a network of suppliers, including venues, artists, and vendors. While the company has some bargaining power, suppliers can still exert pressure, particularly if they are essential to the business.

Threat Of New Entrants

The live entertainment industry has high barriers to entry, including significant capital requirements and complex logistical operations. This limits the threat of new entrants and allows Live Nation Entertainment, Inc. to maintain its market position.

Intensity Of Rivalry

The live entertainment industry is highly competitive, with multiple players vying for market share. Live Nation Entertainment, Inc. faces intense rivalry from other promoters, venues, and event organizers, which can lead to pricing pressure and competition for talent.

9. SWOT Analysis

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

	Value
Debt Weight	100.20%
Debt Cost	5.06%
Equity Weight	-0.20%
Equity Cost	10.66%
WACC	5.05%
Leverage	-49206.46%

11. Quality Control: Live Nation Entertainment, Inc. passed 4 out of 9 key points

Strong Liquidity

Low Debt

Strong Interest Coverage

Healthy Cash Flow

Operating Efficiency

Strong Return On Equity

Consistent Revenue Growth

Consistent Operating Cash Flow Growth

Margin Improvement

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

News Corp

A-Score: 5.9/10

Value: 5.5

Growth: 5.1

Quality: 7.4

Yield: 2.0

Momentum: 6.5

Volatility: 9.0

1-Year Total Return ->

Madison Square Garden Sports

A-Score: 5.6/10

Value: 6.4

Growth: 4.9

Quality: 6.4

Yield: 1.0

Momentum: 6.0

Volatility: 8.7

1-Year Total Return ->

Sirius XM

A-Score: 5.5/10

Value: 8.6

Growth: 3.8

Quality: 7.0

Yield: 7.0

Momentum: 2.5

Volatility: 4.3

1-Year Total Return ->

Live Nation Entertainment

A-Score: 5.3/10

Value: 2.0

Growth: 8.3

Quality: 4.8

Yield: 0.0

Momentum: 8.5

Volatility: 8.3

1-Year Total Return ->

Warner Music

A-Score: 5.2/10

Value: 1.3

Growth: 6.4

Quality: 4.8

Yield: 4.0

Momentum: 6.5

Volatility: 8.3

1-Year Total Return ->

Endeavor Group Holdings

A-Score: 3.6/10

Value: 4.3

Growth: 3.8

Quality: 2.3

Yield: 0.0

Momentum: 5.0

Volatility: 6.0

1-Year Total Return ->

Peers Metrics

12.e Scoring ^Insights

12.f DCF ^BETA

Parameters

Short Term Growth

-1.06%

Short term Time

10.0

Long-Term Growth

2.00%

WACC

5.05%

Live Nation Entertainment, Inc. - US5380341090

1. Company Snapshot

1.a. Company Description

1.b. Last Insights on LYV

1.c. Company Highlights

Higher Growth

Medium Volatility

Average Yield

Earnings Miss

Revenues Beats

Less Volatile

Average Quality

Revenues Miss

Earnings Beats

Expensive

Strong Momentum

2. Live Nation's Q3 2025 Earnings: A Strong Performance

Segment Performance

Regulatory Landscape

Valuation and Growth Prospects

Future Outlook

Economic Sensitivity and Sponsorship

3. NewsRoom

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (6.59%)

6. Segments

Concerts

Expected Growth: 7%

Ticketing

Expected Growth: 5%

Sponsorship & Advertising

Expected Growth: 4%

Other & Eliminations

Expected Growth: 3%

7. Detailed Products

Concerts

Ticketing

Sponsorship and Advertising

Venue Management

Artist Nation

Festivals

8. Live Nation Entertainment, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Bargaining Power Of Customers

Bargaining Power Of Suppliers

Threat Of New Entrants

Intensity Of Rivalry

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

11. Quality Control: Live Nation Entertainment, Inc. passed 4 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

139.68$

Current Price

139.68$

Potential

-0.00%

Expected Cash-Flows

12.e Scoring ^Insights

12.f DCF ^BETA