Live Nation

Live Nation Entertainment presents itself as the largest live entertainment business in the world with over 310 million fans. Read more about LYV stock ...

Our live entertainment business depends in part on our ability to anticipate the tastes of consumers and to offer events that appeal to them. The resulting free cash flow would grow from $489 million in 2022 to $914 million in 2028. Our business is highly sensitive to rapidly changing public tastes and is dependent on the availability of popular artists and events. In December 2021 we acquired OCESA, one of the most prominent live event businesses globally with a robust business portfolio in ticketing, sponsorship, food and beverage, merchandise, and venue operations across Mexico and Latin America. Source: 10-K We will continue to drive growth in our sponsorship relationships and capture a larger share of the global music sponsorship market by further monetizing our fan base and portfolio of brands. With that, Live Nation Entertainment grew by even more than 19% in the past because the business model is not only about selling tickets. In my view, Live Nation Entertainment has sufficient cash to invest in these initiatives: As of March 31, 2022, long-term debt is equal to $5.1 billion, and the short-term debt stands at $0.6 billion. In my view, if management keeps reporting positive net income from 2024, we could expect the stock price to trend higher: Transacted ticketing gross transaction value, excluding refunds, was approximately $6.3 billion in the first quarter of 2022, the company's second highest quarter ever after the fourth quarter of 2021 and 39% higher than the first quarter of 2019. I believe that we could expect impressive revenue growth as the ticketing gross transaction value is growing at a double digit in 2022. If the company continues to offer new shows and products, and establishes new relationships with artists, Live Nation's stock valuation will likely trend north.