Live Nation Entertainment, Inc. LYV is scheduled to report third-quarter 2026 results on Nov. 5.
LYV’s earnings beat the Zacks Consensus Estimate in two of the trailing four quarters, and missed twice, the average surprise being 5.4%.
Trend in the Estimate Revision of LYV
The Zacks Consensus Estimate for third-quarter earnings per share (EPS) is pegged at $1.50, indicating growth of 105.5% from 73 cents reported in the year-ago quarter.
Live Nation Entertainment, Inc. Price and EPS Surprise
Live Nation Entertainment, Inc. price-eps-surprise | Live Nation Entertainment, Inc. Quote
For revenues, the consensus mark is pegged at nearly $9.57 billion, suggesting an increase of 12.6% from the prior-year quarter’s figure.
Let's look at how things have shaped up in the quarter.
Factors Likely to Shape Live Nation’s Quarterly Results
Live Nation’s third-quarter revenue performance is likely to have benefited from robust global concert demand and higher fan attendance. Management expects double-digit year-over-year fan growth in both the United States and international markets during the quarter. Healthy ticket purchasing across geographies, genres and venue types, along with concert cancellations running below historical levels, is also likely to have supported the company’s concert business.
Venue Nation is likely to have remained an important top-line contributor. Amphitheater attendance growth is expected to have been weighted toward the second half of the year, with approximately 70% of annual amphitheater fan growth occurring during that period. Higher attendance, coupled with healthy on-site spending across food, beverages and premium offerings, is likely to have supported venue-level revenues. Newer amphitheaters and premium offerings are also likely to have contributed to performance.
Ticketmaster is likely to have supported revenues through higher global concert activity and continued international expansion. Fee-bearing ticket volumes are likely to have benefited from greater utilization of arenas and stadiums, while expansion across Latin America and Asia-Pacific is expected to have expanded Ticketmaster’s international reach. Additional venue activity and increased touring across international markets are likely to have supported ticketing volumes.
For the third quarter, the Zacks Consensus Estimate for concert revenues is pegged at $8.24 billion, up from $7.28 billion reported a year ago. The consensus estimate for Ticketing revenues is pegged at $812.5 million, up from $797.6 million in the prior-year quarter.
Live Nation’s third-quarter profitability is likely to have benefited from a favorable mix of attendance growth toward operated venues, which management identified as an important foundation for margin expansion. Higher on-site spending and continued momentum at Ticketmaster are also likely to have supported performance.
However, limited stadium availability is likely to have constrained Live Nation’s U.S. concert activity during the early part of the third quarter. Management indicated that the timing and mix of concert activity can vary across quarters.
What Our Model Says About LYV Stock
Our proven model does not conclusively predict an earnings beat for Live Nation this time. A stock needs to have a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) to beat earnings. However, that's not the case here.
LYV’s Earnings ESP: Live Nation has an Earnings ESP of +0.62%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Live Nation’s Zacks Rank: The company currently has a Zacks Rank #5 (Strong Sell).
Stocks With the Favorable Combination
Here are some stocks from the Zacks Consumer Discretionary sector that investors may consider, as our model shows that they have the right combination of elements to post an earnings beat.
Fox Corporation FOX currently has an Earnings ESP of +9.09% and a Zacks Rank of 1. You can see the complete list of today’s Zacks #1 Rank stocks here.
For the to-be-reported quarter, FOX is expected to register a 28.1% increase in earnings. FOX reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 35.9%.
American Public Education, Inc. APEI currently has an Earnings ESP of +1.56% and a Zacks Rank of 2.
APEI’s earnings for the to-be-reported quarter are expected to decrease 13.3%. American Public Education reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 150.9%.
Planet Fitness, Inc. PLNT currently has an Earnings ESP of +0.53% and a Zacks Rank of 3.
PLNT’s earnings for the to-be-reported quarter are expected to remain flat. Planet Fitness reported better-than-expected earnings in each of the trailing four quarters, the average surprise being 9.3%.
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Live Nation Entertainment, Inc. (LYV): Free Stock Analysis Report
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Fox Corporation (FOX): Free Stock Analysis Report
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This article originally published on Zacks Investment Research (zacks.com).