tiprankstipranks
Live Nation Comes Under Fire in Congress Hearings
Market News

Live Nation Comes Under Fire in Congress Hearings

When Congressional hearings start up around your business, it’s definitely a hard-swallowing moment. That’s likely what’s happening with Live Nation Entertainment (NYSE:LYV) as it sweats its way through a Senate Judiciary Committee hearing. Investors are relatively unfazed, however, as the stock is only down slightly in Wednesday afternoon trading.

The hearings in question trace back to a show put on by Taylor Swift, known as the Eras tour. Tickets sold so rapidly that the entire platform began to buckle. Regular fans were left out in the cold, while huge blocs of tickets went to those who bought them strictly for resale. Prices shot up into the stratosphere as the show quickly sold out. That prompted a full Congressional investigation, where numerous congresspersons seized the chance to draw young voters toward their upcoming re-election campaigns.

Worse yet, Live Nation’s own competitors took advantage of the chance to get one over on the company. SeatGeek, a privately-held ticketing company, called for a forced breakup of Live Nation into its component parts. Jam Productions, a Chicago concert venue operator, made similar calls and discussed Live Nation’s market dominance to the point where many wondered if Live Nation was, indeed, an illegal monopoly.

Regardless of Congress’ stance, Wall Street cheers Live Nation stock, even if in a somewhat subdued way. Analyst consensus calls it a Moderate Buy. Thanks to its average price target of $96.17 per share, Live Nation stock has 25.73% upside potential.

Disclosure

Trending

Name
Price
Price Change
S&P 500
Dow Jones
Nasdaq 100
Bitcoin

Popular Articles