DB:3LN

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Live Nation Entertainment

Executive Summary

Live Nation Entertainment, Inc. operates as a live entertainment company. More Details

Rewards

Trading at 21% below our estimate of its fair value

Earnings are forecast to grow 89.21% per year

Risk Analysis

No risks detected for 3LN from our risk checks.


Snowflake Analysis

High growth potential and slightly overvalued.


Similar Companies

Share Price & News

How has Live Nation Entertainment's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 3LN has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-12.0%

3LN

-11.0%

DE Entertainment

-7.3%

DE Market


1 Year Return

-30.4%

3LN

-30.9%

DE Entertainment

-7.7%

DE Market

Return vs Industry: 3LN matched the German Entertainment industry which returned -31.3% over the past year.

Return vs Market: 3LN underperformed the German Market which returned -6.6% over the past year.


Shareholder returns

3LNIndustryMarket
7 Day-12.0%-11.0%-7.3%
30 Day-8.4%-7.7%-7.7%
90 Day7.0%6.4%-4.5%
1 Year-30.4%-30.4%-30.8%-30.9%-4.8%-7.7%
3 Year20.0%20.0%-11.5%-14.2%-9.2%-17.2%
5 Year77.2%77.2%8.5%1.2%11.4%-4.5%

Price Volatility Vs. Market

How volatile is Live Nation Entertainment's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Live Nation Entertainment undervalued compared to its fair value and its price relative to the market?

21.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 3LN (€42.46) is trading below our estimate of fair value (€53.77)

Significantly Below Fair Value: 3LN is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 3LN is unprofitable, so we can't compare its PE Ratio to the XE Entertainment industry average.

PE vs Market: 3LN is unprofitable, so we can't compare its PE Ratio to the German market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 3LN's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 3LN is overvalued based on its PB Ratio (30.8x) compared to the DE Entertainment industry average (1.3x).


Next Steps

Future Growth

How is Live Nation Entertainment forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

89.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 3LN is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (0.2%).

Earnings vs Market: 3LN is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: 3LN's is expected to become profitable in the next 3 years.

Revenue vs Market: 3LN's revenue (35% per year) is forecast to grow faster than the German market (5.9% per year).

High Growth Revenue: 3LN's revenue (35% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 3LN is forecast to be unprofitable in 3 years.


Next Steps

Past Performance

How has Live Nation Entertainment performed over the past 5 years?

-30.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 3LN is currently unprofitable.

Growing Profit Margin: 3LN is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 3LN is unprofitable, and losses have increased over the past 5 years at a rate of 30.4% per year.

Accelerating Growth: Unable to compare 3LN's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 3LN is unprofitable, making it difficult to compare its past year earnings growth to the Entertainment industry (44.5%).


Return on Equity

High ROE: 3LN has a negative Return on Equity (-75.08%), as it is currently unprofitable.


Next Steps

Financial Health

How is Live Nation Entertainment's financial position?


Financial Position Analysis

Short Term Liabilities: 3LN's short term assets ($4.4B) exceed its short term liabilities ($3.5B).

Long Term Liabilities: 3LN's short term assets ($4.4B) do not cover its long term liabilities ($7.1B).


Debt to Equity History and Analysis

Debt Level: 3LN's debt to equity ratio (484.4%) is considered high.

Reducing Debt: 3LN's debt to equity ratio has increased from 120% to 484.4% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 3LN has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if 3LN has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is Live Nation Entertainment current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 3LN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate 3LN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 3LN's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 3LN's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 3LN's dividend in 3 years as they are not forecast to pay a notable one for the German market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

13.0yrs

Average management tenure


CEO

Michael Rapino (54 yo)

15.17yrs

Tenure

US$14,563,122

Compensation

Mr. Michael Rapino has been the Chief Executive Officer and President of Live Nation Entertainment, Inc. since August 2005. Mr. Rapino serves as Chief Executive Officer and President at Live Nation Merchan ...


CEO Compensation Analysis

Compensation vs Market: Michael's total compensation ($USD14.56M) is above average for companies of similar size in the German market ($USD5.19M).

Compensation vs Earnings: Michael's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Michael Rapino
President15.17yrsUS$14.56m1.21%
$ 109.7m
Joe Berchtold
President2.83yrsUS$4.03m0.40%
$ 36.0m
Kathy Willard
Chief Financial Officer13.08yrsUS$2.94m0.12%
$ 11.0m
Brian Capo
Chief Accounting Officer & Senior VP12.83yrsUS$616.91k0.0046%
$ 420.4k
Michael Rowles
Executive VP14.58yrsUS$2.05m0.091%
$ 8.2m
Maili Bergman
Senior Vice President of Investor Relationsno datano datano data
Carrie Davis
Chief Communications Officer5.08yrsno datano data
Amy Marks
Executive VP & Head of Integrated Marketing2.17yrsno datano data
Mark Campana
Chief Operating Officer of US Concertsno datano datano data
Michelle St. John
Senior Vice President of Field Services - Los Angelesno datano datano data
Russell Wallach
President of Sponsorship & Advertising Divisionno datano datano data
Arthur Fogel
Chairman of Global Music Group & President of Global Touring Division15.75yrsno datano data

13.0yrs

Average Tenure

54yo

Average Age

Experienced Management: 3LN's management team is seasoned and experienced (13 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Michael Rapino
President15.17yrsUS$14.56m1.21%
$ 109.7m
Randall Mays
Independent Director15.75yrsUS$255.58k0.066%
$ 5.9m
James Kahan
Independent Director13.08yrsUS$258.58k0.045%
$ 4.0m
Jeffrey Hinson
Independent Director14.83yrsUS$276.58k0.032%
$ 2.9m
Gregory Maffei
Non-Executive Chairman of the Board7.58yrsUS$379.28k0.045%
$ 4.1m
Ping Fu
Independent Director2.33yrsUS$258.58k0.0059%
$ 529.8k
Ariel Emanuel
Independent Director13.08yrsUS$246.58k0.0032%
$ 292.0k
Mark Shapiro
Independent Director11.92yrsUS$252.58k0.021%
$ 1.9m
Dana Walden
Independent Director2.33yrsUS$237.58k0.0048%
$ 434.9k
James Iovine
Independent Director5.83yrsUS$252.58k0.014%
$ 1.3m
Maverick Carter
Independent Director1.83yrsUS$237.58k0.0048%
$ 431.3k
Chad Hollingsworth
Independent Director0.33yrno data0.0021%
$ 190.8k

9.8yrs

Average Tenure

57.5yo

Average Age

Experienced Board: 3LN's board of directors are considered experienced (9.8 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Live Nation Entertainment, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Live Nation Entertainment, Inc.
  • Ticker: 3LN
  • Exchange: DB
  • Founded: 2005
  • Industry: Movies and Entertainment
  • Sector: Media
  • Market Cap: US$10.536b
  • Listing Market Cap: US$9.041b
  • Shares outstanding: 212.13m
  • Website: https://www.livenationentertainment.com

Number of Employees


Location

  • Live Nation Entertainment, Inc.
  • 9348 Civic Center Drive
  • Beverly Hills
  • California
  • 90210
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LYVNYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2005
3LNDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2005
0JVDLSE (London Stock Exchange)YesCommon StockGBUSDDec 2005
LYV *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNDec 2005
L1YV34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 5 REPR 1 COM NPVBRBRLOct 2020

Biography

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 ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 20:58
End of Day Share Price2020/10/29 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.