Live Nation Earnings: Demand for Live Entertainment Remains Strong, but a Slowdown Is Likely

As narrow-moat Live Nation’s fourth-quarter results demonstrated, consumers still yearn for live events. We think growth will continue but at a slower rate, assuming further deceleration in inflation through 2024 and the gradual reversion to prepandemic consumer behavior. On the ticketing front, total tickets sold continued to increase, driven mainly by a higher number of events. Within sponsorship, ad spending remained strong, but we do expect growth deceleration going forward. We are maintaining our $105 fair value estimate.