Yahoo Finance Live Nation (LYV) Q2 Earnings Report Preview: What To Look For
Live events and entertainment company Live Nation (NYSE:LYV) will be reporting earnings tomorrow after market close. Here's what to look for.
Live Nation beat analysts' revenue expectations by 16.6% last quarter, reporting revenues of $3.8 billion, up 21.5% year on year. It was a mixed quarter for the company, with a miss of analysts' earnings estimates.
Is Live Nation a buy or sell going into earnings? Read our full analysis here, it's free.
This quarter, analysts are expecting Live Nation's revenue to grow 6.8% year on year to $6.01 billion, slowing from the 27% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.08 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Live Nation has a history of exceeding Wall Street's expectations, beating revenue estimates every single time over the past two years by 19.9% on average.
Looking at Live Nation's peers in the consumer discretionary segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Royal Caribbean delivered year-on-year revenue growth of 16.7%, beating analysts' expectations by 1.6%, and Churchill Downs reported revenues up 15.9%, topping estimates by 3.7%. Royal Caribbean traded down 6.7% following the results while Churchill Downs's stock price was unchanged.
Read our full analysis of Royal Caribbean's results here and Churchill Downs's results here.
There has been positive sentiment among investors in the consumer discretionary segment, with share prices up 10.9% on average over the last month. Live Nation is down 1.2% during the same time and is heading into earnings with an average analyst price target of $116.4 (compared to the current share price of $93.64).
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