Live Nation Entertainment, Inc.

(New York Stock Exchange)
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Slightly Bullish +25

‘Buy the verdict’: Josh Brown shares why he’s all in on Live Nation, and two other stocks he likes

AI-generated analysis

🎟️ Josh Brown remains bullish on Live Nation Entertainment despite a federal jury ruling against the company for having an anticompetitive monopoly over concert venues.

⚖️ The civil case alleged that Ticketmaster, a subsidiary of Live Nation, suppressed competition by banning venues from using multiple ticket sellers.

💡 Brown views the verdict as a buying opportunity, arguing investors should enter positions after legal rulings rather than during investigations or state attorney general accusations.

📉 Live Nation shares dropped following the Wednesday ruling but were recovering in Thursday's trading session after surging 28% over the past year.

🔎 Brown compares the Live Nation situation to monopolies faced by Apple and Alphabet, noting that investors who sold Alphabet after losing a similar case missed out on doubling stock prices.

🎤 Brown argues that artists, not ticketing companies, primarily capture the revenue from high ticket prices while consumers benefit from venue interoperability.

🛢️ Josh Brown also maintains a long position in Exxon Mobil following Barclays' overweight rating and its resilience during oil price spikes.

⚡ He describes Exxon's business model as a "feather floating down" rather than an elevator, suggesting that companies benefit from rising prices rather than lowering them during good news.

📦 Brown identifies eBay as entering a breakout phase after consolidating around current levels for 10 months following highs in July and August.

💻 He states he is personally long eBay shares but intends to remain invested only until the breakout momentum is fully validated.

✈️ The article concludes with brief headlines indicating Brown's interest in next-generation aviation stocks, real estate stock CBRE, and other market plays.

Bullish Signals
  • Live Nation stock has jumped 28% over the past year despite legal challenges.
  • Investors who held onto Live Nation after the case began in June 2024 avoided missing out on share price doubling opportunities similar to Alphabet (GOOGL).
  • Josh Brown believes that consumers inherently like the interoperability of ticketing processes with venues, even if they prefer lower prices.
  • Exxon Mobil received a reiterated overweight rating from Barclays, signaling institutional confidence.
  • The analyst notes that in an oil price spike scenario, companies often maintain or increase prices rather than lowering them, providing upside potential for crack spreads.
  • eBay shares are forming a technical breakout pattern after consolidating around the $100 mark for 10 months.
  • CBRE is being positioned as a buy by Josh Brown due to its steep sell-off driven by unfounded fears of AI disruption.
Risk Factors
  • A Manhattan federal jury ruled that Live Nation Entertainment holds an anticompetitive monopoly over big concert venues after four days of deliberation in a civil case initially led by the U.S. federal government.
  • The ruling accused Ticketmaster, a subsidiary of Live Nation, of eliminating competition by banning venues from using multiple ticket sellers.
  • Live Nation stock is down following Wednesday's verdict, despite having gained 28% over the past year prior to the announcement.
  • Analyst commentary highlights concerns that artists are the ones behind high ticket prices while fans bear the brunt of the pricing structure, which could impact consumer sentiment and demand.
  • Josh Brown noted a historical risk of selling on news after a loss, citing investors who sold Alphabet after it lost an August 2024 case as missing out on shares doubling since, implying Live Nation stock is also at risk if similar negative market sentiment persists.
Full Analysis
Josh Brown, co-founder and CEO of Ritholtz Wealth Management, has expressed his continued bullish stance on Live Nation Entertainment despite a Manhattan federal jury ruling against the company on Wednesday. The jury found Live Nation's Ticketmaster subsidiary guilty of maintaining an anticompetitive monopoly over major concert venues by excluding competition, a civil case initially led by the U.S. government that lasted four days. Brown advised investors to "buy the verdict," noting he has held the stock since June 2024 without selling, and compared the situation to legal challenges faced by Apple and Alphabet, where sellers after losses missed significant subsequent gains. Although Live Nation shares dipped following the ruling on Wednesday, they were recovering in Thursday's trading session, with Brown asserting that the company can weather the storm because artists ultimately profit from ticket prices rather than venues. In addition to Live Nation, Brown highlighted his long position in Exxon Mobil, citing a reiterated overweight rating from Barclays and arguing that oil companies have significant room for price increases regardless of supply chain disruptions or geopolitical events affecting costs. He specifically pointed out that gas station operators typically do not pass on cost savings by lowering diesel prices, maintaining a belief that crack spreads look strong across the sector. Furthermore, Brown identified eBay as a stock in breakout phase after consolidating around its current levels over the past 10 months; he remains long the stock at $100 per share, stating his position will only close if this breakout pattern is invalidated by market momentum. While the provided text includes headlines about next-generation aviation stocks and CBRE real estate, Brown's detailed commentary focuses primarily on these three equities with specific references to their price actions and underlying investment thesis.