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Strength Seen in Live Nation (LYV): Can Its 7.1% Jump Turn into More Strength?

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Live Nation (LYV - Free Report) shares rallied 7.1% in the last trading session to close at $125.99. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 5.4% gain over the past four weeks.

Shares of LYV have gained due to the optimism surrounding robust global fan demand trends resulting in increased ticket sales and benefits realized from the sponsorship and advertising business. Also, the sense of ease from regulatory hurdles upon Donald Trump's return to the presidential position and beginning term in January 2025 aided the uptick.

This ticket seller and concert promoter is expected to post quarterly earnings of $1.58 per share in its upcoming report, which represents a year-over-year change of -11.2%. Revenues are expected to be $7.91 billion, down 3% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Live Nation, the consensus EPS estimate for the quarter has been revised 1.8% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on LYV going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Live Nation is a member of the Zacks Leisure and Recreation Services industry. One other stock in the same industry, Atour Lifestyle Holdings Limited Sponsored ADR (ATAT - Free Report) , finished the last trading session 1.1% lower at $26.40. ATAT has returned -4.7% over the past month.

Atour Lifestyle Holdings Limited Sponsored ADR's consensus EPS estimate for the upcoming report has changed -3.9% over the past month to $0.38. Compared to the company's year-ago EPS, this represents a change of +40.7%. Atour Lifestyle Holdings Limited Sponsored ADR currently boasts a Zacks Rank of #3 (Hold).


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