Live Nation Operating Margin vs. Market Capitalization
| LYV Stock | USD 94.66 6.39 7.24% |
Live Nation Operating Profit Margin |
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| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
|---|---|---|---|---|---|---|---|---|---|
| Gross Profit Margin | 0.18 | 0.2399 |
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For Live Nation profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Live Nation to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Live Nation Entertainment utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Live Nation's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Live Nation Entertainment over time as well as its relative position and ranking within its peers.
Live |
Is Live Nation's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Live Nation. If investors know Live will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Live Nation listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.281 | Earnings Share 1.09 | Revenue Per Share 102.296 | Quarterly Revenue Growth 0.215 | Return On Assets 0.0293 |
The market value of Live Nation Entertainment is measured differently than its book value, which is the value of Live that is recorded on the company's balance sheet. Investors also form their own opinion of Live Nation's value that differs from its market value or its book value, called intrinsic value, which is Live Nation's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Live Nation's market value can be influenced by many factors that don't directly affect Live Nation's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Live Nation's value and its price as these two are different measures arrived at by different means. Investors typically determine if Live Nation is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Live Nation's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Live Nation Entertainment Market Capitalization vs. Operating Margin Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Live Nation's current stock value. Our valuation model uses many indicators to compare Live Nation value to that of its competitors to determine the firm's financial worth. Live Nation Entertainment is rated below average in operating margin category among related companies. It is currently regarded as number one stock in market capitalization category among related companies creating about 558,887,653,878 of Market Capitalization per Operating Margin. At this time, Live Nation's Operating Profit Margin is fairly stable compared to the past year.Comparative valuation analysis is a catch-all model that can be used if you cannot value Live Nation by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Live Nation's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Live Nation's earnings, one of the primary drivers of an investment's value.Live Market Capitalization vs. Operating Margin
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
Live Nation |
| = | 0.04 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
Market Capitalization is the total market value of a company's equity. It is one of many ways to value a company and is calculated by multiplying the price of the stock by the number of shares issued. If a firm has one type of stock its market capitalization will be the current market share price multiplied by the number of shares. However, if a company has multiple types of equities then the market cap will be the total of the market caps of the different types of shares.
Live Nation |
| = | 21.91 B |
In most publications or references market cap is broken down into the mega-cap, large-cap, mid-cap, small-cap, micro-cap, and nano-cap. Market Cap is a measurement of business as total market value of all of the outstanding shares at a given time, and can be used to compare different companies based on their size.
Live Market Capitalization vs Competition
Live Nation Entertainment is currently regarded as number one stock in market capitalization category among related companies. Market capitalization of Communication Services industry is now estimated at about 136.76 Billion. Live Nation retains roughly 21.91 Billion in market capitalization claiming about 16% of stocks in Communication Services industry.
Live Nation Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Live Nation, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Live Nation will eventually generate negative long term returns. The profitability progress is the general direction of Live Nation's change in net profit over the period of time. It can combine multiple indicators of Live Nation, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 27.4 M | 28.8 M | |
| Operating Income | 1.1 B | 1.1 B | |
| Income Before Tax | 894.5 M | 939.3 M | |
| Total Other Income Expense Net | -45.3 M | -47.6 M | |
| Net Income | 734.3 M | 771 M | |
| Income Tax Expense | 160.2 M | 168.2 M | |
| Net Income Applicable To Common Shares | 134.3 M | 141 M | |
| Net Income From Continuing Ops | 734.3 M | 771 M | |
| Non Operating Income Net Other | 59.6 M | 62.6 M | |
| Interest Income | 237.8 M | 249.7 M | |
| Net Interest Income | -112.4 M | -118 M | |
| Change To Netincome | 210.3 M | 220.8 M | |
| Net Income Per Share | 2.46 | 2.59 | |
| Income Quality | 1.87 | 3.58 | |
| Net Income Per E B T | 0.63 | 0.66 |
Live Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Live Nation. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Live Nation position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Live Nation's important profitability drivers and their relationship over time.
Use Live Nation in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Live Nation position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Live Nation will appreciate offsetting losses from the drop in the long position's value.Live Nation Pair Trading
Live Nation Entertainment Pair Trading Analysis
The ability to find closely correlated positions to Live Nation could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Live Nation when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Live Nation - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Live Nation Entertainment to buy it.
The correlation of Live Nation is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Live Nation moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Live Nation Entertainment moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Live Nation can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Live Nation position
In addition to having Live Nation in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Beers Thematic Idea Now
Beers
Companies involved in production and distribution of domestic and international beer. The Beers theme has 40 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Beers Theme or any other thematic opportunities.
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Check out Correlation Analysis. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
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When running Live Nation's price analysis, check to measure Live Nation's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Live Nation is operating at the current time. Most of Live Nation's value examination focuses on studying past and present price action to predict the probability of Live Nation's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Live Nation's price. Additionally, you may evaluate how the addition of Live Nation to your portfolios can decrease your overall portfolio volatility.
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To fully project Live Nation's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Live Nation Entertainment at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Live Nation's income statement, its balance sheet, and the statement of cash flows.