LYV stock is running higher after CNBC reported that Live Nation and the Justice Department will announce a settlement over the owner of Ticketmaster’s ticketing practices, CNBC’s Julia Boorstin reports, citing a source. Live Nation will extend the terms of a consent decree that was meant to expire in July of 2020 by an additional five and a half years through December 2025, the source told CNBC. The Department of Justice has been pursuing Live Nation for allegedly pressuring concert venues to use Ticketmaster, the Wall Street Journal reported previously, citing people familiar with the matter.
Jefferies analyst Khoa Ngo believes the deal between Live Nation and the Department of Justice removes a major overhang on the stock and will allow investors to refocus on the “many positive factors set for 2020.” The analyst, who thinks hesitancy around this issue should clear and shares should outperform, reiterated a Buy rating on the stock following the settlement news.
Next Monday, December 23, 2019, S&P Dow Jones Indices will add Live Nation Entertainment (LYV) to the S&P 500.