Live Nation plans to return full force by Summer 2021, stocks jump on COVID- vaccine news
Michael Rapino maintains an optimistic outlook on the future. The Live Nation CEO has recently revealed that the live music entertainment company is right now establishing a series of “COVID-secure” measures that will allow for “full scale” shows to return by summer 2021. Whether those measures will include a COVID-negative test requirement for entry into Live Nation-produced concerts and festivals is still up in the air. Although given the public backlash over the safety measure being tossed around among concert promoters, chances are slim that Live Nation will go through with any such action.
After all, a recent music study from Germany found the risk for COVID-19 spread at large-scale indoor gatherings to be “low to very low,” so long as organizers are adhering to common-sense practices like adherence to hygiene, capacity protocols, and adequate ventilation at venues. Considering Live Nation reported a 95% loss in year-over-year revenue in their recent Q3 earnings report, the news is entirely hopeful for everyone, especially given how Live Nation mass-scale festivals are always hosted outdoors.
Even more hopeful is how Live Nation’s stock price jumped 29 percent following news that Pfizer’s COVID-19 vaccine had a success rate of more than 90 percent in clinical trials. Live Nation stock (LVY) jumped to $72.29 a share from it’s closing price of $56.01 last Friday, November 6. Live Nation finished the trading day at $64.36.
As live music industry professionals yearn for the return of indoor/outdoor concerts and music festivals, Live Nation’s optimism is grounded in two key observational factors. First, that two-thirds of music fans kept their tickets for canceled 2020 festivals in order to attend next year’s event. Second, early ticket sales for 2021 festivals in the UK are strong. “Our expectations for a robust outdoor summer season in 2021,” Rapino reported to IQMag.
The entertainment giant is making market predictions with confidence as they continue working on a “roadmap to get back to live safely.” “We expect shows at scale next summer,” Rapino said further, although the “exact timeline of this return will vary by region, and so we continue to focus on remaining flexible.”
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