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Live Nation Entertainment (BSP:L1YV34) ROA % : 6.12% (As of Jun. 2024)


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What is Live Nation Entertainment ROA %?

ROA % is calculated as Net Income divided by its average Total Assets over a certain period of time. Live Nation Entertainment's annualized Net Income for the quarter that ended in Jun. 2024 was R$6,420 Mil. Live Nation Entertainment's average Total Assets over the quarter that ended in Jun. 2024 was R$104,957 Mil. Therefore, Live Nation Entertainment's annualized ROA % for the quarter that ended in Jun. 2024 was 6.12%.

The historical rank and industry rank for Live Nation Entertainment's ROA % or its related term are showing as below:

BSP:L1YV34' s ROA % Range Over the Past 10 Years
Min: -15.99   Med: -0.02   Max: 3.17
Current: 2.66

During the past 13 years, Live Nation Entertainment's highest ROA % was 3.17%. The lowest was -15.99%. And the median was -0.02%.

BSP:L1YV34's ROA % is ranked better than
61.39% of 1054 companies
in the Media - Diversified industry
Industry Median: 0.82 vs BSP:L1YV34: 2.66

Live Nation Entertainment ROA % Historical Data

The historical data trend for Live Nation Entertainment's ROA % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Live Nation Entertainment ROA % Chart

Live Nation Entertainment Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
ROA %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.74 -17.83 -5.42 1.85 3.07

Live Nation Entertainment Quarterly Data
Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24
ROA % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 5.85 9.99 -4.39 -0.96 6.12

Competitive Comparison of Live Nation Entertainment's ROA %

For the Entertainment subindustry, Live Nation Entertainment's ROA %, along with its competitors' market caps and ROA % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Live Nation Entertainment's ROA % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Live Nation Entertainment's ROA % distribution charts can be found below:

* The bar in red indicates where Live Nation Entertainment's ROA % falls into.



Live Nation Entertainment ROA % Calculation

Live Nation Entertainment's annualized ROA % for the fiscal year that ended in Dec. 2023 is calculated as:

ROA %=Net Income (A: Dec. 2023 )/( (Total Assets (A: Dec. 2022 )+Total Assets (A: Dec. 2023 ))/ count )
=2759.959/( (86343.695+93459.006)/ 2 )
=2759.959/89901.3505
=3.07 %

Live Nation Entertainment's annualized ROA % for the quarter that ended in Jun. 2024 is calculated as:

ROA %=Net Income (Q: Jun. 2024 )/( (Total Assets (Q: Mar. 2024 )+Total Assets (Q: Jun. 2024 ))/ count )
=6419.584/( (99746.335+110167.203)/ 2 )
=6419.584/104956.769
=6.12 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual ROA %, the net income of the last fiscal year and the average total assets over the fiscal year are used. In calculating the quarterly data, the Net Income data used here is four times the quarterly (Jun. 2024) net income data. ROA % is displayed in the 30-year financial page.


Live Nation Entertainment  (BSP:L1YV34) ROA % Explanation

ROA % measures the rate of return on the total assets (shareholder equity plus liabilities). It measures a firm's efficiency at generating profits from shareholders' equity plus its liabilities. ROA % shows how well a company uses what it has to generate earnings. ROA %s can vary drastically across industries. Therefore, ROA % should not be used to compare companies in different industries. For retailers, a ROA % of higher than 5% is expected. For example, Wal-Mart (WMT) has a ROA % of about 8% as of 2012. For banks, ROA % is close to their interest spread. A bank’s ROA % is typically well under 2%.

Similar to ROE, ROA % is affected by profit margins and asset turnover. This can be seen from the Du Pont Formula:

ROA %(Q: Jun. 2024 )
=Net Income/Total Assets
=6419.584/104956.769
=(Net Income / Revenue)*(Revenue / Total Assets)
=(6419.584 / 129770.884)*(129770.884 / 104956.769)
=Net Margin %*Asset Turnover
=4.95 %*1.2364
=6.12 %

Note: The Net Income data used here is four times the quarterly (Jun. 2024) net income data. The Revenue data used here is four times the quarterly (Jun. 2024) revenue data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Be Aware

Like ROE, ROA % is calculated with only 12 months data. Fluctuations in the company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. ROA % can be affected by events such as stock buyback or issuance, and by goodwill, a company's tax rate and its interest payment. ROA % may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).

Many analysts argue the higher return the better. Buffett states that really high ROA % may indicate vulnerability in the durability of the competitive advantage.

E.g. Raising $43b to take on KO is impossible, but $1.7b to take on Moody's is. Although Moody's ROA % and underlying economics is far superior to Coca Cola, the durability is far weaker because of lower entry cost.


Live Nation Entertainment ROA % Related Terms

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Live Nation Entertainment Business Description

Traded in Other Exchanges
Address
9348 Civic Center Drive, Beverly Hills, CA, USA, 90210
Live Nation is the largest live entertainment company in the world, serving as a concert promoter, venue operator, and ticketing platform. In addition, the firm generates revenue from sponsorships and advertising. With offices in 45 countries, Live Nation promotes concerts globally and it owns, operates, or had exclusive booking rights to 373 venues worldwide at the end of 2023, which the firm says makes it the second-largest operator of music venues globally. In 2023, Live Nation promoted more than 50,000 events, drawing more than 145 million fans. Ticketmaster is a dominant global ticketing service, selling more than 620 million tickets in 2023.

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