Is now the right time to invest in stocks? It’s possible that even the most guru-like among Wall Street observers will find the question hard to answer. The markets have yo-yoed dramatically over the last couple of weeks. After posting losses not seen since the 2008 financial meltdown, the S&P 500 closed last week with the best one-day point gain since 2008.
As the British investor John Templeton once said, “the time of maximum pessimism is the best time to buy and the time of maximum optimism is the best time to sell.”
The coronavirus outbreak has affected the investment market worldwide, resulting in a number of enticing entry points, according to some analysts.
With this in mind, using TipRanks’ Stock Screener tool, we were able to get the scoop on 3 stocks reeling from the virus’ impact, but poised for a strong turnaround once the coronavirus outbreak settles.
Live Nation Entertainment (LYV)
The show must go on, they say. Or possibly paused to restart at a later date, as things currently stand. Amongst the companies taking a hit from the impact of COVID-19, are those who rely on the gatherings of vast crowds. Sports events are likely to feel the pinch in the near-term, along with Live Nation’s bread and butter, live gigs and events. Shares of the live entertainment company have been hit hard, falling more than 41% over the last month.
Recent cancellation announcements made by the South By Southwest festival in Austin, Texas and the Ultra Music Festival in Miami, Florida are likely to be followed by others in the days ahead.
Things would probably be panning out quite differently for Live Nation had business commenced as usual. The recent coronavirus driven pullback comes off the back of a strong Q4 report. Live Nation reported fourth quarter revenue of $2.89 billion, an 11% year-over-year increase. The figure also lands above the $2.80 billion consensus estimate. A solid showing in the Concerts segment, which posted revenue of $2.30 billion, beating the Street’s call for $2.20 billion and displaying a year-over-year gain of 12%, is to thank for the result.
