Live Nation stock drops after deadly Travis Scott Astroworld Festival, “hundreds and hundreds of millions” in lawsuits expected
UPDATED: Live Nation’s impressive post-pandemic comeback took a hit Monday as investors reacted to fallout from if its involvement as the promoter of the deadly Travis Scott Astroworld Festival last weekend.
Live Nation stock fell Monday morning as investors reacted to news that at least 8 had died and hundreds injured during Travis Scott’s set at this weekend’s 50,000 person Astroworld Festival in Houston, Texas.
As of mid-morning Monday, Live Nation [NYSE: LYV] stock was trading at $117.12, down $6.68 or 5.40%.
UPDATE: By the 4 PM ET close on Monday, Live Nation stock was $117.16, down $6.64 or -5.36% and moving slightly lower in after-hours trading.
As the promoter of the festival, Live Nation has already been named in two lawsuits filed on behalf of concertgoers.
An article in the local Houston Chronicle quoted prominent attorneys predicting that many more lawsuits will be filed asking for “hundreds and hundreds of millions” in damages from the producers, promoters, Travis Scott, other performers, and subcontractors including security firms.
“Litigation will be filed by the end of the Monday or sooner because lawyers representing the victims need to move quickly to secure the evidence at the scene and to make sure evidence is not destroyed or tampered with,” said Houston attorney Randy Sorrels, who is past president of the State Bar of Texas.
“The insurance companies for the defendants are either already on the scene or are on their way,” Sorrels said. “There will be multiple investigations. OSHA (Occupational Health and Safety Administration) could investigate if any workers at the festival injured.”
Bruce Houghton is Founder and Editor of Hypebot and MusicThinkTank and serves as a Senior Advisor to Bandsintown which acquired both publications in 2019. He is the Founder and President of the Skyline Artists Agency and a professor for the Berklee College Of Music.