Shares of StubHub (NYSE:STUB) surged more than 6% in premarket trading Monday, fueled by a series of upbeat analyst initiations from major Wall Street banks following its recent IPO. Analysts highlighted StubHub’s commanding position in the secondary ticketing market and its growth potential in direct issuance and advertising.
BMO Capital Markets said StubHub’s “scale, differentiated offering, and market leadership in the secondary ticketing market provide a key competitive advantage,” adding that its immediate addressable market of around $195 billion could eventually grow to more than $700 billion as the company moves into adjacent categories.
Citizens analysts echoed this optimism, noting StubHub’s market share — which they estimate already exceeds 40% — is still expanding as its platform scale continues to attract both inventory and buyers. They projected EBITDA margins to surpass 30% in the coming years and argued that the “near-term estimates seem beatable,” pointing to the 2026 World Cup as a favorable macro tailwind.
Evercore analysts estimated StubHub is currently only about 5% penetrated into its $190 billion total addressable ticketing market (TAM). They underscored the company’s high brand recognition and user satisfaction, which could help it gain share in primary ticket issuance.
Goldman Sachs built its investment case on StubHub’s margin leverage and cash generation potential, forecasting revenue growth at a 36% CAGR through 2029. The bank noted the company is “positively levered to the large and growing ticketing market,” predicting EBITDA margins will rise from 17% in 2024 to above 40% in the next four years as advertising and direct issuance scale.
JPMorgan analysts described StubHub as a “clear leader in secondary ticketing, with accelerating share gains,” projecting direct issuance gross merchandise sales to surpass $2 billion in 2026. They identified advertising — expected to contribute meaningfully from late 2025 — as a high-margin growth driver and see EBITDA margins topping 35% next year as monetization improves.
StubHub raised just under $800 million in its long-anticipated IPO last month, with proceeds earmarked to reduce approximately $2.4 billion in debt. The listing marked its return to public markets after several delays, following its $4.05 billion acquisition by Viagogo in 2020 and its earlier ownership by eBay.
Founded in 2000, StubHub operates a global live events marketplace spanning more than 200 countries, offering tickets to sports, concerts, and a wide range of performances.
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