• Jerremy Alexander Newsome

What is Eventbrite IPO?

EventBrite IPO

Guess who’s back. Back again. Ashley’s back. Tell a friend.

Hey Traders, I am back!!! Did you miss me! It has definitely been a minute since our last IPO article and I apologize because the market has just been presenting us with so many new ones that I wish I could have covered. But remember, as Jerremy says, “There are more opportunities in the market each day than we can take advantage of in an entire lifetime.” So you won’t find any FOMO here!

I am actually super excited to be covering this recent IPO. It is something that I have used in my own personal life, as well as something that Jerremy uses for businesses too. In fact Jerremy's upcoming event is on this website right now! That company is…. EVENTBRITE.

EventBrite is a nifty website that allows users to create and promote events! It is still a youngin’ in the terms of businesses and was launched in 2006. Headquartered in San Fransisco, in the 12 short years it has been around they have expanded internationally and have 12 other offices including London, Amsterdam, Berlin, Melbourne, Mendoza, Sao Paulo, Antwerp, Barcelona, Toronto, Madrid, Villena, and NASHVILLE and employ around 500 people! The site, if you have never been on it before is super user friendly! It’s as easy as creating a profile, setting up an event, and letting the sales roll in! Or if you are the consumer, you can just browse events in your area, or search an existing event you are interested in.

EventBrite makes by using a tried and true method. They aren’t reinventing the wheel by any means. Keep it simple stupid! EventBrite generates revenue from ticket sales and no money is charged to creators until a sale is made! When a ticket IS sold, EventBrite charges 2.5% of the ticket value, plus $0.99 per ticket, and an additional 3.5% for credit card processing. And if your event is free, then you get charged nothing! Pretty neat and (in my opinion) how it should be! With an average of 3 million tickets purchased per week on EventBrite they are definitely doing something right! Done and done. Last year, EventBrite generated 201.6 million dollars, a 51% increase from the year before! Wowsers! Ticket sales also saw a substantial increase from 109 million to 143 million, a move of  34% (2016 to 2017). Which I don’t see this trend stoping anytime soon.

You must be thinking at this point, well I have bought many tickets online what makes EventBrite such a “standout” company. What are they doing different? Who are their direct competitors? Well, to put it bluntly, no one does it like EventBrite. They have many competitors but none live up the quality, par, or overall usability in my opinion. Some of the most similar to their model EventSmart, EventZilla, Peatix, TicketLeap, and many more! Larger ticketing companies you may have heard of include the StubHub and TicketMaster’s of the world. Although these companies typically focus on concerts and larger events like festivals. EventBrite is often used for things like gatherings, seminars, socials, dinners, and basically anything your mind can dream up. EventBrite is also known to buy smaller companies that align with their model, especially those that help expand their international expansion. A few of their subsidiaries are Ticketfly, Picatic, Ticketscript, nvite LLC, Ticketea, S.L. and Lanyrd Ltd. Way to go EB! 

As far as how to trade it, well we only have about 7 days on the chart to go off of. But that’s okay! I am a big fan of EventBrite. I think they have a lot to offer and have much more growing to do. I will probably personally scoop up some shares in my long term portfolio to hold on for a bit. As far as short term, buy low and sell high. EB opened at a very reasonable $36 a share and ran up throughout the day. Friday, we had a tasty pullback which makes it prime for some buying!

Here is a chart. 

Daily volume is pretty low on this one.  So most like EB will be a longer term, swing, investment type of play with shares. 

This would be an hourly look. 

Going forward, this would be a nice plan. 

I hope this was helpful and enriching for you! I love learning with you each an every day. If you have any questions, reach out to me at ashley@reallifetrading.com

Smile on!

- Ashley