StubHub Shares Sink 20% After First Post-IPO Earnings Shock

StubHub’s first earnings report since its September IPO sent its stock sliding sharply on Thursday, with shares plunging about 20% in extended trading. Investors reacted to a far wider quarterly loss than expected, overshadowing the company’s steady revenue growth and continued strength in live-event demand.

The ticket marketplace reported a loss of $4.27 per share, driven largely by a one-time $1.4 billion stock-based compensation expense linked to its public listing. This pushed StubHub’s total net loss to $1.33 billion, a steep jump from $45.9 million a year earlier.

Revenue, however, climbed to $468.1 million, beating expectations of $452 million and rising 8% year over year from $433.8 million.

StubHub also posted an 11% rise in gross merchandise sales, reaching $2.43 billion. The company noted that results from the same period last year were unusually strong due to Taylor Swift’s Eras Tour. Excluding that boost, GMS grew a robust 24% year over year, signaling continued appetite for concerts, sports, and live entertainment.

During a call with investors, StubHub said it will not issue guidance for the current quarter, citing variability in ticket-sale timing. The company plans to offer its 2026 outlook when it shares fourth-quarter results.

StubHub, founded in 2000 and competing with platforms like Vivid Seats, SeatGeek, and Ticketmaster’s parent Live Nation, has been positioning itself as a major force in the secondary ticketing market. Its long-awaited listing raised $800 million after multiple delays tied to market volatility.

The stock closed Thursday at $18.82, now sitting roughly 20% below its IPO price of $23.50 as investors weigh strong consumer demand against the company’s heavy IPO-related costs and the absence of near-term guidance.