Jul. 15 at 7:58 PM
StubHub shares fell Wednesday after Citi warned that expanding ticket resale price cap legislation could materially pressure the company's profitability. The firm estimates StubHub could face a roughly
$95 million EBITDA headwind if resale price cap laws continue to spread across key markets.
Washington, D.C. unanimously passed the RESALE Act on July 14, introducing a 10% cap on ticket resale prices for concerts and events beginning January 1, 2027. The law also prohibits speculative ticket sales, mandates all-in pricing transparency, bans surveillance-based pricing practices, and strengthens ticketing enforcement measures. D.C. joins Maine and Vermont in adopting resale price limits, while Ontario has enacted similar legislation, bringing the affected population to approximately 14% of the combined U.S. and Canadian populations.
$STUB