Shares of concert promoter Live Nation Inc. dropped 27 percent Wednesday after two analysts downgraded them, saying the poor economy will reduce ticket sales in the coming year.

Jim Boyle at CL King & Associates said in a note to investors that consumers are likely to be more cautious with their entertainment dollars, and that will affect attendance at Beverly Hills-based Live Nation concerts and other events around the country. Boyle downgraded the shares from “accumulate” to “neutral.”

“The company likes to say its average fan only buys a couple of tickets a year,” said Boyle. “Yet, if the fan has less and less discretionary money or just wants to hunker down to survive the seeming storm, some tickets don’t get bought next year.”

Alan Gould at Natixis Bleichroeder Inc. holds the same view, downgrading shares from “buy” to “hold” and noting Live Nation may have challenges expanding into the ticketing business next year. Los Angeles-based Ticketmaster Entertainment Inc. is likely to be a stronger competitor in the wake of its acquisition of talent management company Front Line Management Group Inc. and installation of its founder, Irving Azoff, as chief executive.

Live Nation shares closed down $2.20 to $5.58 on the New York Stock Exchange. Ticketmaster stock took a 28 percent hit Tuesday after reporting its third quarter, but closed Wednesday up 27 cents, or 5 percent, to $5.63.