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Analyst Expectations For Spotify Technology's Future

Ratings for Spotify Technology (NYSE:SPOT) were provided by 9 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below offers a condensed view of their recent ratings, showcasing the changing sentiments over the past 30 days and comparing them to the preceding months.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 3 2 4 0 0
Last 30D 0 0 1 0 0
1M Ago 1 1 2 0 0
2M Ago 1 0 1 0 0
3M Ago 1 1 0 0 0

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $786.0, along with a high estimate of $850.00 and a low estimate of $679.00. This current average reflects an increase of 5.19% from the previous average price target of $747.25.

Exploring Analyst Ratings: An In-Depth Overview

The perception of Spotify Technology by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Barton Crockett Rosenblatt Raises Neutral $700.00 $679.00
Barton Crockett Rosenblatt Maintains Neutral $679.00 $679.00
Eric Sheridan Goldman Sachs Raises Neutral $770.00 $765.00
Joseph Bonner Argus Research Announces Buy $845.00 -
Doug Anmuth JP Morgan Raises Overweight $805.00 $740.00
Jason Bazinet Citigroup Raises Neutral $750.00 $715.00
Michael Morris Guggenheim Maintains Buy $850.00 $850.00
Jason Helfstein Oppenheimer Raises Outperform $825.00 $750.00
Michael Morris Guggenheim Raises Buy $850.00 $800.00

Key Insights:

  • Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Spotify Technology. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Spotify Technology compared to the broader market.
  • Price Targets: Delving into movements, analysts provide estimates for the future value of Spotify Technology's stock. This analysis reveals shifts in analysts' expectations over time.

For valuable insights into Spotify Technology's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Spotify Technology analyst ratings.

Discovering Spotify Technology: A Closer Look

Spotify is the leading global music streaming service provider, with nearly 700 million monthly active users and over 250 million paying subscribers, with the latter constituting the firm's premium segment. Most of the firm's revenue and nearly all its gross profit come from the subscribers, who pay a monthly fee to access a music library that consists of most of the most popular songs ever recorded, including all from the major record labels. The firm also sells separate audiobook subscriptions and integrates podcasts within its standard music app. Podcast content is not exclusive and is typically free to access on other platforms. Ad-supported users can access a similar music catalog but cannot customize a similar on-demand experience.

A Deep Dive into Spotify Technology's Financials

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Revenue Growth: Over the 3M period, Spotify Technology showcased positive performance, achieving a revenue growth rate of 10.14% as of 30 June, 2025. This reflects a substantial increase in the company's top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Communication Services sector.

Net Margin: Spotify Technology's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -2.05%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Spotify Technology's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -1.34%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Spotify Technology's ROA lags behind industry averages, suggesting challenges in maximizing returns from its assets. With an ROA of -0.66%, the company may face hurdles in achieving optimal financial performance.

Debt Management: Spotify Technology's debt-to-equity ratio is below the industry average. With a ratio of 0.36, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

The Core of Analyst Ratings: What Every Investor Should Know

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

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