Spotify Technology (NYSE:SPOT) Price Target Lowered to $580.00 at Wells Fargo & Company

Spotify Technology (NYSE:SPOT) had its target price cut by Wells Fargo & Company from $640.00 to $580.00 in a research note issued to investors on Wednesday morning,Benzinga reports. They currently have an overweight rating on the stock.

Several other equities analysts also recently commented on SPOT. Benchmark dropped their price objective on Spotify Technology from $860.00 to $760.00 and set a “buy” rating on the stock in a research note on Friday, January 16th. Barclays dropped their price objective on Spotify Technology from $600.00 to $500.00 and set an “overweight” rating on the stock in a research note on Wednesday. Pivotal Research dropped their price objective on Spotify Technology from $420.00 to $400.00 and set a “hold” rating on the stock in a research note on Wednesday. Citigroup upgraded Spotify Technology from a “neutral” rating to a “buy” rating and set a $650.00 price objective on the stock in a research note on Friday, January 30th. Finally, Daiwa Securities Group assumed coverage on Spotify Technology in a research note on Thursday, March 26th. They issued an “outperform” rating and a $535.00 price objective on the stock. Two investment analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, Spotify Technology has a consensus rating of “Moderate Buy” and a consensus target price of $647.68.

Spotify Technology Trading Up 2.4%

Spotify Technology stock opened at $444.49 on Wednesday. Spotify Technology has a 12 month low of $405.00 and a 12 month high of $785.00. The business’s 50 day simple moving average is $500.58 and its 200 day simple moving average is $547.72. The company has a market cap of $91.51 billion, a price-to-earnings ratio of 46.11, a PEG ratio of 1.08 and a beta of 1.70.

Spotify Technology (NYSE:SPOT) last posted its quarterly earnings data on Wednesday, February 11th. The company reported $5.16 EPS for the quarter, beating the consensus estimate of $3.16 by $2.00. Spotify Technology had a return on equity of 31.35% and a net margin of 13.16%.The business had revenue of $5.32 billion for the quarter, compared to the consensus estimate of $5.14 billion. During the same quarter in the prior year, the business earned $1.88 earnings per share. Spotify Technology’s revenue for the quarter was up 6.8% on a year-over-year basis. As a group, equities research analysts forecast that Spotify Technology will post 15.73 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other Spotify Technology news, CEO Alex Norstrom sold 5,436 shares of the business’s stock in a transaction on Wednesday, April 1st. The shares were sold at an average price of $479.51, for a total transaction of $2,606,616.36. Following the sale, the chief executive officer owned 69,989 shares of the company’s stock, valued at $33,560,425.39. The trade was a 7.21% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CEO Gustav Soderstrom sold 20,833 shares of the company’s stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $473.52, for a total transaction of $9,864,842.16. Following the completion of the transaction, the chief executive officer directly owned 20,609 shares in the company, valued at approximately $9,758,773.68. The trade was a 50.27% decrease in their position. The SEC filing for this sale provides additional information. Insiders own 0.40% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in SPOT. KERR FINANCIAL PLANNING Corp bought a new position in shares of Spotify Technology in the third quarter worth $26,000. Greykasell Wealth Strategies Inc. increased its holdings in shares of Spotify Technology by 3,800.0% in the third quarter. Greykasell Wealth Strategies Inc. now owns 39 shares of the company’s stock worth $27,000 after purchasing an additional 38 shares during the period. Westfuller Advisors LLC bought a new position in shares of Spotify Technology in the third quarter worth $29,000. Albion Financial Group UT increased its holdings in shares of Spotify Technology by 80.0% in the third quarter. Albion Financial Group UT now owns 45 shares of the company’s stock worth $31,000 after purchasing an additional 20 shares during the period. Finally, Portus Wealth Advisors LLC bought a new position in shares of Spotify Technology in the first quarter worth $32,000. Institutional investors own 84.09% of the company’s stock.

More Spotify Technology News

Here are the key news stories impacting Spotify Technology this week:

• Positive Sentiment: Q1 beat on users, revenue and operating income — Spotify reported stronger-than-expected MAU and premium subscriber growth and topped EPS/revenue estimates, which supports the long-term growth story. Business Wire Q1 Release
• Positive Sentiment: Strategic content expansion — Spotify added Peloton fitness classes to Premium globally and is pushing into video/fitness content, which could diversify revenue and improve engagement/margins over time. Bloomberg: Peloton Partnership
• Positive Sentiment: Universal Music’s capital moves include a larger buyback — Universal said it will sell half its Spotify stake but also expand its buyback program to €1bn; the buyback component is supportive for shareholder value even as the stake sale raises near-term supply concerns. Yahoo: Universal Music
• Positive Sentiment: Analyst support remains in places — some firms reaffirmed buy/overweight ratings and at least one (Rosenblatt) issued a contrarian upgrade; Erste even nudged up EPS forecasts, showing disagreement among analysts about the near-term pullback.
• Neutral Sentiment: AI spending: near-term drag, possible long-term catalyst — Management’s heavy AI investments are weighing on short-term margins, but some analysts argue they could trigger a future upgrade cycle if they accelerate product/monetization. MSN: AI investments
• Neutral Sentiment: Content/labeling debate around AI-generated music — User-created tools and questions about labeling AI music are getting attention; this is a reputational/regulatory issue to watch but not an immediate earnings driver. Digital Trends: AI labeling
• Negative Sentiment: Weak Q2 guidance is the main catalyst for the recent selloff — Spotify guided Q2 operating income and premium-subscriber growth below Street expectations, which triggered sharp downside in sentiment despite the Q1 beat. Reuters: Q2 guidance
• Negative Sentiment: Ad-revenue softness and slowing growth worries — Advertiser revenue missed expectations/appears soft, raising concerns about near-term top-line momentum and valuation. MarketBeat: Ad slump
• Negative Sentiment: Broad analyst target cuts — Multiple firms trimmed price targets (Cantor Fitzgerald, Barclays, JPMorgan, Goldman, Wells Fargo, Guggenheim and others), reflecting lower near-term profit expectations and boosting selling pressure. 247WallSt: Price target cuts

Spotify Technology Company Profile

Spotify Technology is a digital audio streaming company best known for its on-demand music service and a growing portfolio of spoken-word content. Founded in Sweden in 2006 by Daniel Ek and Martin Lorentzon and launched commercially in 2008, the company offers a cross-platform app that enables users to discover, stream and organize music, podcasts and other audio. Its primary consumer products include a free, ad-supported tier and a paid Spotify Premium subscription that provides ad-free listening, offline playback and higher-quality audio streams.