Spotify Technology (NYSE:SPOT) Given New $610.00 Price Target at Morgan Stanley

Spotify Technology (NYSE:SPOT) had its price objective lifted by research analysts at Morgan Stanley from $590.00 to $610.00 in a report issued on Friday,Benzinga reports. The firm presently has an “overweight” rating on the stock. Morgan Stanley’s target price suggests a potential upside of 16.74% from the company’s previous close.

A number of other equities research analysts have also recently commented on the stock. Moffett Nathanson initiated coverage on shares of Spotify Technology in a report on Tuesday, January 27th. They issued a “neutral” rating and a $487.00 target price for the company. UBS Group dropped their price objective on Spotify Technology from $760.00 to $735.00 and set a “buy” rating for the company in a research note on Thursday, April 30th. The Goldman Sachs Group lowered their target price on Spotify Technology from $670.00 to $600.00 and set a “buy” rating on the stock in a report on Wednesday, April 29th. Pivotal Research lowered their price target on shares of Spotify Technology from $420.00 to $400.00 and set a “hold” rating on the stock in a research report on Wednesday, April 29th. Finally, Guggenheim cut their target price on Spotify Technology from $600.00 to $565.00 and set a “buy” rating on the stock in a research report on Wednesday, April 29th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and a consensus price target of $646.31.

Spotify Technology Price Performance

Shares of NYSE SPOT opened at $522.55 on Friday. The company has a market capitalization of $107.58 billion, a P/E ratio of 41.42, a P/E/G ratio of 1.05 and a beta of 1.55. The company has a 50 day simple moving average of $479.71 and a 200-day simple moving average of $523.90. Spotify Technology has a 1 year low of $405.00 and a 1 year high of $785.00.

Spotify Technology (NYSE:SPOT) last issued its quarterly earnings data on Tuesday, April 28th. The company reported $4.04 earnings per share for the quarter, topping the consensus estimate of $3.41 by $0.63. The company had revenue of $5.25 billion during the quarter, compared to analyst estimates of $5.23 billion. Spotify Technology had a return on equity of 35.73% and a net margin of 15.56%.The firm’s revenue for the quarter was up 8.2% compared to the same quarter last year. During the same period in the prior year, the business posted $1.07 earnings per share. As a group, research analysts expect that Spotify Technology will post 14.87 EPS for the current year.

Insider Buying and Selling

In related news, CEO Alex Norstrom sold 5,436 shares of the business’s stock in a transaction that occurred on Wednesday, April 1st. The stock was sold at an average price of $479.51, for a total transaction of $2,606,616.36. Following the completion of the transaction, the chief executive officer owned 69,989 shares in the company, valued at $33,560,425.39. The trade was a 7.21% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO Gustav Soderstrom sold 20,833 shares of the stock in a transaction on Tuesday, May 5th. The stock was sold at an average price of $430.72, for a total value of $8,973,189.76. Following the completion of the sale, the chief executive officer directly owned 20,492 shares in the company, valued at $8,826,314.24. This represents a 50.41% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 47,102 shares of company stock valued at $21,444,648 over the last quarter. Company insiders own 0.40% of the company’s stock.

Institutional Investors Weigh In On Spotify Technology

Several large investors have recently modified their holdings of SPOT. State Street Corp lifted its holdings in shares of Spotify Technology by 1.9% during the 4th quarter. State Street Corp now owns 4,712,249 shares of the company’s stock valued at $2,736,450,000 after buying an additional 89,951 shares during the last quarter. Price T Rowe Associates Inc. MD grew its position in Spotify Technology by 4.0% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 3,869,472 shares of the company’s stock worth $2,247,042,000 after acquiring an additional 149,479 shares in the last quarter. Capital World Investors increased its stake in shares of Spotify Technology by 4.9% during the 4th quarter. Capital World Investors now owns 2,863,821 shares of the company’s stock worth $1,663,024,000 after purchasing an additional 133,108 shares during the last quarter. Fisher Asset Management LLC raised its holdings in shares of Spotify Technology by 2.4% during the 4th quarter. Fisher Asset Management LLC now owns 2,665,512 shares of the company’s stock valued at $1,547,890,000 after purchasing an additional 62,887 shares in the last quarter. Finally, Coatue Management LLC increased its holdings in shares of Spotify Technology by 35.9% during the 4th quarter. Coatue Management LLC now owns 2,450,881 shares of the company’s stock valued at $1,423,251,000 after acquiring an additional 647,708 shares during the last quarter. 84.09% of the stock is owned by institutional investors.

Key Headlines Impacting Spotify Technology

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

• Positive Sentiment: Spotify outlined upbeat long-term targets, including mid-teens annual revenue growth and gross margins of 35% to 40% by 2030, reinforcing the case for continued earnings and cash flow expansion. Spotify stock pops on guidance at first investor day since 2022
• Positive Sentiment: The company announced new AI-driven products, including tools for premium users to create covers and remixes, plus AI-powered podcast and audiobook creation features, which could open new revenue streams and deepen subscriber engagement. Spotify adds AI-powered Q&A and briefing generation features to podcasts
• Positive Sentiment: Spotify also struck a licensing deal with Universal Music Group for responsible AI-generated covers and remixes, which supports creator partnerships while giving the platform a differentiated product offering. Spotify strikes deal with Universal Music to let premium users create AI covers, remixes
• Positive Sentiment: Additional Investor Day announcements, such as reserving concert tickets for top fans, could improve user retention and increase premium value. Spotify Will Set Aside Concert Tickets for Artists’ Superfans
• Neutral Sentiment: Media coverage on Spotify’s 20th anniversary and podcast strategy is more of a brand and product update than a clear near-term financial catalyst. Spotify 20th Anniversary: What Impact Did Podcasts Have On The Company?
• Negative Sentiment: One report noted that Spotify may face higher costs in Canada due to rule changes, which could pressure margins if broader regulatory cost headwinds emerge. Netflix, Spotify to face higher costs as Canada changes rules
• Negative Sentiment: Pomerantz LLP said it is investigating claims on behalf of Spotify investors, a legal overhang that can weigh on sentiment even if no wrongdoing is proven. INVESTOR ALERT: Pomerantz Law Firm Investigates Claims On Behalf of Investors of Spotify Technology S.A. – SPOT

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.