Spotify Technology (NYSE:SPOT) Stock Keeps Hold Rating at TD Cowen

Spotify Technology (NYSE:SPOT)‘s stock had its “hold” rating restated by TD Cowen in a research note issued to investors on Friday, Benzinga reports. They currently have a $525.00 price objective on the stock. TD Cowen‘s price objective suggests a potential downside of 10.62% from the stock’s current price.

Several other research firms have also weighed in on SPOT. Rosenblatt Securities restated a “neutral” rating and set a $527.00 target price on shares of Spotify Technology in a report on Tuesday. Argus reaffirmed a “buy” rating and set a $600.00 target price on shares of Spotify Technology in a research report on Thursday, August 13th. Wall Street Zen downgraded shares of Spotify Technology from a “buy” rating to a “hold” rating in a report on Saturday, July 25th. Citizens Jmp reiterated a “market outperform” rating and issued a $625.00 price objective on shares of Spotify Technology in a research note on Friday. Finally, Piper Sandler assumed coverage on Spotify Technology in a report on Thursday, October 8th. They issued a “neutral” rating and a $540.00 target price for the company. One equities research analyst has rated the stock with a Strong Buy rating, twenty-three have issued a Buy rating and nine have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $620.07.

Spotify Technology Trading Up 0.6%

SPOT stock traded up $3.73 during midday trading on Friday, reaching $587.39. The company had a trading volume of 1,474,589 shares, compared to its average volume of 2,200,416. The company has a 50 day moving average of $525.20 and a two-hundred day moving average of $497.27. The company has a market capitalization of $120.93 billion, a P/E ratio of 36.54, a PEG ratio of 1.63 and a beta of 1.61. Spotify Technology has a 1 year low of $405.00 and a 1 year high of $676.67.

Spotify Technology (NYSE:SPOT) last posted its quarterly earnings results on Tuesday, August 4th. The company reported $3.03 EPS for the quarter, missing the consensus estimate of $3.16 by ($0.13). Spotify Technology had a net margin of 18.44% and a return on equity of 41.39%. The company had revenue of $5.45 billion for the quarter, compared to analysts’ expectations of $5.47 billion. During the same quarter in the prior year, the firm earned ($0.42) earnings per share. The company’s revenue was up 13.9% on a year-over-year basis. On average, sell-side analysts anticipate that Spotify Technology will post 13.66 earnings per share for the current year.

Insider Activity

In other news, CEO Alex Norström sold 5,436 shares of the firm’s stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $502.10, for a total value of $2,729,415.60. Following the transaction, the chief executive officer owned 66,773 shares of the company’s stock, valued at approximately $33,526,723.30. This trade represents a 7.53% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gustav Söderström sold 20,913 shares of the business’s stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $544.19, for a total transaction of $11,380,645.47. Following the sale, the chief executive officer directly owned 20,025 shares of the company’s stock, valued at approximately $10,897,404.75. This trade represents a 51.08% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 68,092 shares of company stock worth $35,762,410 in the last ninety days. Insiders own 0.40% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently made changes to their positions in the stock. Simplicity Wealth LLC increased its holdings in Spotify Technology by 6.9% in the third quarter. Simplicity Wealth LLC now owns 899 shares of the company’s stock valued at $438,000 after purchasing an additional 58 shares during the last quarter. Evergreen Capital Management LLC lifted its stake in Spotify Technology by 10.6% in the third quarter. Evergreen Capital Management LLC now owns 2,879 shares of the company’s stock valued at $1,403,000 after buying an additional 276 shares during the period. Gibbs Wealth Management boosted its holdings in Spotify Technology by 42.9% during the third quarter. Gibbs Wealth Management now owns 892 shares of the company’s stock worth $435,000 after buying an additional 268 shares during the last quarter. Wedbush Securities Inc. boosted its holdings in Spotify Technology by 17.5% during the third quarter. Wedbush Securities Inc. now owns 1,993 shares of the company’s stock worth $971,000 after buying an additional 297 shares during the last quarter. Finally, Atala Financial Inc grew its position in shares of Spotify Technology by 70.4% during the 3rd quarter. Atala Financial Inc now owns 1,208 shares of the company’s stock worth $589,000 after buying an additional 499 shares during the period. Institutional investors and hedge funds own 84.09% of the company’s stock.

Key Stories Impacting Spotify Technology

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

• Positive Sentiment: Spotify’s premium subscribers rose 9% year over year to 306 million, exceeding company guidance by 1 million, while monthly active users increased 11% to 788 million. Management expects approximately 316 million premium subscribers and 818 million monthly active users in the fourth quarter. Spotify Stock Surges on Q3 Subscriber Beat And Bullish Forecast
• Positive Sentiment: Revenue rose roughly 16% year over year to €4.97 billion, and gross margin expanded 140 basis points to 33%, exceeding expectations. Advertising trends are improving, while expense growth is slowing and management expects further margin improvement into 2027.
• Positive Sentiment: Investors responded favorably to Spotify’s AI strategy, including its personalized “taste model,” AI-enabled discovery and efforts to make its service accessible through AI agents. The company said these initiatives are increasing content discovery and could drive engagement, retention and long-term pricing power. Spotify’s current AI bet is about being the music service that agents choose
• Positive Sentiment: Several analysts raised their targets following the report. JPMorgan increased its target to $700 with an overweight rating, while Wells Fargo, Barclays, Guggenheim and Oppenheimer raised targets to between $650 and $660; Oppenheimer upgraded the stock to outperform. Spotify Analysts Raise Their Forecasts Following Q3 Earnings

About Spotify Technology

Spotify Technology SA is an audio streaming company that operates the Spotify platform, offering users access to music, podcasts and audiobooks through internet-connected devices. Its catalog includes licensed recordings from music labels and artists, as well as podcasts and other audio content from creators and publishers.

Spotify provides both an ad-supported service and subscription-based Premium plans. Premium subscribers generally receive ad-free listening and additional features, while the advertising-supported service allows users to access content without a paid subscription.