Spotify Technology (NYSE:SPOT) Price Target Raised to $700.00

Spotify Technology (NYSE:SPOT) had its price target raised by Morgan Stanley from $640.00 to $700.00 in a research note released on Friday morning,Benzinga reports. They currently have an overweight rating on the stock.

A number of other equities analysts also recently weighed in on the company. Stonex Financia downgraded Spotify Technology from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, October 14th. Phillip Securities upgraded shares of Spotify Technology to a “buy” rating and set a $650.00 price objective on the stock in a report on Tuesday, August 11th. Guggenheim boosted their price objective on shares of Spotify Technology from $575.00 to $650.00 and gave the stock a “buy” rating in a research report on Friday. KeyCorp reduced their target price on shares of Spotify Technology from $680.00 to $660.00 and set an “overweight” rating for the company in a report on Thursday, October 1st. Finally, Piper Sandler reiterated a “neutral” rating and set a $580.00 target price (up from $540.00) on shares of Spotify Technology in a report on Friday. One analyst has rated the stock with a Strong Buy rating, twenty-three have given a Buy rating, nine have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Spotify Technology presently has a consensus rating of “Moderate Buy” and an average target price of $620.07.

Spotify Technology Price Performance

SPOT stock opened at $583.84 on Friday. The stock has a market capitalization of $120.20 billion, a P/E ratio of 38.71, a P/E/G ratio of 1.81 and a beta of 1.61. Spotify Technology has a fifty-two week low of $405.00 and a fifty-two week high of $676.67. The business has a 50-day moving average of $526.60 and a 200-day moving average of $497.97.

Spotify Technology (NYSE:SPOT) last announced its earnings results on Tuesday, August 4th. The company reported $3.03 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.16 by ($0.13). Spotify Technology had a net margin of 15.74% and a return on equity of 35.64%. The firm had revenue of $5.45 billion during the quarter, compared to analyst estimates of $5.47 billion. During the same period in the prior year, the business posted ($0.42) EPS. The firm’s quarterly revenue was up 13.9% compared to the same quarter last year. Equities analysts expect that Spotify Technology will post 13.62 EPS for the current year.

Insider Transactions at Spotify Technology

In other Spotify Technology news, CEO Gustav Söderström sold 20,910 shares of the company’s stock in a transaction that occurred on Monday, October 12th. The stock was sold at an average price of $530.13, for a total value of $11,085,018.30. Following the sale, the chief executive officer owned 19,908 shares in the company, valued at $10,553,828.04. This represents a 51.23% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Alex Norström sold 5,436 shares of the firm’s stock in a transaction that occurred on 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 completion of the sale, the chief executive officer directly owned 66,773 shares of the company’s stock, valued at approximately $33,526,723.30. The trade was a 7.53% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders sold 68,092 shares of company stock worth $35,762,410. 0.40% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the business. Kingswood Wealth Advisors LLC increased its holdings in shares of Spotify Technology by 66.3% during the 3rd quarter. Kingswood Wealth Advisors LLC now owns 1,196 shares of the company’s stock worth $583,000 after acquiring an additional 477 shares during the last quarter. Signaturefd LLC lifted its holdings in Spotify Technology by 19.8% during the 3rd quarter. Signaturefd LLC now owns 4,675 shares of the company’s stock valued at $2,279,000 after purchasing an additional 773 shares during the last quarter. Citizens Financial Group Inc. RI lifted its holdings in Spotify Technology by 10.0% during the 3rd quarter. Citizens Financial Group Inc. RI now owns 2,254 shares of the company’s stock valued at $1,099,000 after purchasing an additional 205 shares during the last quarter. Simplicity Wealth LLC lifted its holdings in Spotify Technology by 6.9% during the 3rd 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. Finally, Evergreen Capital Management LLC boosted its position in Spotify Technology by 10.6% during the third quarter. Evergreen Capital Management LLC now owns 2,879 shares of the company’s stock worth $1,403,000 after purchasing an additional 276 shares during the period. 84.09% of the stock is currently owned by institutional investors.

Key Stories Impacting Spotify Technology

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

• Positive Sentiment: Spotify reported 306 million premium subscribers in the third quarter, up 9% year over year and 1 million above its guidance. Monthly active users rose 11% to 788 million, with growth across all regions. Spotify Stock Jumps as Subscriber Growth Beats Expectations
• Positive Sentiment: Revenue increased roughly 16% year over year to about €4.97 billion, while gross margin expanded 140 basis points to 33% and operating income exceeded company guidance. Spotify expects fourth-quarter operating profit above Wall Street expectations and projects revenue of approximately €6.0 billion. Spotify forecasts fourth-quarter profit above estimates on AI bets
• Positive Sentiment: Management highlighted AI-powered personalization, including its “taste model,” as a way to increase listening, reduce churn and support pricing power. It also expects moderating expenses and continued margin expansion, with long-term targets of more than 20% operating margin and 35%–40% gross margin by 2030. Spotify Soars After Earnings as the Company Touts AI Benefits and Moderating Costs
• Positive Sentiment: Several analysts raised their targets following the results. Morgan Stanley and JPMorgan lifted targets to $700 with overweight ratings, while Wells Fargo, Barclays, Oppenheimer and Guggenheim also raised targets to $650–$660. Spotify Analysts Raise Their Forecasts Following Q3 Earnings
• Neutral Sentiment: Spotify’s headline results were mixed: quarterly EPS of roughly $2.78–$2.85 missed consensus near $3.10–$3.18, while revenue was slightly below estimates. Piper Sandler maintained a neutral rating with a $580 target, and Cantor Fitzgerald maintained neutral at $550.
• Negative Sentiment: TD Cowen reaffirmed a hold rating with a $525 price target, and some newly raised targets remain below the current market valuation, signaling concerns that much of the subscriber and AI optimism may already be reflected in SPOT shares.

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.