Barclays Issues Pessimistic Forecast for Spotify Technology (NYSE:SPOT) Stock Price

Spotify Technology (NYSE:SPOT) had its target price dropped by analysts at Barclays from $700.00 to $625.00 in a report released on Tuesday,Benzinga reports. The brokerage presently has an “overweight” rating on the stock. Barclays‘s price target points to a potential upside of 24.55% from the stock’s previous close.

A number of other research firms also recently commented on SPOT. Benchmark dropped their price target on shares of Spotify Technology from $860.00 to $760.00 and set a “buy” rating on the stock in a research report on Friday, January 16th. JPMorgan Chase & Co. boosted their target price on Spotify Technology from $740.00 to $805.00 and gave the stock an “overweight” rating in a report on Monday, September 29th. Sanford C. Bernstein decreased their price target on Spotify Technology from $830.00 to $650.00 and set an “outperform” rating for the company in a research note on Wednesday, January 14th. Pivotal Research lowered their price target on Spotify Technology from $900.00 to $875.00 and set a “buy” rating on the stock in a research report on Wednesday, November 5th. Finally, Rosenblatt Securities dropped their price objective on Spotify Technology from $700.00 to $670.00 and set a “neutral” rating on the stock in a research note on Wednesday, November 5th. Two analysts have rated the stock with a Strong Buy rating, twenty-two have assigned a Buy rating and nine have assigned a Hold rating to the company’s stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $741.40.

Spotify Technology Price Performance

SPOT opened at $501.80 on Tuesday. The stock’s 50 day moving average price is $574.88 and its 200 day moving average price is $647.34. The stock has a market cap of $103.32 billion, a P/E ratio of 78.90, a P/E/G ratio of 0.97 and a beta of 1.66. Spotify Technology has a 12 month low of $475.01 and a 12 month high of $785.00.

Spotify Technology (NYSE:SPOT) last released its quarterly earnings results on Tuesday, November 4th. The company reported $3.83 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.87 by $1.96. Spotify Technology had a return on equity of 21.68% and a net margin of 8.46%.The company had revenue of $5.01 billion during the quarter, compared to analysts’ expectations of $4.23 billion. During the same quarter in the prior year, the business posted $1.45 earnings per share. The company’s revenue for the quarter was up 7.1% compared to the same quarter last year. Equities analysts anticipate that Spotify Technology will post 10.3 EPS for the current year.

Institutional Investors Weigh In On Spotify Technology

A number of institutional investors and hedge funds have recently modified their holdings of SPOT. KERR FINANCIAL PLANNING Corp purchased a new position in Spotify Technology in the 3rd quarter worth about $26,000. Knuff & Co LLC purchased a new position in shares of Spotify Technology in the second quarter worth approximately $27,000. Heartwood Wealth Advisors LLC purchased a new position in shares of Spotify Technology in the third quarter worth approximately $27,000. Greykasell Wealth Strategies Inc. raised its holdings in shares of Spotify Technology by 3,800.0% during the third quarter. Greykasell Wealth Strategies Inc. now owns 39 shares of the company’s stock valued at $27,000 after acquiring an additional 38 shares during the period. Finally, Total Investment Management Inc. purchased a new stake in shares of Spotify Technology in the 2nd quarter valued at approximately $29,000. 84.09% of the stock is owned by institutional investors and hedge funds.

Spotify Technology News Summary

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

• Positive Sentiment: Analyst/Bull case — A recent bullish breakdown argues Spotify remains #1 and is still growing vs. rivals, using demand/tracking data to support continued user and engagement strength. Read More.
• Positive Sentiment: Audiobook product push — Multiple reports show Spotify developing “Page Match” / sync-to-physical-book features for audiobooks, which could help convert Audible users, deepen engagement and diversify revenue beyond music. These product moves are a potential long-term upside to ARPU and retention. Read More. Read More.
• Neutral Sentiment: Analyst target update — Barclays cut its SPOT price target from $700 to $625 but kept an “overweight” rating, signaling continued analyst confidence in growth while moderating upside expectations. Read More.
• Neutral Sentiment: Price increases in the U.S. — Coverage notes Spotify raised U.S. premium prices; that should boost average revenue per user (ARPU) but raises short-term churn and growth uncertainty, so investor reaction is mixed. Read More.
• Negative Sentiment: Valuation and churn concerns — Coverage highlights that the new premium price hikes are prompting a valuation re-check and could test Spotify’s growth and churn assumptions, which can pressure the stock multiple if subscriber trends wobble. Read More.
• Negative Sentiment: Brand/PR risk from AI backlash — Commentary about an AI “Slopify” controversy shows ongoing fan pushback on generative-AI implementations; reputational issues could hurt engagement or pressurize artist/label relationships if not addressed. Read More.

About Spotify Technology

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.