Spotify Technology (NYSE:SPOT) Upgraded to Buy at Arete Research

Arete Research upgraded shares of Spotify Technology (NYSE:SPOT) from a neutral rating to a buy rating in a report published on Thursday, Marketbeat reports. The brokerage currently has $586.00 price target on the stock.

Several other research firms have also weighed in on SPOT. Benchmark reduced their price objective on Spotify Technology from $860.00 to $760.00 and set a “buy” rating for the company in a research note on Friday, January 16th. Weiss Ratings upgraded Spotify Technology from a “hold (c)” rating to a “buy (b-)” rating in a research report on Wednesday, February 11th. Barclays lifted their price target on Spotify Technology from $625.00 to $650.00 and gave the stock an “overweight” rating in a research note on Wednesday, February 11th. Citizens Jmp initiated coverage on shares of Spotify Technology in a research note on Wednesday, December 17th. They set a “market outperform” rating and a $800.00 price objective for the company. Finally, KeyCorp dropped their target price on shares of Spotify Technology from $830.00 to $720.00 and set an “overweight” rating on the stock in a research report on Monday, February 9th. Two research analysts have rated the stock with a Strong Buy rating, twenty-five have given a Buy rating and eight have given a Hold rating to the company’s stock. According to data from MarketBeat, Spotify Technology presently has a consensus rating of “Moderate Buy” and an average target price of $698.91.

Spotify Technology Price Performance

Shares of SPOT opened at $495.71 on Thursday. The firm’s 50 day moving average is $513.96 and its 200-day moving average is $609.42. Spotify Technology has a 12-month low of $405.00 and a 12-month high of $785.00. The stock has a market capitalization of $102.03 billion, a P/E ratio of 51.42, a P/E/G ratio of 1.01 and a beta of 1.66.

Spotify Technology (NYSE:SPOT) last released its earnings results on Tuesday, February 10th. The company reported $5.16 EPS for the quarter, beating the consensus estimate of $3.16 by $2.00. The business had revenue of $5.32 billion during the quarter, compared to analyst estimates of $5.14 billion. Spotify Technology had a net margin of 13.16% and a return on equity of 31.35%. The business’s quarterly revenue was up 6.8% on a year-over-year basis. During the same period in the prior year, the business earned $1.88 earnings per share. As a group, equities research analysts forecast that Spotify Technology will post 10.3 EPS for the current fiscal year.

Hedge Funds Weigh In On Spotify Technology

Several institutional investors and hedge funds have recently modified their holdings of SPOT. Quadcap Wealth Management LLC boosted its position in Spotify Technology by 5.7% during the third quarter. Quadcap Wealth Management LLC now owns 295 shares of the company’s stock valued at $206,000 after purchasing an additional 16 shares during the last quarter. Sage Mountain Advisors LLC raised its stake in shares of Spotify Technology by 6.3% during the 3rd quarter. Sage Mountain Advisors LLC now owns 289 shares of the company’s stock worth $201,000 after purchasing an additional 17 shares in the last quarter. Cloud Capital Management LLC lifted its holdings in shares of Spotify Technology by 4.8% during the 2nd quarter. Cloud Capital Management LLC now owns 392 shares of the company’s stock valued at $301,000 after buying an additional 18 shares during the last quarter. Fullerton Fund Management Co Ltd. grew its stake in shares of Spotify Technology by 7.0% in the 2nd quarter. Fullerton Fund Management Co Ltd. now owns 276 shares of the company’s stock valued at $212,000 after buying an additional 18 shares in the last quarter. Finally, Sagespring Wealth Partners LLC increased its holdings in Spotify Technology by 2.9% in the fourth quarter. Sagespring Wealth Partners LLC now owns 636 shares of the company’s stock worth $370,000 after buying an additional 18 shares during the last quarter. 84.09% of the stock is currently owned by hedge funds and other institutional investors.

Key Spotify Technology News

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

• Positive Sentiment: Analyst upgrades and price-target lift: Arete Research moved SPOT from neutral to buy with a $586 target, and a separate research upgrade highlighted stronger premium gross margins and “margin durability” — both signals that helped reduce investor concern about profitability and likely triggered buying. Arete Research / Finviz
• Positive Sentiment: Analyst note + market reaction: Coverage noting margin upside and manageable AI-related risks was flagged in market commentary as a reason for momentum following Spotify’s recent earnings reset (investor repositioning around improving operating leverage). QuiverQuant: Analyst Upgrade & Margin Upside
• Positive Sentiment: Sector tailwinds: industry pieces highlight that streaming platforms (including Spotify) are benefiting from a mix of ad growth, subscriptions and AI-driven personalization — a backdrop that supports higher monetization potential and investor appetite. Yahoo Finance: Must-Track Streaming Stocks
• Positive Sentiment: Product update that may boost engagement: Spotify rolled out “Smart Reorder” for playlists, a feature aimed at improving listening experience and playlist utility — a small but positive UX/engagement catalyst over time. Android Police: Smart Reorder
• Neutral Sentiment: Valuation and pullback analysis: Commentary assessing whether the recent price pullback makes SPOT attractive flags mixed signals — solid long-term gains but notable YTD and 1‑year declines that keep valuation debate active among investors. Yahoo Finance: Is Spotify Now Attractive?
• Negative Sentiment: Bearish outlook from Guggenheim: A recent pessimistic forecast raises downside concerns and reminds investors there is still disagreement on fair valuation and long-term upside, which could cap gains if more firms adopt a cautious view. American Banking News: Guggenheim Pessimistic Forecast

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.