Spotify Technology (NYSE:SPOT) Rating Lowered to Hold at Wall Street Zen

Spotify Technology (NYSE:SPOT) was downgraded by equities research analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Saturday.

Several other brokerages also recently commented on SPOT. Morgan Stanley raised their target price on shares of Spotify Technology from $590.00 to $610.00 and gave the stock an “overweight” rating in a report on Friday, May 22nd. Cantor Fitzgerald upped their price target on shares of Spotify Technology from $430.00 to $520.00 and gave the company a “neutral” rating in a report on Tuesday, May 26th. Canaccord Genuity Group lowered their price objective on shares of Spotify Technology from $750.00 to $720.00 and set a “buy” rating for the company in a research report on Wednesday, April 29th. Citizens Jmp raised their price objective on shares of Spotify Technology from $600.00 to $625.00 and gave the stock a “market outperform” rating in a report on Friday, May 22nd. Finally, Rosenblatt Securities cut their price objective on shares of Spotify Technology from $534.00 to $531.00 and set a “neutral” rating on the stock in a research report on Thursday, July 9th. Two research analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and six have issued a Hold rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $630.70.

Spotify Technology Price Performance

Shares of Spotify Technology stock opened at $483.27 on Friday. Spotify Technology has a 1 year low of $405.00 and a 1 year high of $748.30. The business has a 50-day moving average of $481.62 and a two-hundred day moving average of $487.62. The company has a market capitalization of $99.49 billion, a P/E ratio of 38.51, a price-to-earnings-growth ratio of 1.19 and a beta of 1.56.

Spotify Technology (NYSE:SPOT) last released its quarterly earnings data on Tuesday, April 28th. The company reported $4.04 earnings per share for the quarter, beating the consensus estimate of $3.41 by $0.63. Spotify Technology had a return on equity of 35.73% and a net margin of 15.56%.The business had revenue of $5.25 billion for the quarter, compared to analysts’ expectations of $5.23 billion. During the same quarter in the previous year, the business posted $1.07 EPS. Spotify Technology’s revenue for the quarter was up 8.2% on a year-over-year basis. On average, equities analysts anticipate that Spotify Technology will post 14.51 EPS for the current fiscal year.

Insider Transactions at Spotify Technology

In other Spotify Technology news, Director Christopher P. Marshall sold 2,650 shares of the company’s stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $519.86, for a total transaction of $1,377,629.00. Following the completion of the transaction, the director owned 4,039 shares of the company’s stock, valued at $2,099,714.54. This represents a 39.62% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Sven Hans Martin Lorentzon sold 35,380 shares of the company’s stock in a transaction that occurred on Friday, May 22nd. The stock was sold at an average price of $525.73, for a total value of $18,600,327.40. Following the transaction, the director directly owned 6,383 shares of the company’s stock, valued at approximately $3,355,734.59. This trade represents a 84.72% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 111,442 shares of company stock worth $54,757,553. Corporate insiders own 0.40% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in SPOT. Principal Financial Group Inc. grew its stake in Spotify Technology by 12.9% in the fourth quarter. Principal Financial Group Inc. now owns 645,196 shares of the company’s stock valued at $374,672,000 after purchasing an additional 73,722 shares in the last quarter. City Holding Co. raised its stake in shares of Spotify Technology by 2,515.9% during the 4th quarter. City Holding Co. now owns 5,598 shares of the company’s stock worth $3,251,000 after purchasing an additional 5,384 shares in the last quarter. Robeco Schweiz AG raised its stake in shares of Spotify Technology by 37.6% during the 4th quarter. Robeco Schweiz AG now owns 18,544 shares of the company’s stock worth $10,769,000 after purchasing an additional 5,071 shares in the last quarter. SBI Okasan Asset Management Co.Ltd. acquired a new stake in shares of Spotify Technology in the 4th quarter valued at approximately $1,162,000. Finally, Robinhood Asset Management LLC acquired a new stake in shares of Spotify Technology in the 4th quarter valued at approximately $8,233,000. Institutional investors and hedge funds own 84.09% of the company’s stock.

Spotify Technology News Roundup

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

• Positive Sentiment: Several recent articles frame Spotify as a potentially attractive value or buy candidate compared with peers, which can support sentiment around the stock. XYZ or SPOT: Which Is the Better Value Stock Right Now?
• Positive Sentiment: Spotify is being highlighted as a trending stock with strong analyst interest, reinforcing the idea that Wall Street remains broadly constructive on the name. Is It Worth Investing in Spotify (SPOT) Based on Wall Street’s Bullish Views?
• Neutral Sentiment: Benchmark reportedly lowered its expectations for Spotify, which could temper enthusiasm but does not appear severe enough on its own to dominate trading. Benchmark Has Lowered Expectations for Spotify Technology (NYSE:SPOT) Stock Price
• Negative Sentiment: A report that Spotify deleted more than 500,000 fake streams tied to Malcolm Todd has raised fraud and integrity concerns, which could be viewed as a reputational headwind for the platform. EXCLUSIVE: Spotify Deleted 500,000 Fake Malcolm Todd Streams. A Former SEC Lawyer Says the Bots May Have Committed a Federal Crime

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.