Spotify Technology S.A (NYSE: SPOT) has experienced a rise in its stock price by 6.94 compared to its previous closing price of 558.82. However, the company has seen a gain of 8.82% in its stock price over the last five trading days. zacks.com reported 2025-04-22 that Spotify (SPOT) doesn’t possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Is It Worth Investing in Spotify Technology S.A (NYSE: SPOT) Right Now?
Spotify Technology S.A (NYSE: SPOT) has a higher price-to-earnings ratio of 99.77x compared to its average ratio, The 36-month beta value for SPOT is at 1.64. Analysts have varying views on the stock, with 19 analysts rating it as a “buy,” 6 rating it as “overweight,” 14 as “hold,” and 0 as “sell.”
The public float for SPOT is 149.69M, and currently, shorts hold a 4.84% of that float. The average trading volume for SPOT on April 22, 2025 was 2.53M shares.
SPOT’s Market Performance
SPOT stock saw a decrease of 8.82% in the past week, with a monthly decline of -0.39% and a quarterly a decrease of 22.58%. The volatility ratio for the week is 4.78%, and the volatility levels for the last 30 days are 6.07% for Spotify Technology S.A (SPOT). The simple moving average for the past 20 days is 6.90% for SPOT’s stock, with a 33.44% simple moving average for the past 200 days.
Analysts’ Opinion of SPOT
Many brokerage firms have already submitted their reports for SPOT stocks, with Wolfe Research repeating the rating for SPOT by listing it as a “Outperform.” The predicted price for SPOT in the upcoming period, according to Wolfe Research is $660 based on the research report published on April 21, 2025 of the current year 2025.
FBN Securities, on the other hand, stated in their research note that they expect to see SPOT reach a price target of $645. The rating they have provided for SPOT stocks is “Sector Perform” according to the report published on March 28th, 2025.
China Renaissance gave a rating of “Buy” to SPOT, setting the target price at $740 in the report published on March 26th of the current year.
SPOT Trading at 3.31% from the 50-Day Moving Average
After a stumble in the market that brought SPOT to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -8.43% of loss for the given period.
Volatility was left at 6.07%, however, over the last 30 days, the volatility rate increased by 4.78%, as shares sank -1.17% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -4.07% lower at present.
During the last 5 trading sessions, SPOT rose by +8.83%, which changed the moving average for the period of 200-days by +89.85% in comparison to the 20-day moving average, which settled at $559.04. In addition, Spotify Technology S.A saw 33.58% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at SPOT starting from Daniel Ek, who proposed sale 50,000 shares at the price of $564.48 back on Apr 16 ’25. After this action, Daniel Ek now owns shares of Spotify Technology S.A, valued at $28,224,000 using the latest closing price.
Daniel Ek, the Director and Chief Executive O of Spotify Technology S.A, proposed sale 50,000 shares at $551.73 during a trade that took place back on Apr 02 ’25, which means that Daniel Ek is holding shares at $27,586,500 based on the most recent closing price.
Stock Fundamentals for SPOT
Current profitability levels for the company are sitting at:
- 0.09 for the present operating margin
- 0.3 for the gross margin
The net margin for Spotify Technology S.A stands at 0.07. The total capital return value is set at 0.18. Equity return is now at value 28.91, with 11.36 for asset returns.
Based on Spotify Technology S.A (SPOT), the company’s capital structure generated 0.27 points at debt to capital in total, while cash flow to debt ratio is standing at 1.16. The debt to equity ratio resting at 0.36. The interest coverage ratio of the stock is 9.75.
Currently, EBITDA for the company is 1.5 billion with net debt to EBITDA at -1.89. When we switch over and look at the enterprise to sales, we see a ratio of 6.46. The receivables turnover for the company is 19.62for trailing twelve months and the total asset turnover is 1.31. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.88.
Conclusion
In conclusion, Spotify Technology S.A (SPOT) has had a better performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
