(SPOT) Spotify Technology - Overview

Sector: Communication Services | Industry: Internet Content & Information | Exchange: NYSE (USA) | Market Cap: 100.670m USD | Total Return: -5.8% in 12m

Streaming, Subscription, Podcasts, Audiobooks, Ads
Total Rating 45
Safety 83
Buy Signal -0.07
Internet Content & Information
Industry Rotation: +6.7
Market Cap: 101B
Avg Turnover: 813M USD
ATR: 4.41%
Peers RS (IBD): 22.4
Risk 5d forecast
Volatility47.5%
Rel. Tail Risk-10.2%
Reward TTM
Sharpe Ratio-0.19
Alpha-26.76
Character TTM
Beta0.795
Beta Downside0.945
Drawdowns 3y
Max DD46.80%
CAGR/Max DD1.18
EPS (Earnings per Share) EPS (Earnings per Share) of SPOT over the last years for every Quarter: "2021-03": -0.25, "2021-06": -0.1, "2021-09": 0.01, "2021-12": -0.2, "2022-03": 0.21, "2022-06": -0.65, "2022-09": -0.86, "2022-12": -1.4, "2023-03": -1.16, "2023-06": -1.55, "2023-09": 0.33, "2023-12": -0.36, "2024-03": 0.97, "2024-06": 1.33, "2024-09": 1.45, "2024-12": 1.76, "2025-03": 1.07, "2025-06": -0.42, "2025-09": 3.28, "2025-12": 4.43, "2026-03": 0,
EPS CAGR: 14.15%
EPS Trend: 70.5%
Last SUE: -2.33
Qual. Beats: 0
Revenue Revenue of SPOT over the last years for every Quarter: 2021-03: 2147, 2021-06: 2331, 2021-09: 2501, 2021-12: 2689, 2022-03: 2661, 2022-06: 2864, 2022-09: 3036, 2022-12: 3166, 2023-03: 3042, 2023-06: 3177, 2023-09: 3357, 2023-12: 3671, 2024-03: 3636, 2024-06: 3807, 2024-09: 3988, 2024-12: 4242, 2025-03: 4190, 2025-06: 4193, 2025-09: 4272, 2025-12: 4531, 2026-03: null,
Rev. CAGR: 15.25%
Rev. Trend: 98.1%
Last SUE: 0.02
Qual. Beats: 0
Warnings

No concerns identified

Tailwinds

No distinct edge detected

Description: SPOT Spotify Technology

Spotify Technology S.A. (NYSE: SPOT) operates a global audio-streaming platform split between a Premium subscription tier-offering on- and offline access to music, podcasts, video, lossless tracks and audiobooks-and an Ad-Supported tier that delivers limited on-demand music and full podcast libraries across devices. The company also generates ancillary revenue through sales, distribution, marketing services, R&D contracts and customer support.

In its most recent quarter (Q1 2024), Spotify reported 615 million monthly active users, with 210 million paying Premium subscribers, driving total revenue to $3.1 billion-a 12% year-over-year increase. Ad-Supported revenue surged 24% on the back of AI-enhanced ad targeting, while gross margin improved to 26% as the firm scales its lossless audio offering in key markets.

Key industry drivers include a projected 12% CAGR for the global streaming market through 2028, rising consumer willingness to pay for high-fidelity audio, and robust growth in digital advertising spend, which together support Spotify’s dual-revenue model.

For a deeper dive, you might explore ValueRay’s analysis of SPOT.

Headlines to Watch Out For
  • Premium subscriber growth drives revenue expansion
  • Ad-supported revenue growth boosts profitability
  • Content licensing costs impact margins
  • Competition for users and creators intensifies
  • Regulatory scrutiny of platform practices increases
Piotroski VR‑10 (Strict) 6.0
Net Income: 2.21b TTM > 0 and > 6% of Revenue
FCF/TA: 0.19 > 0.02 and ΔFCF/TA 0.11 > 1.0
NWC/Revenue: 25.66% < 20% (prev 25.07%; Δ 0.59% < -1%)
CFO/TA 0.20 > 3% & CFO 2.93b > Net Income 2.21b
Net Debt (-2.93b) to EBITDA (2.36b): -1.24 < 3
Current Ratio: 1.72 > 1.5 & < 3
Outstanding Shares: last quarter (212.5m) vs 12m ago 1.67% < -2%
Gross Margin: 31.98% > 18% (prev 0.30%; Δ 3.17k% > 0.5%)
Asset Turnover: 127.2% > 50% (prev 130.6%; Δ -3.32% > 0%)
Interest Coverage Ratio: 72.74 > 6 (EBITDA TTM 2.36b / Interest Expense TTM 31.0m)
Altman Z'' 2.74
A: 0.29 (Total Current Assets 10.49b - Total Current Liabilities 6.08b) / Total Assets 15.01b
B: -0.06 (Retained Earnings -831.6m / Total Assets 15.01b)
C: 0.17 (EBIT TTM 2.25b / Avg Total Assets 13.51b)
D: -0.12 (Book Value of Equity -831.5m / Total Liabilities 6.68b)
Altman-Z'' Score: 2.74 = A
Beneish M -3.01
DSRI: 1.05 (Receivables 917.6m/799.0m, Revenue 17.19b/15.67b)
GMI: 0.94 (GM 31.98% / 30.14%)
AQI: 1.02 (AQ_t 0.27 / AQ_t-1 0.27)
SGI: 1.10 (Revenue 17.19b / 15.67b)
TATA: -0.05 (NI 2.21b - CFO 2.93b) / TA 15.01b)
Beneish M-Score: -3.01 (Cap -4..+1) = AA
What is the price of SPOT shares? As of April 06, 2026, the stock is trading at USD 488.97 with a total of 1,550,500 shares traded.
Over the past week, the price has changed by +2.94%, over one month by -11.44%, over three months by -17.60% and over the past year by -5.78%.
Is SPOT a buy, sell or hold? Spotify Technology has received a consensus analysts rating of 4.05. Therefore, it is recommended to buy SPOT.
  • StrongBuy: 19
  • Buy: 6
  • Hold: 13
  • Sell: 2
  • StrongSell: 0
What are the forecasts/targets for the SPOT price?
Analysts Target Price 635.4 29.9%
Spotify Technology (SPOT) - Fundamental Data Overview as of 04 April 2026
Market Cap EUR = 87.18b (100.67b USD * 0.866 USD.EUR)
P/E Trailing = 40.1783
P/E Forward = 31.9489
P/S = 5.8577
P/B = 10.1411
P/EG = 1.9825
Revenue TTM = 17.19b EUR
EBIT TTM = 2.25b EUR
EBITDA TTM = 2.36b EUR
Long Term Debt = 433.0m EUR (from longTermDebtTotal, last quarter)
Short Term Debt = 1.46b EUR (from shortTermDebt, last quarter)
Debt = 2.32b EUR (from shortLongTermDebtTotal, last quarter)
Net Debt = -2.93b EUR (from netDebt column, last quarter)
Enterprise Value = 84.25b EUR (87.18b + Debt 2.32b - CCE 5.26b)
Interest Coverage Ratio = 72.74 (Ebit TTM 2.25b / Interest Expense TTM 31.0m)
EV/FCF = 29.33x (Enterprise Value 84.25b / FCF TTM 2.87b)
FCF Yield = 3.41% (FCF TTM 2.87b / Enterprise Value 84.25b)
FCF Margin = 16.71% (FCF TTM 2.87b / Revenue TTM 17.19b)
Net Margin = 12.87% (Net Income TTM 2.21b / Revenue TTM 17.19b)
Gross Margin = 31.98% ((Revenue TTM 17.19b - Cost of Revenue TTM 11.69b) / Revenue TTM)
Gross Margin QoQ = 33.08% (prev 31.62%)
Tobins Q-Ratio = 5.61 (Enterprise Value 84.25b / Total Assets 15.01b)
Interest Expense / Debt = 0.30% (Interest Expense 7.00m / Debt 2.32b)
Taxrate = 0.54% (12.0m / 2.22b)
NOPAT = 2.24b (EBIT 2.25b * (1 - 0.54%))
Current Ratio = 1.72 (Total Current Assets 10.49b / Total Current Liabilities 6.08b)
Debt / Equity = 0.28 (Debt 2.32b / totalStockholderEquity, last quarter 8.33b)
Debt / EBITDA = -1.24 (Net Debt -2.93b / EBITDA 2.36b)
Debt / FCF = -1.02 (Net Debt -2.93b / FCF TTM 2.87b)
Total Stockholder Equity = 7.25b (last 4 quarters mean from totalStockholderEquity)
RoA = 16.38% (Net Income 2.21b / Total Assets 15.01b)
RoE = 30.51% (Net Income TTM 2.21b / Total Stockholder Equity 7.25b)
RoCE = 29.35% (EBIT 2.25b / Capital Employed (Equity 7.25b + L.T.Debt 433.0m))
RoIC = 25.08% (NOPAT 2.24b / Invested Capital 8.94b)
WACC = 8.56% (E(87.18b)/V(89.50b) * Re(8.78%) + D(2.32b)/V(89.50b) * Rd(0.30%) * (1-Tc(0.01)))
Discount Rate = 8.78% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 4.11%
[DCF] Terminal Value 79.78% ; FCFF base≈2.64b ; Y1≈3.25b ; Y5≈5.55b
[DCF] Fair Price = 429.4 (EV 85.47b - Net Debt -2.93b = Equity 88.40b / Shares 205.9m; r=8.56% [WACC]; 5y FCF grow 25.0% → 3.0% )
EPS Correlation: 70.49 | EPS CAGR: 14.15% | SUE: -2.33 | # QB: 0
Revenue Correlation: 98.14 | Revenue CAGR: 15.25% | SUE: 0.02 | # QB: 0
EPS next Quarter (2026-06-30): EPS=2.93 | Chg7d=+0.003 | Chg30d=+0.003 | Revisions Net=+3 | Analysts=12
EPS current Year (2026-12-31): EPS=13.06 | Chg7d=-0.002 | Chg30d=-0.010 | Revisions Net=+15 | Growth EPS=+24.2% | Growth Revenue=+13.4%
EPS next Year (2027-12-31): EPS=16.28 | Chg7d=+0.013 | Chg30d=+0.010 | Revisions Net=+8 | Growth EPS=+24.6% | Growth Revenue=+13.8%
[Analyst] Revisions Ratio: +0.60 (4 Up / 1 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = 6.3% (Discount Rate 8.8% - Earnings Yield 2.5%)
[Growth] Growth Spread = +7.5% (Analyst 13.8% - Implied 6.3%)
External Resources
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