
Spotify (SPOT) Stock Forecast & Price Target
Spotify (SPOT) Analyst Ratings
Bulls say
Spotify Technology has demonstrated a solid growth trajectory, with premium subscribers increasing by 5 million to reach 281 million, while monthly active users surged by 17 million to 713 million, surpassing guidance. The firm achieved a gross margin of 31.6%, exceeding guidance by 50 basis points, and reported an operating profit of €582 million, reflecting a 28% year-over-year growth and a significant beat of nearly €100 million against expectations. Additionally, ad sales are anticipated to accelerate in the second half of 2026, further enhancing the company's financial outlook.
Bears say
Spotify Technology is experiencing a decline in advertising revenue, with guidance for Q4 2025 falling short of previous models, and ad trends indicating zero growth in average revenue per user (ARPU) coupled with a reported dip of 5.5% in advertising. Furthermore, margin expectations may be overly optimistic, as estimates for direct sales have also been disappointing. Key risks impacting the company's outlook include rising content costs, decreased negotiating leverage, stagnant subscription growth from R&D investments, increased competition, and potential legal issues stemming from their audiobook offerings.
This aggregate rating is based on analysts' research of Spotify and is not a guaranteed prediction by Public.com or investment advice.
Spotify (SPOT) Analyst Forecast & Price Prediction
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