September 3, 2023
Public Sector Pension Investment Board Acquires Stake in Spotify Technology S.A.
According to the latest Form 13F filing with the Securities and Exchange Commission (SEC), the Public Sector Pension Investment Board has purchased a new position in shares of Spotify Technology S.A. (NYSE:SPOT). The fund acquired 120,000 shares of the company’s stock, valued at approximately $16,034,000 during the first quarter. At the end of the reporting period, Public Sector Pension Investment Board owned approximately 0.06% of Spotify Technology.
Spotify Technology recently released its earnings results for the second quarter on July 25th. The company reported an EPS (earnings per share) of ($1.69) for the quarter, falling short of analysts’ consensus estimate of ($0.80) by ($0.89). Furthermore, Spotify Technology had a negative net margin of 7.79% and a negative return on equity of 42.48%. Despite these results, it generated revenues amounting to $3.46 billion during the quarter.
As a provider of audio streaming services globally, Spotify Technology operates through two segments: Premium and Ad-Supported. The Premium segment allows subscribers to access its vast catalog of music and podcasts without interruptions from commercial breaks through unlimited online and offline streaming.
While research analysts anticipate that Spotify Technology S.A. will post earnings per share of -3.13 for this year, it is worth noting that these projections are subject to change based on various factors influencing the industry landscape.
Investment activity such as Public Sector Pension Investment Board’s acquisition signifies confidence in Spotify Technology’s long-term growth prospects despite recent financial performance setbacks. Observers will continue to monitor how Spotify Technology navigates challenges within its sector and whether they can translate their leading market position into sustained profitability moving forward.
Disclaimer: This article is only intended for informational purposes and should not be construed as investment advice. The information provided here is based on publicly available data and may not reflect the most current financial and market developments related to Spotify Technology S.A.
[bs_slider_forecast ticker=”SPOT”]
Investors Show Confidence in Spotify’s Potential for Growth
September 3, 2023 – Spotify Technology, a leading music streaming platform, has experienced significant interest from large investors. Several major investment firms have recently adjusted their holdings in the company, reflecting their confidence in Spotify’s potential for growth and success.
BlackRock Inc., one of the largest investment management corporations globally, increased its stake in Spotify Technology by 6.3% during the first quarter of this year. BlackRock now owns a total of 4,046,153 shares of Spotify stock valued at approximately $611,049,000. This significant increase demonstrates BlackRock’s belief in the future prospects of the music streaming giant.
Similarly, T. Rowe Price Investment Management Inc., another notable player in the investment management industry, also boosted its holding of Spotify Technology shares. The firm acquired an additional 10,302 shares during the last quarter, resulting in a total ownership of 2,733,909 shares valued at $215,843,000. This incremental investment showcases T. Rowe Price’s optimistic outlook on Spotify’s long-term value and growth potential.
Wellington Management Group LLP followed suit by substantially increasing its position in Spotify Technology during the first quarter of this year. With an additional 990,485 shares purchased recently, Wellington Management now holds a total of 1,694,044 shares valued at $226,358,000.
Norges Bank entered into a new position with Spotify Technology during the fourth quarter of last year. The bank acquired an undisclosed number of shares worth approximately $123,0270 million. This move indicates Norges Bank’s recognition of Spotify’s significance within the music streaming industry.
State Street Corporation also demonstrated its confidence in Spotify Technology by raising its holdings during the second quarter of this year. The corporation added an extra 7,906 shares to its existing portfolio and now possesses a total ownership stake amounting to 1%5%,11%,243 shares worth $141,%80,000.
Collectively, institutional investors and hedge funds currently own approximately 56.89% of Spotify Technology stock. This high level of ownership further emphasizes the market’s recognition of Spotify as a significant player in the music streaming industry.
On Friday, September 3, Spotify Technology’s stock traded up by $3.47 during midday trading, reaching a value of $157.44 per share. The company experienced a trading volume of 590,461 shares, which is lower than its average daily volume of 1,896,096 shares. Over the past year, Spotify stock has fluctuated between lows of $69.29 and highs of $182.00.
Spotify Technology is currently valued at approximately $29.95 billion in terms of market capitalization. The company boasts a price-to-earnings ratio of -29.30 and has a beta value of 1.74.
Various equities analysts have recently commented on Spotify Technology’s performance and future prospects in the market. Robert W. Baird increased their price target for the company from $160.00 to $175.00 in their report on June 5th earlier this year.
Bank of America also revised their target price for Spotify from $165.00 to $185.00 during last week’s report on June %9%. Piper Sandler followed suit by raising their price target for Spotify from $140.%0 to $165.%0 on July 14th.
The Goldman Sachs Group recently elevated their price objective for Spotify shares from $156.%0 to $163.%0 in a research note published on July %. They provided the stock with a “neutral” rating.
Deutsche Bank Aktiengesellschaft upgraded its rating for Spotify Technology from “hold” to “buy” and set a new price objective at $$180.%0 in an August %6% research report.
According to data obtained from Bloomberg.com, Spotify Technology currently has an average rating of “Moderate Buy” among analysts. The consensus target price for the company’s stock stands at $165.80.
In conclusion, Spotify Technology continues to attract interest from large investors who believe in its potential for long-term success. With several major investment firms adjusting their holdings and positive ratings from industry analysts, Spotify is poised to capitalize on its position as a leading music streaming platform.
End of article
