Connect with us

Hi, what are you looking for?


Spotify stock price forecast: Wells Fargo sees a 50% upside

spotify stock price forecast wells fargo

Spotify Technology SA (NYSE: SPOT) is trading up on Monday after a Wells Fargo analyst turned super bullish on the audio streaming giant that he said was now “off margin probation”.

Spotify stock could be worth $180

Steven Cahall upgraded the tech stock this morning to “overweight” and announced a price target of $180 that suggests a whopping 50% upside on its previous close.

The analyst is bullish primarily because he expects Spotify Technology SA to significantly improve its margins moving forward. His note reads:

When we upgraded Spotify stock to equal weight, it was predicated on management showing progress against margin targets. Opex is demonstrating leverage as OI losses improve, and we think SPOT will be break-even in 1Q24.

Last week, Spotify said it ended its fourth quarter with 489 million MAUs – a 20% year-on-year increase. You can read its full earnings release HERE.

Price hike will help boost margins

Spotify Technology is expected to lift prices this year, which, as per the Wells Fargo analyst, will further help with gross margins.

He likes Spotify stock also on the expected recovery in advertising and continued expansion of the marketplace.

This is during an ad recession, so, podcasting is likely a bit behind. We see margins and valuation as upward bound with margin delivery rerating SPOT. We’re ahead of Street on gross and op margins for `23-`25.

Last month, Invezz reported that the media services provider planned on lowering its headcount by 6.0%. Also on Monday, analysts at Atlantic Equities also recommended buying Spotify stock that’s already up more than 45% for the year.

The post Spotify stock price forecast: Wells Fargo sees a 50% upside appeared first on Invezz.

You May Also Like


Mimiq, Inc is announcing today the launch of their new product, Mimiq Track, at CES as part of their latest product line to operate...


Genesis Trading, the cryptocurrency brokerage and lender that halted customer withdrawals in the aftermath of FTX collapse, believes it can sort out its financial...

Editor's Pick

If you haven’t been following the “Twitter Files” saga, the gist of it is that the US federal government routinely pressured pre-Musk Twitter, and...

Editor's Pick

On April 23, 1985, the Coca-Cola Company made one of the biggest mistakes in American business history: it changed the formula for Coca-Cola. Outraged...

Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2023