Legacy Capital Group California Inc. Sells 2,139 Shares of Spotify Technology $SPOT

Key Points

• Legacy Capital Group California Inc. cut its stake in Spotify by 59.5% in Q4, selling 2,139 shares and leaving it with 1,457 shares valued at about $846,000.
• Insider sales were significant: CEO Alex Norström sold 5,436 shares (~$2.61M) and Gustav Söderström sold 20,833 shares (~$9.86M) on April 1, reducing their holdings by 7.21% and 50.27%, respectively.
• Financials and outlook: Spotify beat expectations with Q4 EPS of $5.16 vs. $3.16 and revenue of $5.32B vs. $5.14B, and analysts hold a consensus "Moderate Buy" rating with a $691.21 target price.

Legacy Capital Group California Inc. lessened its stake in Spotify Technology (NYSE:SPOT - Free Report) by 59.5% in the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 1,457 shares of the company's stock after selling 2,139 shares during the quarter. Legacy Capital Group California Inc.'s holdings in Spotify Technology were worth $846,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also bought and sold shares of the company. Sivia Capital Partners LLC bought a new position in Spotify Technology in the second quarter valued at approximately $312,000. Jump Financial LLC increased its stake in shares of Spotify Technology by 5.2% in the 2nd quarter. Jump Financial LLC now owns 1,132 shares of the company's stock valued at $869,000 after purchasing an additional 56 shares during the last quarter. Cary Street Partners Financial LLC acquired a new position in shares of Spotify Technology during the 2nd quarter worth $178,000. NewEdge Advisors LLC raised its holdings in shares of Spotify Technology by 36.9% during the 2nd quarter. NewEdge Advisors LLC now owns 12,650 shares of the company's stock worth $9,707,000 after buying an additional 3,412 shares in the last quarter. Finally, Glenview Trust co bought a new stake in shares of Spotify Technology during the 2nd quarter worth $298,000. Institutional investors own 84.09% of the company's stock.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on the company. Wall Street Zen cut Spotify Technology from a "buy" rating to a "hold" rating in a research report on Saturday, April 18th. Daiwa Securities Group initiated coverage on shares of Spotify Technology in a research report on Thursday, March 26th. They set an "outperform" rating and a $535.00 price objective for the company. Weiss Ratings downgraded shares of Spotify Technology from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Thursday, February 26th. Moffett Nathanson initiated coverage on shares of Spotify Technology in a research report on Tuesday, January 27th. They issued a "neutral" rating and a $487.00 target price on the stock. Finally, UBS Group decreased their target price on shares of Spotify Technology from $850.00 to $800.00 and set a "buy" rating on the stock in a research note on Friday, January 9th. Two research analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $691.21.

Insider Activity at Spotify Technology

In other Spotify Technology news, CEO Alex Norstrom sold 5,436 shares of the stock in a transaction that occurred on Wednesday, April 1st. The shares were sold at an average price of $479.51, for a total transaction of $2,606,616.36. Following the completion of the sale, the chief executive officer owned 69,989 shares of the company's stock, valued at approximately $33,560,425.39. This represents a 7.21% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CEO Gustav Soderstrom sold 20,833 shares of Spotify Technology stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $473.52, for a total transaction of $9,864,842.16. Following the transaction, the chief executive officer directly owned 20,609 shares of the company's stock, valued at $9,758,773.68. This represents a 50.27% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 0.40% of the company's stock.

Spotify Technology Trading Down 0.5%

NYSE:SPOT opened at $520.10 on Thursday. The stock has a market cap of $107.08 billion, a P/E ratio of 53.95, a price-to-earnings-growth ratio of 1.15 and a beta of 1.70. The stock's 50-day moving average is $498.51 and its 200-day moving average is $554.62. Spotify Technology has a 1-year low of $405.00 and a 1-year high of $785.00.

Spotify Technology (NYSE:SPOT - Get Free Report) last issued its quarterly earnings data on Wednesday, February 11th. The company reported $5.16 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $3.16 by $2.00. Spotify Technology had a net margin of 13.16% and a return on equity of 31.35%. The business had revenue of $5.32 billion during the quarter, compared to analyst estimates of $5.14 billion. During the same quarter last year, the business earned $1.88 EPS. The firm's quarterly revenue was up 6.8% on a year-over-year basis. As a group, equities analysts forecast that Spotify Technology will post 15.55 EPS for the current year.

Spotify Technology Profile

Spotify Technology is a digital audio streaming company best known for its on-demand music service and a growing portfolio of spoken-word content. Founded in Sweden in 2006 by Daniel Ek and Martin Lorentzon and launched commercially in 2008, the company offers a cross-platform app that enables users to discover, stream and organize music, podcasts and other audio. Its primary consumer products include a free, ad-supported tier and a paid Spotify Premium subscription that provides ad-free listening, offline playback and higher-quality audio streams.

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