Lombard Odier Asset Management USA Corp Invests $1.30 Million in Spotify Technology $SPOT

Key Points

• Lombard Odier Asset Management USA Corp opened a new position in Spotify during the first quarter, buying 2,675 shares worth about $1.3 million.
• Spotify’s latest earnings showed strong results, with EPS of $4.04 beating estimates and revenue of $5.25 billion slightly above forecasts, while quarterly revenue rose 8.2% year over year.
• Wall Street remains generally constructive on the stock, with a Moderate Buy consensus and an average price target of $630.70, though some analysts have recently trimmed targets and insiders have also sold shares.

Lombard Odier Asset Management USA Corp acquired a new stake in Spotify Technology (NYSE:SPOT - Free Report) in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm acquired 2,675 shares of the company's stock, valued at approximately $1,297,000.

Several other hedge funds also recently bought and sold shares of SPOT. Portus Wealth Advisors LLC bought a new position in Spotify Technology in the 1st quarter valued at $32,000. Kemnay Advisory Services Inc. purchased a new position in shares of Spotify Technology during the 4th quarter valued at $32,000. Whipplewood Advisors LLC increased its holdings in shares of Spotify Technology by 423.1% in the first quarter. Whipplewood Advisors LLC now owns 68 shares of the company's stock worth $33,000 after purchasing an additional 55 shares during the period. Palladiem LLC bought a new position in shares of Spotify Technology in the first quarter worth $34,000. Finally, Newbridge Financial Services Group Inc. purchased a new stake in shares of Spotify Technology in the fourth quarter worth $35,000. Hedge funds and other institutional investors own 84.09% of the company's stock.

Spotify Technology Stock Performance

NYSE SPOT opened at $483.27 on Friday. Spotify Technology has a 52-week low of $405.00 and a 52-week high of $748.30. The company has a market capitalization of $99.49 billion, a P/E ratio of 38.51, a P/E/G ratio of 1.19 and a beta of 1.56. The company has a fifty day moving average of $481.62 and a 200-day moving average of $488.36.

Spotify Technology (NYSE:SPOT - Get Free Report) last announced its earnings results on Tuesday, April 28th. The company reported $4.04 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.41 by $0.63. The company had revenue of $5.25 billion during the quarter, compared to analyst estimates of $5.23 billion. Spotify Technology had a net margin of 15.56% and a return on equity of 35.73%. The firm's quarterly revenue was up 8.2% compared to the same quarter last year. During the same period in the previous year, the business earned $1.07 earnings per share. As a group, analysts forecast that Spotify Technology will post 14.51 EPS for the current fiscal year.

Key Headlines Impacting Spotify Technology

Here are the key news stories impacting Spotify Technology this week:

• Positive Sentiment: Several recent articles frame Spotify as a potentially attractive value or buy candidate compared with peers, which can support sentiment around the stock. XYZ or SPOT: Which Is the Better Value Stock Right Now?
• Positive Sentiment: Spotify is being highlighted as a trending stock with strong analyst interest, reinforcing the idea that Wall Street remains broadly constructive on the name. Is It Worth Investing in Spotify (SPOT) Based on Wall Street's Bullish Views?
• Neutral Sentiment: Benchmark reportedly lowered its expectations for Spotify, which could temper enthusiasm but does not appear severe enough on its own to dominate trading. Benchmark Has Lowered Expectations for Spotify Technology NYSE: SPOT Stock Price
• Negative Sentiment: A report that Spotify deleted more than 500,000 fake streams tied to Malcolm Todd has raised fraud and integrity concerns, which could be viewed as a reputational headwind for the platform. EXCLUSIVE: Spotify Deleted 500,000 Fake Malcolm Todd Streams. A Former SEC Lawyer Says the Bots May Have Committed a Federal Crime

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the company. Cantor Fitzgerald lifted their price objective on Spotify Technology from $430.00 to $520.00 and gave the company a "neutral" rating in a research note on Tuesday, May 26th. The Goldman Sachs Group decreased their target price on Spotify Technology from $670.00 to $600.00 and set a "buy" rating on the stock in a research note on Wednesday, April 29th. Citizens Jmp raised their price target on Spotify Technology from $600.00 to $625.00 and gave the company a "market outperform" rating in a report on Friday, May 22nd. Wells Fargo & Company dropped their price target on Spotify Technology from $600.00 to $570.00 and set an "overweight" rating for the company in a research report on Thursday, July 9th. Finally, Wall Street Zen lowered Spotify Technology from a "buy" rating to a "hold" rating in a report on Saturday. Two research analysts have rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and six have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $630.70.

Insider Activity

In other news, CEO Alex Norstrom sold 5,436 shares of the company's stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $480.86, for a total value of $2,613,954.96. Following the completion of the transaction, the chief executive officer directly owned 67,582 shares in the company, valued at approximately $32,497,480.52. This represents a 7.44% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Thomas O. Staggs sold 5,477 shares of the company's stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $526.00, for a total value of $2,880,902.00. Following the completion of the transaction, the director owned 3,619 shares of the company's stock, valued at $1,903,594. The trade was a 60.21% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 111,442 shares of company stock valued at $54,757,553. 0.40% of the stock is owned by insiders.

About Spotify Technology

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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