NewEdge Advisors LLC Sells 50,681 Shares of Spotify Technology $SPOT

Key Points

• NewEdge Advisors cut its Spotify stake by 80.1% in the second quarter, selling 50,681 shares and retaining 12,630 shares valued at approximately $5.8 million. Institutional investors collectively own 84.09% of Spotify.
• Analyst sentiment remains positive, with Spotify holding a “Moderate Buy” consensus rating and an average price target of $609.05; JPMorgan recently raised its target to $650.
• Spotify shares opened at $555.83, while the company’s latest quarterly results showed 13.9% year-over-year revenue growth to $5.45 billion, though earnings and revenue fell slightly short of analyst estimates.

NewEdge Advisors LLC lowered its stake in Spotify Technology (NYSE:SPOT - Free Report) by 80.1% in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 12,630 shares of the company's stock after selling 50,681 shares during the period. NewEdge Advisors LLC's holdings in Spotify Technology were worth $5,799,000 as of its most recent SEC filing.

Other large investors also recently added to or reduced their stakes in the company. Pin Oak Investment Advisors Inc. bought a new stake in shares of Spotify Technology in the 2nd quarter valued at approximately $27,000. Osbon Capital Management LLC bought a new position in shares of Spotify Technology during the 4th quarter valued at approximately $35,000. Portus Wealth Advisors LLC purchased a new stake in Spotify Technology during the 1st quarter valued at $32,000. Whipplewood Advisors LLC raised its holdings in Spotify Technology by 423.1% during the 1st quarter. Whipplewood Advisors LLC now owns 68 shares of the company's stock valued at $33,000 after buying an additional 55 shares during the period. Finally, Palladiem LLC bought a new stake in Spotify Technology in the first quarter worth $34,000. 84.09% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

SPOT has been the subject of several recent analyst reports. JPMorgan Chase & Co. lifted their price objective on shares of Spotify Technology from $600.00 to $650.00 and gave the stock an "overweight" rating in a research note on Friday, May 22nd. Guggenheim restated a "buy" rating and issued a $565.00 target price on shares of Spotify Technology in a report on Wednesday, August 5th. Weiss Ratings upgraded shares of Spotify Technology from a "hold (c)" rating to a "hold (c+)" rating in a report on Wednesday, August 26th. Argus reaffirmed a "buy" rating and set a $600.00 price target on shares of Spotify Technology in a research note on Thursday, August 13th. Finally, Wall Street Zen downgraded shares of Spotify Technology from a "buy" rating to a "hold" rating in a report on Saturday, July 25th. Two research analysts have rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and six have given a Hold rating to the stock. Based on data from MarketBeat, Spotify Technology presently has an average rating of "Moderate Buy" and an average target price of $609.05.

Insider Transactions at Spotify Technology

In related news, CEO Alex Norström sold 5,436 shares of the firm's stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $502.10, for a total value of $2,729,415.60. Following the transaction, the chief executive officer owned 66,773 shares of the company's stock, valued at $33,526,723.30. This trade represents a 7.53% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Gustav Söderström sold 20,833 shares of the firm's stock in a transaction dated Monday, July 6th. The stock was sold at an average price of $478.45, for a total transaction of $9,967,548.85. Following the completion of the transaction, the chief executive officer directly owned 20,259 shares in the company, valued at $9,692,918.55. This represents a 50.70% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last 90 days, insiders sold 52,538 shares of company stock worth $25,878,250. Company insiders own 0.40% of the company's stock.

Spotify Technology Stock Up 5.7%

SPOT opened at $555.83 on Tuesday. The business has a fifty day moving average of $510.28 and a 200 day moving average of $494.67. Spotify Technology has a 52-week low of $405.00 and a 52-week high of $745.00. The stock has a market cap of $114.43 billion, a P/E ratio of 34.61, a PEG ratio of 1.55 and a beta of 1.59.

Spotify Technology (NYSE:SPOT - Get Free Report) last released its earnings results on Tuesday, August 4th. The company reported $3.03 earnings per share for the quarter, missing analysts' consensus estimates of $3.16 by ($0.13). Spotify Technology had a return on equity of 41.39% and a net margin of 18.44%.The business had revenue of $5.45 billion during the quarter, compared to analysts' expectations of $5.47 billion. During the same quarter in the previous year, the business earned ($0.42) EPS. The business's revenue for the quarter was up 13.9% on a year-over-year basis. Equities analysts anticipate that Spotify Technology will post 14.29 EPS for the current fiscal year.

Spotify Technology Company Profile

Spotify Technology SA is a Luxembourg-based audio streaming company that operates the Spotify platform. The service gives users access to a broad catalog of music, podcasts and audiobooks, with features for searching, discovering, creating and sharing audio content across connected devices.

Spotify offers an ad-supported service at no subscription cost and paid Premium plans that provide additional features, including ad-free listening and offline playback. The company generates revenue primarily through subscriptions and advertising, while working with music labels, publishers, podcast creators and other rights holders to distribute content.

Founded in Stockholm in 2006 by Daniel Ek and Martin Lorentzon, Spotify launched its streaming service in 2008.

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