Zweig DiMenna Associates LLC Boosts Holdings in Spotify Technology $SPOT

Key Points

• Zweig DiMenna Associates LLC nearly doubled its Spotify stake in the fourth quarter, increasing holdings by 99.8% to 28,235 shares worth about $16.4 million.
• Spotify continues to draw strong institutional interest, with several large investors boosting positions and 84.09% of shares now owned by institutions.
• The company posted a solid quarterly beat, reporting EPS of $4.04 versus $3.41 expected and revenue of $5.25 billion, even as insider selling and a securities-law investigation create some sentiment pressure.

Zweig DiMenna Associates LLC lifted its stake in Spotify Technology (NYSE:SPOT - Free Report) by 99.8% in the 4th quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 28,235 shares of the company's stock after purchasing an additional 14,100 shares during the period. Spotify Technology accounts for about 1.0% of Zweig DiMenna Associates LLC's investment portfolio, making the stock its 23rd biggest holding. Zweig DiMenna Associates LLC's holdings in Spotify Technology were worth $16,396,000 as of its most recent filing with the Securities and Exchange Commission.

Several other institutional investors also recently modified their holdings of SPOT. Capital World Investors increased its stake in shares of Spotify Technology by 40.7% in the 3rd quarter. Capital World Investors now owns 2,730,713 shares of the company's stock worth $1,906,260,000 after acquiring an additional 789,755 shares in the last quarter. Capital Research Global Investors bought a new position in shares of Spotify Technology in the 3rd quarter worth about $512,190,000. Principal Financial Group Inc. increased its stake in shares of Spotify Technology by 3,534.9% in the 3rd quarter. Principal Financial Group Inc. now owns 571,474 shares of the company's stock worth $398,889,000 after acquiring an additional 555,752 shares in the last quarter. National Pension Service bought a new position in shares of Spotify Technology in the 4th quarter worth about $316,278,000. Finally, Swedbank AB increased its stake in shares of Spotify Technology by 37.9% in the 4th quarter. Swedbank AB now owns 1,616,321 shares of the company's stock worth $938,614,000 after acquiring an additional 444,162 shares in the last quarter. 84.09% of the stock is currently owned by institutional investors.

Key Headlines Impacting Spotify Technology

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

• Positive Sentiment: Spotify’s new paid AI remix and cover tools, developed with Universal Music Group, could create a fresh revenue stream while keeping artists involved through revenue sharing. Article: Spotify, UMG Deal Sets Up Paid AI Music Remix Tool
• Positive Sentiment: The company is also expanding its platform with “Reserved by Spotify” concert-ticket access and narrated long-form audio, which could deepen user engagement and improve Premium subscriber value. Article: Spotify Tests Superfan Tickets And Narrated Articles To Deepen Engagement
• Positive Sentiment: Recent commentary highlighted that Spotify’s broader AI and audio expansion strategy is helping investors view the company as more than just a music streamer. Article: Why Spotify Technology (SPOT) Is Up 5.5% After Launching Paid AI Remixes And Superfan Tools
• Neutral Sentiment: Analysts remain generally constructive, but recent price-target changes and mixed ratings suggest the market is still weighing execution risk against long-term growth potential. Article: Spotify Technology S.A. (SPOT) Gains Attention Following AI Remix Collaboration With Universal Music Group
• Negative Sentiment: Recent insider sales by directors, including Thomas Staggs and Christopher Marshall, may pressure sentiment because investors often view heavy insider selling cautiously. SEC filing for insider sale SEC filing for insider sale
• Negative Sentiment: A shareholder law firm is investigating potential securities-law issues at Spotify, adding a legal overhang for the stock. Article: SPOT Investors Have Opportunity to Join Spotify Technology S.A. Fraud Investigation

Insider Buying and Selling at Spotify Technology

In other Spotify Technology news, CEO Gustav Soderstrom sold 20,833 shares of the firm's stock in a transaction dated Tuesday, May 5th. The shares were sold at an average price of $430.72, for a total transaction of $8,973,189.76. Following the completion of the sale, the chief executive officer directly owned 20,492 shares in the company, valued at approximately $8,826,314.24. This trade represents a 50.41% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, Director Christopher P. Marshall sold 2,650 shares of the firm's stock in a transaction dated Tuesday, May 26th. The shares were sold at an average price of $519.86, for a total transaction of $1,377,629.00. Following the sale, the director owned 4,039 shares of the company's stock, valued at approximately $2,099,714.54. This represents a 39.62% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 90,609 shares of company stock worth $44,303,507 in the last 90 days. Insiders own 0.40% of the company's stock.

Wall Street Analyst Weigh In

SPOT has been the subject of several research reports. Weiss Ratings upgraded shares of Spotify Technology from a "hold (c)" rating to a "hold (c+)" rating in a research note on Monday, May 4th. Cantor Fitzgerald increased their price target on shares of Spotify Technology from $430.00 to $520.00 and gave the stock a "neutral" rating in a research note on Tuesday. Arete Research upgraded shares of Spotify Technology from a "neutral" rating to a "buy" rating and set a $586.00 price target for the company in a research note on Thursday, February 26th. Morgan Stanley increased their price target on shares of Spotify Technology from $590.00 to $610.00 and gave the stock an "overweight" rating in a research note on Friday, May 22nd. Finally, Daiwa Securities Group initiated coverage on shares of Spotify Technology in a research note on Thursday, March 26th. They issued an "outperform" rating and a $535.00 price target for the company. Two analysts have rated the stock with a Strong Buy rating, twenty-one have issued a Buy rating and six have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $655.92.

Spotify Technology Stock Performance

NYSE:SPOT opened at $496.41 on Friday. The firm has a market cap of $102.20 billion, a P/E ratio of 39.55, a P/E/G ratio of 1.26 and a beta of 1.55. Spotify Technology has a fifty-two week low of $405.00 and a fifty-two week high of $785.00. The firm has a 50-day simple moving average of $479.44 and a two-hundred day simple moving average of $519.98.

Spotify Technology (NYSE:SPOT - Get Free Report) last released its quarterly earnings data on Tuesday, April 28th. The company reported $4.04 earnings per share for the quarter, beating analysts' consensus estimates of $3.41 by $0.63. The business 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%. Spotify Technology's revenue was up 8.2% compared to the same quarter last year. During the same period last year, the business earned $1.07 EPS. On average, equities research analysts predict that Spotify Technology will post 14.72 EPS for the current year.

Spotify Technology Company 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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