Spotify Technology (NYSE:SPOT) Upgraded by Phillip Securities to Hold Rating

Key Points

• Phillip Securities upgraded Spotify Technology (NYSE:SPOT) from a "moderate sell" rating to a "hold" rating, signaling a more positive outlook for the stock.
• Spotify's recent quarterly earnings report showed a loss of ($0.42) EPS, missing expectations significantly, but revenue rose 10.1% year-over-year, reaching $4.94 billion.
• Institutional investors hold a significant stake in Spotify, with 84.09% of shares owned by hedge funds and other institutions, indicating strong confidence in the company's future.

Phillip Securities upgraded shares of Spotify Technology (NYSE:SPOT - Free Report) from a moderate sell rating to a hold rating in a research report sent to investors on Monday morning,Zacks.com reports.

A number of other equities analysts have also weighed in on SPOT. Morgan Stanley reduced their target price on shares of Spotify Technology from $850.00 to $800.00 and set an "overweight" rating for the company in a research note on Wednesday, July 30th. Guggenheim upped their price objective on Spotify Technology from $725.00 to $840.00 and gave the stock a "buy" rating in a research report on Wednesday, June 25th. JPMorgan Chase & Co. increased their price objective on Spotify Technology from $730.00 to $780.00 and gave the stock an "overweight" rating in a report on Friday, July 11th. UBS Group cut their target price on Spotify Technology from $895.00 to $850.00 and set a "buy" rating on the stock in a research note on Wednesday, July 30th. Finally, Wells Fargo & Company upped their price target on Spotify Technology from $740.00 to $750.00 and gave the stock an "overweight" rating in a research report on Tuesday, July 29th. Ten research analysts have rated the stock with a hold rating and twenty have issued a buy rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $718.90.

Spotify Technology Stock Performance

NYSE:SPOT traded up $20.64 during trading hours on Monday, hitting $687.45. The stock had a trading volume of 2,441,891 shares, compared to its average volume of 2,685,037. The business's 50 day moving average is $701.76 and its 200-day moving average is $628.47. The company has a market cap of $140.73 billion, a price-to-earnings ratio of 166.86, a P/E/G ratio of 2.89 and a beta of 1.69. Spotify Technology has a one year low of $319.07 and a one year high of $785.00.

Spotify Technology (NYSE:SPOT - Get Free Report) last released its quarterly earnings data on Tuesday, July 29th. The company reported ($0.42) EPS for the quarter, missing analysts' consensus estimates of $2.00 by ($2.42). The firm had revenue of $4.94 billion during the quarter, compared to the consensus estimate of $4.29 billion. Spotify Technology had a net margin of 4.76% and a return on equity of 13.67%. Spotify Technology's quarterly revenue was up 10.1% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.33 EPS. On average, sell-side analysts anticipate that Spotify Technology will post 10.3 EPS for the current fiscal year.

Hedge Funds Weigh In On Spotify Technology

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. QRG Capital Management Inc. boosted its stake in Spotify Technology by 36.3% in the 1st quarter. QRG Capital Management Inc. now owns 710 shares of the company's stock valued at $391,000 after purchasing an additional 189 shares during the period. GAMMA Investing LLC boosted its position in shares of Spotify Technology by 38.1% in the first quarter. GAMMA Investing LLC now owns 1,305 shares of the company's stock valued at $718,000 after acquiring an additional 360 shares during the period. Cambridge Investment Research Advisors Inc. boosted its position in shares of Spotify Technology by 16.0% in the first quarter. Cambridge Investment Research Advisors Inc. now owns 8,543 shares of the company's stock valued at $4,699,000 after acquiring an additional 1,179 shares during the period. Fifth Third Bancorp grew its stake in shares of Spotify Technology by 30.7% in the first quarter. Fifth Third Bancorp now owns 302 shares of the company's stock valued at $166,000 after acquiring an additional 71 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC increased its position in Spotify Technology by 238.8% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 25,441 shares of the company's stock worth $13,993,000 after acquiring an additional 17,932 shares during the period. 84.09% of the stock is owned by institutional investors.

About Spotify Technology

Spotify Technology SA, together with its subsidiaries, provides audio streaming subscription services worldwide. It operates through two segments, Premium and Ad-Supported. The Premium segment offers unlimited online and offline streaming access to its catalog of music and podcasts without commercial breaks to its subscribers.