Sven Hans Martin Lorentzon Sells 35,380 Shares of Spotify Technology (NYSE:SPOT) Stock

Key Points

• Spotify director Sven Hans Martin Lorentzon sold 35,380 shares on May 22 at an average price of $525.73, worth about $18.6 million. After the transaction, he retained 6,383 shares, cutting his ownership by 84.72%.
• Spotify shares fell 3.2% to $512.54, trading below both its 50-day and 200-day moving averages. The stock has ranged between $405 and $785 over the past 12 months.
• Recent earnings were stronger than expected, with Q1 EPS of $4.04 beating estimates and revenue of $5.25 billion slightly topping forecasts. Revenue rose 8.2% year over year, and analysts currently rate the stock a consensus “Moderate Buy.”

Spotify Technology (NYSE:SPOT - Get Free Report) Director Sven Hans Martin Lorentzon sold 35,380 shares of the firm's stock in a transaction dated Friday, May 22nd. The shares were sold at an average price of $525.73, for a total value of $18,600,327.40. Following the sale, the director directly owned 6,383 shares in the company, valued at approximately $3,355,734.59. This represents a 84.72% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link.

Spotify Technology Stock Down 3.2%

NYSE:SPOT traded down $17.17 on Wednesday, reaching $512.54. 1,862,581 shares of the company's stock traded hands, compared to its average volume of 2,675,334. Spotify Technology has a 12 month low of $405.00 and a 12 month high of $785.00. The stock has a 50-day simple moving average of $480.28 and a 200-day simple moving average of $521.61. The firm has a market cap of $105.52 billion, a PE ratio of 40.84, a P/E/G ratio of 1.26 and a beta of 1.55.

Spotify Technology (NYSE:SPOT - Get Free Report) last issued 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. Spotify Technology had a return on equity of 35.73% and a net margin of 15.56%.The firm had revenue of $5.25 billion for the quarter, compared to analysts' expectations of $5.23 billion. During the same period in the previous year, the firm posted $1.07 earnings per share. The business's revenue was up 8.2% compared to the same quarter last year. On average, equities analysts anticipate that Spotify Technology will post 14.86 earnings per share for the current year.

Spotify Technology News Roundup

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

• Positive Sentiment: Spotify is expanding its audio ecosystem by adding narrated magazine and long-form article playback for Premium users, giving subscribers more reasons to stay engaged in the app and potentially boosting retention. Spotify adds audio magazine articles for Premium users, long reads now play like podcasts
• Positive Sentiment: The company also launched new AI music-creation/remix initiatives with Universal Music Group and has been highlighting AI-generated music as part of its long-term strategy, which could improve monetization and keep Spotify central to the next wave of music creation. Spotify and UMG launch AI music creation feature with artist revenue sharing
• Positive Sentiment: Spotify is continuing to add shareable podcast tools, including “Podcast clips,” which may help creators drive more discovery and engagement on the platform. Spotify now lets you ‘clip' moments from your favorite podcast
• Positive Sentiment: Recent commentary around Spotify’s 2030 targets and monetization plan has reinforced the bull case that the company can grow users and margins over time. Spotify Sets 2030 Growth Targets, Shares Rally
• Neutral Sentiment: Analysts remain mixed on valuation, with Cantor Fitzgerald lifting its price target but keeping a neutral rating, suggesting the market sees upside but not a clear-cut bargain at current levels. Spotify Technology had its price target raised by Cantor Fitzgerald
• Negative Sentiment: Investor attention is also being drawn to a fraud investigation from a shareholder rights firm, which can create headline risk even before any findings are reached. SPOT Investors Have Opportunity to Join Spotify Technology S.A. Fraud Investigation with the Schall Law Firm

Analyst Upgrades and Downgrades

Several equities research analysts have weighed in on SPOT shares. Citizens Jmp boosted their price objective on Spotify Technology from $600.00 to $625.00 and gave the stock a "market outperform" rating in a research note on Friday, May 22nd. Morgan Stanley boosted their price objective on Spotify Technology from $590.00 to $610.00 and gave the stock an "overweight" rating in a research note on Friday, May 22nd. Wall Street Zen cut Spotify Technology from a "buy" rating to a "hold" rating in a research note on Saturday, May 9th. UBS Group reduced their price objective on Spotify Technology from $760.00 to $735.00 and set a "buy" rating on the stock in a research note on Thursday, April 30th. Finally, Citigroup raised Spotify Technology from a "neutral" rating to a "buy" rating and set a $650.00 price objective on the stock in a research note on Friday, January 30th. Two investment analysts have rated the stock with a Strong Buy rating, twenty-one have assigned a Buy rating and six have assigned a Hold rating to the company's stock. According to MarketBeat, Spotify Technology presently has a consensus rating of "Moderate Buy" and a consensus price target of $655.92.

Institutional Trading of Spotify Technology

Large investors have recently modified their holdings of the company. KERR FINANCIAL PLANNING Corp purchased a new stake in shares of Spotify Technology in the third quarter valued at approximately $26,000. Greykasell Wealth Strategies Inc. boosted its holdings in shares of Spotify Technology by 3,800.0% in the third quarter. Greykasell Wealth Strategies Inc. now owns 39 shares of the company's stock valued at $27,000 after purchasing an additional 38 shares during the period. Portus Wealth Advisors LLC purchased a new stake in shares of Spotify Technology in the first quarter valued at approximately $32,000. Kemnay Advisory Services Inc. purchased a new stake in Spotify Technology during the fourth quarter worth $32,000. Finally, Whipplewood Advisors LLC lifted its holdings in Spotify Technology by 423.1% during the first quarter. Whipplewood Advisors LLC now owns 68 shares of the company's stock worth $33,000 after buying an additional 55 shares during the period. Hedge funds and other institutional investors own 84.09% of the company's stock.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.