Spotify: Why the Company Is Well on Its Way to Achieving $1B in Free Cash Flow

  • 📰 Investingcom
  • ⏱ Reading Time:
  • 56 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 26%
  • Publisher: 53%

Spotify Technology SA Nouvelles

Belgique Dernières Nouvelles,Belgique Actualités

Stocks Analysis by Investing.com (Calogero Selvaggio) covering: Spotify Technology SA. Read Investing.com (Calogero Selvaggio)'s latest article on Investing.com

The S&P 500 and Nasdaq have rallied, each achieving four consecutive sessions of record highs last week.Spotify is eyeing $1 billion in free cash flow by raising subscription prices, fueling bullish optimism.have soared recently. Both indexes notched four consecutive sessions of record highs last week. This impressive feat extends the S&P 500's winning streak to seven out of the last eight weeks.

After plummeting from the 2021 highs by more than 80% since 2023 it has been growing steadily, approaching all-time highs that are about +16% away.InvestingPro's analysis suggests Spotify might be overpriced. Their Fair Value estimate of $250.88 sits 19.9% below the current price. This move aims to improve profitability and cash flow, with a target of $1 billion in free cash flow by year-end. Additionally, Spotify is experiencing healthy growth in gross profit thanks to rising revenue and reduced operating costs.The future holds further potential growth drivers. Spotify is focusing on advertising, video monetization, and bundling audiobooks with premium subscriptions.

On a positive note, Spotify's premium subscriber base grew 14% year-over-year in Q1 2024, reaching 239 million. The company also anticipates exceeding 631 million monthly active users in Q2.This article is written for informational purposes only; it does not constitute a solicitation, offer, advice, counseling or recommendation to invest as such it is not intended to incentivize the purchase of assets in any way.

 

Merci pour votre commentaire. Votre commentaire sera publié après examen.
Nous avons résumé cette actualité afin que vous puissiez la lire rapidement. Si l'actualité vous intéresse, vous pouvez lire le texte intégral ici. Lire la suite:

 /  🏆 450. in BE

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

Bitcoin: Why Are Cryptos Struggling to Keep Up With the Stock Market?Market Analysis by Investing.com (Calogero Selvaggio) covering: S&P 500, BTC/USD. Read Investing.com (Calogero Selvaggio)'s Market Analysis on Investing.com
La source: Investingcom - 🏆 450. / 53 Lire la suite »

Those Still Hoping for a Market Crash Shouldn't Hold Their BreathStocks Analysis by Investing.com (Calogero Selvaggio) covering: S&P 500, CBOE Volatility Index. Read Investing.com (Calogero Selvaggio)'s latest article on Investing.com
La source: Investingcom - 🏆 450. / 53 Lire la suite »

June Kicks Off With Concerning Market Signals Brewing Under the SurfaceStocks Analysis by Investing.com (Calogero Selvaggio) covering: S&P 500. Read Investing.com (Calogero Selvaggio)'s latest article on Investing.com
La source: Investingcom - 🏆 450. / 53 Lire la suite »

Market at Frothy Highs? These Strategies Can Help You Create Wealth Starting NowMarket Overview Analysis by Investing.com (Calogero Selvaggio) covering: S&P 500, 10-2 Year Treasury Yield Spread. Read Investing.com (Calogero Selvaggio)'s latest article on Investing.com
La source: Investingcom - 🏆 450. / 53 Lire la suite »