2023's gold rush for Taylor Swift and Beyoncé music should continue to bode well for shares of Spotify Technology , according to Morgan Stanley. Analyst Benjamin Swinburne named the music streaming company a top pick and reiterated his buy rating. Heightened engagement levels and ongoing innovation should fuel further market share gains and help the company hold onto pricing power, he added.
mountain Spotify shares have nearly doubled since the start of 2023. Product improvements, combined with Premium subscriber and average revenue per user growth, should also enable Spotify weather a difficult macro environment. Consensus estimates, he added, have also failed to take into account intermediate term gross margin and earnings before interest and tax expectations.