Spotify has transformed from a great product into a great business and stock, Jim Cramer says

  • 📰 CNBC
  • ⏱ Reading Time:
  • 25 sec. here
  • 10 min. at publisher
  • 📊 Quality Score:
  • News: 41%
  • Publisher: 72%

Regwall-Investingclub News

Stock Takes,Jim Cramer,Investment Strategy

Spotify's quarterly results were 'really extraordinary' and reflect the company's transformation into a great business, CNBC's Jim Cramer said Tuesday.

Audio streaming giant Spotify has proven to be a "great business," and it's easy to see why it's become a strong-performing stock, too, CNBC's Jim Cramer said Tuesday. Shares of Spotify surged 11% Tuesday after the company's second-quarter earnings report beat Wall Street expectations. Spotify also impressed investors with better-than-anticipated premium subscriptions and operating margins, which also are expected to expand in the current quarter.

In June, Spotify introduced new subscription plans including a cheaper "Basic Tier" and announced price hikes in several key markets including the U.S. Notably, though, management said the company is seeing less churn — an industry term for the rate at which users cancel a service over a period — in response to this price increase compared with its prior round last year . "It made me think they could have put through an even bigger price increase," Cramer said.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in NG
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

Nigeria Nigeria Latest News, Nigeria Nigeria Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Jim Cramer gives a tactical look at the market rotation out of tech stocksCNBC's Jim Cramer reminded investors of his classic adage: Keep a diverse portfolio.
Source: CNBC - 🏆 12. / 72 Read more »

Jim Cramer's top 10 things to watch in the stock market WednesdayWall Street is headed for a lower open Wednesday, a day after the S&P 500 and Dow closed at record highs.
Source: CNBC - 🏆 12. / 72 Read more »

Jim Cramer's top 10 things to watch in the stock market ThursdayNasdaq futures rose Thursday after the tech-heavy Nasdaq Composite posted its worst day since 2022.
Source: CNBC - 🏆 12. / 72 Read more »