#5 - Spotify (NYSE:SPOT)
No matter what school of thought you follow, the pandemic will still be an issue through the first half of 2021. This means that the millions of Americans working from home will continue to do so. And that’s good news for Spotify (NYSE:SPOT). When they’re not on a Zoom call, these workers will frequently want the white noise in the background. And Spotify is about more than music. Adding a lineup of podcasts has been a clear winning strategy for Spotify.
On their October 29 earnings report, the company had a slight miss on the top and bottom lines, but the stock's overall trends remain strong. Consider that monthly active users (MAUs) increased by 29% on a year-over-year (YOY) basis. And the company also saw a 27% growth in its Spotify Premium subscribers (i.e., those that pay to skip the ads). And although earnings were down based on GAAP, the company still reported positive free cash flow nearly double on a YOY basis.
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.
Read More - Current Price
- $477.64
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 23 Buy Ratings, 5 Hold Ratings, 1 Sell Ratings.
- Consensus Price Target
- $421.69 (11.7% Downside)
