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Spotify:Quarterly Results/2024 Q3: Difference between revisions
Spotify:Quarterly Results/2024 Q3 (view source)
Revision as of 09:51, 8 November 2024
, 8 November 2024→There are few unexpected surprises on Q3 print
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* Buy, $399->$438: Rosenblatt said Spotify has a lot of "good new tailwinds". However, they think that since the shares are up 98% year-to- date, a "near-term reset might present an opportunity"<ref>https://thefly.com/permalinks/entry.php/id4000025/SPOT-Spotify-price-target-raised-by--at-Rosenblatt-heres-why</ref>. | * Buy, $399->$438: Rosenblatt said Spotify has a lot of "good new tailwinds". However, they think that since the shares are up 98% year-to- date, a "near-term reset might present an opportunity"<ref>https://thefly.com/permalinks/entry.php/id4000025/SPOT-Spotify-price-target-raised-by--at-Rosenblatt-heres-why</ref>. | ||
=== | === Spotify Q3 results to meet expectations=== | ||
*Overweight, $440->$490: Keybanc said there are few surprises on Q3 print, outside of social charges and FX. They pointed out that bundling adoption seems to be going on well. They also highlighted that consensus gross margin and operating margin for Q4 and through 2025 continue to look low. However, they think that the product cycle and moderating competitive landscape supports at least 15% annual growth revenue and operating margin of 15% by 2026<ref>https://thefly.com/permalinks/entry.php/id3998984/SPOT-Spotify-price-target-raised-by--at-KeyBanc-heres-why</ref>. | *Overweight, $440->$490: Keybanc said there are few surprises on Q3 print, outside of social charges and FX. They pointed out that bundling adoption seems to be going on well. They also highlighted that consensus gross margin and operating margin for Q4 and through 2025 continue to look low. However, they think that the product cycle and moderating competitive landscape supports at least 15% annual growth revenue and operating margin of 15% by 2026<ref>https://thefly.com/permalinks/entry.php/id3998984/SPOT-Spotify-price-target-raised-by--at-KeyBanc-heres-why</ref>. | ||
*Buy, $430: BofA wrote on September 30 that they expect Spotify's third-quarter results to meet or exceed management's guidance. BofA estimates that revenue will come in at €4.04 billion, gross margin will be in line with the guidance at 30.2% while MAUs and premium subscribers will come in at 639 million and 251 million, respectively. However, they expect weakness in the U.S dollar to impact Spotify's ad revenue which is more susceptible to currency variations. BofA also lowered their estimate for operating income to $345 million, below management's guidance of $405 million to accommodate for social charges<ref>https://www.investing.com/news/company-news/bofa-reiterates-buy-rating-on-spotify-shares-93CH-3640691</ref>. | |||
===Spotify continues to increase prices=== | ===Spotify continues to increase prices=== | ||