Spotify (NYSE:SPOT) Cut to “Hold” at Zacks Investment Research

Zacks Investment Research downgraded shares of Spotify (NYSE:SPOT) from a strong-buy rating to a hold rating in a research report report published on Thursday, Zacks.com reports.

According to Zacks, “Spotify Technology S.A. provides music streaming services. The Company offers commercial free music and ad-supported services to subscribers. Spotify Technology S.A. is based in Sweden. “

Several other research analysts have also commented on SPOT. Loop Capital raised shares of Spotify from a sell rating to a hold rating in a research note on Thursday, August 1st. Rosenblatt Securities set a $184.00 price objective on shares of Spotify and gave the company a buy rating in a research note on Sunday, September 29th. Consumer Edge started coverage on shares of Spotify in a research note on Tuesday, August 20th. They issued an equal weight rating for the company. Pivotal Research reissued a hold rating and issued a $150.00 price objective (down previously from $155.00) on shares of Spotify in a research note on Wednesday, July 31st. Finally, Credit Suisse Group raised shares of Spotify from an underperform rating to a neutral rating and set a $120.00 price objective for the company in a research note on Tuesday, October 1st. Two research analysts have rated the stock with a sell rating, nine have issued a hold rating, twelve have issued a buy rating and two have given a strong buy rating to the company’s stock. Spotify has a consensus rating of Buy and a consensus price target of $160.50.

SPOT stock traded down $0.29 during mid-day trading on Thursday, hitting $115.20. 20,949 shares of the company were exchanged, compared to its average volume of 1,545,435. The company has a quick ratio of 0.76, a current ratio of 0.76 and a debt-to-equity ratio of 0.27. The firm has a market capitalization of $20.89 billion, a P/E ratio of -191.95 and a beta of 1.86. The business has a fifty day simple moving average of $122.78 and a 200-day simple moving average of $140.59. Spotify has a 12-month low of $103.29 and a 12-month high of $168.10.

Spotify (NYSE:SPOT) last announced its earnings results on Wednesday, July 31st. The company reported ($0.47) earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of ($0.51) by $0.04. The company had revenue of $1.87 billion during the quarter, compared to analyst estimates of $1.83 billion. Spotify had a net margin of 4.48% and a return on equity of 13.23%. Research analysts predict that Spotify will post -2.19 EPS for the current year.

Institutional investors have recently modified their holdings of the stock. Cowen Prime Services LLC acquired a new stake in Spotify during the second quarter worth approximately $29,000. AdvisorNet Financial Inc raised its holdings in Spotify by 148.9% during the second quarter. AdvisorNet Financial Inc now owns 224 shares of the company’s stock worth $33,000 after purchasing an additional 134 shares in the last quarter. Meridian Wealth Management LLC acquired a new stake in Spotify during the second quarter worth approximately $36,000. Northwestern Mutual Wealth Management Co. raised its holdings in Spotify by 253.2% during the first quarter. Northwestern Mutual Wealth Management Co. now owns 491 shares of the company’s stock worth $68,000 after purchasing an additional 352 shares in the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank acquired a new stake in Spotify during the second quarter worth approximately $73,000. Institutional investors own 49.05% of the company’s stock.

About Spotify

Spotify Technology SA, together with its subsidiaries, provides music streaming services worldwide. It operates through two segments, Premium and Ad-Supported. The Premium segment offers commercial-free music services to subscribers comprising unlimited online and offline high-quality streaming access to its catalog.

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