Spotify Technology S.A. (NYSE:SPOT) on Tuesday reported second-quarter results that missed Wall Street earnings and revenue estimates and issued downbeat third-quarter guidance for monthly active users.
The company posted second-quarter earnings of $3.03 per share, missing the analyst consensus estimate of $3.29. Revenue increased 14% year over year to $5.554 billion (4.78 billion euros), below the Street estimate of $5.600 billion.
For the third quarter, Spotify expects revenue of 5.0 billion euros, or about $5.813 billion, above the analyst consensus estimate of $5.770 billion.
The company expects Premium subscribers to reach 305 million, implying net additions of about 5 million. Monthly active users are projected to increase to 788 million, below analysts’ estimate of 793 million.
Spotify shares rose 1.7% to $486.05 in pre-market trading.
These analysts made changes to their price targets on Spotify following earnings announcement.
- Rosenblatt analyst Barton Crockett maintained the stock with a Neutral and lowered the price target from $531 to $527.
- Cantor Fitzgerald analyst Deepak Mathivanan maintained the stock with a Neutral and raised the price target from $510 to $530.
Considering buying SPOT stock? Here’s what analysts think:
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