Spotify Audiobooks, Ad Growth Drive Analyst Confidence

On Tuesday, Bank of America Securities analyst Jessica Reif Ehrlich maintained a Buy rating on Spotify Technology SPOT with a price target of $700. Reif Ehrlich noted that Spotify is at an inflection point in profitability and FCF, driven by deeper subscriber penetration, price increases, new pricing tiers, advertising improvement driven by digital initiatives, and new businesses like Audiobooks and Education. The analyst is confident that Spotify's first-quarter 2025 results will be at least in line with g ...