Core Insights - Spotify Technology S.A. has been identified as a must-buy stock following a price target increase from Cantor Fitzgerald, reflecting strong Q3 performance [1][2] Financial Performance - Spotify reported Q3 2025 revenue of €4.3 billion, exceeding consensus by 1%, and operating income of €582 million, outperforming expectations by 16% [1] - The company’s gross margin improved to 31.6%, surpassing guidance by 50 basis points, with a forecasted Q4 revenue of €4.5 billion, slightly below the €4.6 billion estimate [2] - Annual revenue for Spotify is nearing $19.8 billion, with a gross profit margin of 31.85% [2] Subscriber Growth - The subscriber count increased by 12% year-over-year to 281 million, while Monthly Active Users reached 713 million, up 11% [1] Market Position and Strategy - Spotify is recognized as a leading global audio streaming platform, primarily generating revenue through paid subscriptions, advertising, and strategic partnerships [4] - The company is gaining traction in podcasts and audiobooks, and is integrating AI features, which may support future price increases and margin expansion [3] Future Projections - For FY26, revenue estimates were slightly reduced by 1%, but EBIT projections increased by 7%, with a new price target based on a blended 35x multiple of FY26/27 EBIT [3]