4 Reasons Spotify [NYSE: SPOT] stock price could rise 30%
Despite a recent sell-off Seeking Alpha analyst Jay Wu is predicting an almost 30% rise in Spotify (NYSE: SPOT) stock from $267 to $344.
- Spotify’s high customer engagement and consumer sentiment provide it with the economic moat to fend off rivals.
- Spotify’s release of its hardware product: the Car Thing, addresses a sizeable segment of the market neglected by rivals.
- Spotify’s upcoming HiFi feature further cements its position as the world’s top audio platform and could draw customers away from smaller rivals.
- Spotify’s Marketplace diversify its revenue mix and improves its gross margins. The world’s biggest label is now onboard as well.
“With the sell-off, it is a good opportunity to buy given the long-term demand growth for music streaming and audio,” Wu writes.
Bruce Houghton is Founder and Editor of Hypebot and MusicThinkTank and serves as a Senior Advisor to Bandsintown which acquired both publications in 2019. He is the Founder and President of the Skyline Artists Agency and an online professor for the Berklee College Of Music.