From Nasdaq: 2025-04-25 12:59:00

Spotify Technology S.A. (SPOT) is set to report its first-quarter 2025 results on April 29, with a Zacks Consensus Estimate of $2.32 per share for earnings, showing 121% year-over-year growth, and $4.5 billion for revenues, indicating 13.3% year-over-year growth.

Despite two upward revisions for the quarter, the Zacks Consensus Estimate for Spotify’s 2024 earnings has increased by 1.3% in the past 30 days. The company has a positive earnings surprise history, with earnings beating estimates in two of the last four quarters by an average of 22%.

Spotify’s current Earnings ESP is -8.61% with a Zacks Rank #3, indicating a potential lack of an earnings beat. Factors like subscriber and MAU growth are expected to drive the company’s results, with total MAUs estimated to grow by 10.3% year-over-year.

The stock price of SPOT has seen significant increases, up 35% year-to-date, 58% over the past six months, and 109% in the past year, indicating a strong rally phase. The company has shown strong performance metrics and sustained growth, supported by loyal consumers and cost reductions.

While Spotify’s growth prospects remain strong, potential investors may want to wait for a correction as the stock may not be poised for an earnings beat. The company’s long-term potential is solid, driven by subscriber gains and increases in ARPU among competitors like GOOGL, AAPL, and AMZN in the music streaming industry.



Read more at Nasdaq: Should You Buy Spotify Stock Ahead of Q1 Earnings Report?