Spotify Technology S.A. (NYSE: SPOT) announced a price hike for premium subscriptions, increasing from $11.99/month to $12.99/month starting in February. Jefferies lowered the price target on SPOT to $750 from $800, maintaining a ‘Buy’ rating due to projected revenue acceleration in 2026. The company is seen as an “undermonetized asset” with strong growth potential.

Spotify Technology S.A. (NYSE: SPOT) is a Luxembourg-based audio streaming subscription service provider founded in 2006. The company operates through two segments: Premium and Ad-Supported. Over the next month, Premium subscribers in the U.S., Estonia, and Latvia will receive emails explaining the price update, reflecting the value Spotify delivers.

Jefferies maintains SPOT as a “Top Pick” with additional upside potential from super-fan and upsell initiatives. The firm’s price target of $750 is based on revenue acceleration projections in 2026. SPOT is considered an undermonetized asset with strong growth potential, offering a clean revision story. Estimates for 2027 free cash flow per share are nearly 15% ahead of consensus.

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Read more at Yahoo Finance: Spotify Lifts Monthly Premium Fee to $12.99