Spotify Technology SA (NYSE:SPOT) is among the stocks with the best earnings growth for the next 5 years. On January 15, Spotify Technology SA (NYSE:SPOT) announced price increases for premium subscriptions. Beginning with February billing, the subscription fee will increase from $11.99/month to $12.99/month.
According to CNBC, Spotify Technology SA (NYSE:SPOT) last increased the Premium price for US users in June 2024 to $11.99 per month. As stated in the company announcement,
Over the next month, Premium subscribers in the US, Estonia, and Latvia will receive an email explaining what this update means for their subscriptions. Occasional pricing updates in our marketplaces reflect the value Spotify offers, allowing us to continue offering the best possible experience and benefiting artists.
Photo by Alexander Shatov on Unsplash
The same day, Jefferies cut the price target on Spotify Technology SA (NYSE:SPOT) to $750 from $800 and maintained a “Buy” rating. The firm maintains the company as a “Top Pick” due to projections of revenue acceleration in 2026, driven by price increases and sustained subscriber momentum. Additional improvement potential comes from superfan initiatives and other upsell initiatives. Jefferies calls the company an “undermonetized asset” with a “clean review history,” and says its estimates are nearly 15% ahead of consensus on 2027 free cash flow per share.
Spotify Technology SA (NYSE:SPOT) is a Luxembourg-based audio streaming subscription service provider. Founded in 2006, the company operates through two segments: Premium and advertising-supported.
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