BofA raised the firm’s price target on Spotify to $185 from $165 and keeps a Buy rating on the shares. The firm anticipates Spotify’s Q2 results will largely be in line across the main key performance indicators, such as revenue, premium subscribers and monthly active users, but, “more importantly,” it believes the focus will be on the Q3 guidance for gross margins and operating income given several cost-cutting initiatives the company has undertaken. In that context, BofA anticipates Spotify will reiterate expectations of sequential gross margin improvement throughout the year and the firm also expects the company to increase prices in 2023.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See the top stocks recommended by analysts >>
Read More on SPOT:
- Apple argues against EU antitrust charges in Spotify probe, Bloomberg says
- Spotify price target raised to $170 from $154 at Truist
- Spotify Scores Key Analyst Upgrade with New Subscription Tier On the Anvil
- Wolfe assumes Spotify at Outperform, cites top-line acceleration
- Spotify assumed at Outperform from Peer Perform at Wolfe Research