Spotify price target raised to $300 from $255 at KeyBanc

KeyBanc raised the firm’s price target on Spotify to $300 from $255 and keeps an Overweight rating on the shares as Q4 earnings reinforce its view that Spotify is undergoing an operating income and free cash flow inflection. The firm now projects operating margin expanding from (3.4%) in 2023 to 8.1% in 2025, with free cash flow ramping to EUR 1.70B. Net, KeyBanc continues to believe Spotify offers an attractive financial profile to Internet and Media investors.