SPOT stock: buy or sell
Updated on:
May 17th, 2021
1
SPOT stock brief
- Spotify closed last Friday at $223.59 after skyrocketing a 3.00% and broke a streak of 4 sessions in negative.
- Spotify Technology S. A., together with its subsidiaries, provides audio streaming services worldwide. It operates in two segments, Premium and Ad-Supported.
Should I buy Spotify stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best
Is $SPOT stock a buy?
Currently, Spotify stock doesn't match any of these trading strategies, so our recommendation is not to buy now. This doesn't mean $SPOT will slide in coming sessions, or it will not rise higher. Simply, it doesn't match our recommended trading systems
Should I sell Spotify stock?
"To sell or not to sell", if you are holding Spotify stock?. Trading strategies let us to avoid rash decisions based on our sentiments or the buzz that surrounds the market. Our trading system selects very simple strategies to guide us on when is a good time to sell a stock. Be aware that these strategies should not be used for shorting $SPOT stock
As a golden rule, you should never hold an open trade that yields higher than expected losses upon the buy. The timing to sell shares should always be determined by the stop-loss (automatic or manual)
Is it time to sell Spotify stock?
In the current situation of Spotify there is not any eligible sell setup, so Spotify stock holders with operations in profit can keep their positions
Spotify ratings
In the last month, 4 analyst ratings were published for Spotify. General sentiment is bullish, with 4 out of 4 publishing positive forecasts
| Brokerage firm | Rating |
|---|---|
| Apr 22nd, 2021 | |
| Jefferies Financial Group | |
| Apr 28th, 2021 | |
| Jefferies Financial Group | |
| Apr 29th, 2021 | |
| Pivotal Research | Neutral → |
| May 5th, 2021 | |
| Pivotal Research | Neutral → |
Spotify stock analysis
SMAs overview
Supports and resistances
The current resistance levels are:
The current supports are:
Bollinger bands
Relative strength index
After crossing down the line of 30 yesterday, crossed up back above with a value of 34.41. This is a strength sign for the Spotify shares
Spotify stock price history
Spotify IPO was on Apr 3rd, 2018 priced at $165.90 per share1. Since then, SPOT stock has risen by 34.77%, with an average of 11.59% per year. An investment of thousand dollars on Apr 2018 would be valued $1,347.74 today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Spotify stock
Nobody knows how much a share will be priced in the future. Banks and financial organisations publish their analysis predicting how a stock will performance in the future.
Along with buy or sell recommendations, brokerage institutions publish their price target based on the stock price action and the company fundamental data. Most of these estimates follow the publication of new fundamental information by the company, and many times. If you are a small investor you don't have to invest based on these forecasts.
There are 3 price forecasts released for Spotify that average $346.67. That is a 55.05% than the last price ($223.59).
| Brokerage firm | Price target |
|---|---|
| Apr 22nd, 2021 | |
| Jefferies Financial Group | Not available |
| Apr 28th, 2021 | |
| Jefferies Financial Group | $360.00 |
| Apr 29th, 2021 | |
| Pivotal Research | $340.00 |
| May 5th, 2021 | |
| Pivotal Research | $340.00 |
Earnings and financials
In late April, Spotify Technology S.A. ($SPOT) reported adjusted EPS for that strongly improved analysts' expectations. Quarterly EPS was $-0.30 per share compared to the forecasted $-0.48. This quarterly report means an earnings surprise of 37.50%. On the contrary, the company said turnover for this quarter was $2.6 billion aligned with the market estimates.
Same quarter last year, reported EPS was $-0.20, so recently reported EPS is a decrease of -50.00%. Revenue exploded a 16.18% on an annualized basis in the , from $18.5B to $21.5B last quarter.SPOT ($SPOT) will host the quarterly earnings call next July. Wall Street analysts predict of $-0.47, that is a 56.67% less than Q1.
Spotify performance
| Company | 1m | 3m | 6m |
|---|---|---|---|
| Spotify ($SPOT) | -25.40% | -34.80% | -14.40% |
Important note:
The opinions published in this article are personal and not recommendations for you to buy or sell shares. The author of this article does not know the particular circumstances of the reader, his or her finances or what is in his or her best interest at any given time. All users should speak with their financial advisor before buying or selling any securities Opinions are posted for learning purposes onlySPOT summary
| Friday, May 14th, 2021 | |
|---|---|
| Open | $219.05 |
| Close | $223.59 |
| Day range | $216.8 - $223.85 |
| Previous close | $217.07 |
| Session gain | 3.00% |
| Average true range | $16.70 |
| 50d mov avg | $266.99 |
| 100d mov avg | $298.35 |
| 200d mov avg | $282.25 |
| Earnings date | July 28th, 2021 |