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You Have a Chance to Buy This Super Streaming Stock at a 31% Discount. Should You Take It?

The article argues Spotify’s sell‑off presents a buying opportunity amid broader tech weakness (Nasdaq‑100 down ~12% from its Oct high). Despite being ~31–34% below its record, Spotify reported strong 2025 fundamentals: $20.3B revenue, 290M paid subscribers, and net income of $2.6B (up 94% YoY), lifting EPS to $12.40. Wall Street forecasts EPS of $15.43 (2026) and $19.34 (2027), implying forward P/Es of 32.9 and 26.3 versus the Nasdaq‑100’s current P/E of ~30.8. Management sees long‑run upside if Premium penetration grows from ~3.5% of global population toward 15%, potentially quadrupling the user base. The piece concludes Spotify’s improved margins and attractive valuation after the pullback could deliver meaningful long‑term returns for patient investors, signaling a bullish market view on the stock.

Category

Netflix

Sentiment

Bullish

Event

Market commentary

Reading time

1 min