Spotify’s (SPOT) shares extended their 13% previous-day gain, climbing another 9% on Friday morning. This came as Wall Street analysts raised their SPOT price targets following the Swedish streaming giant’s bullish forecast on Thursday at its first investor day since 2022.
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Spotify Outlines Key Targets for 2030
Key highlights from the event, which was held in New York City, include:
- A deal with record giant Universal Music (UMGNF) for AI-powered covers and remixes for users
- Hitting $100 billion in revenue by 2030, with earnings up by mid-teens at a compound annual growth rate
- A gross margin growth of between 35% and 40% by 2030
- One billion global subscribers by 2030. Its total monthly active users stood at 761 million at the end of the first quarter of 2026, which ended on March 31
Analysts Show Price Raises on Spotify Stock
Key highlightS of analysts’ reactions to the Investor Day presentations are as follows:
- Morgan Stanley analyst Sean Diffley kept his SPOT Buy rating and lifted his price target to $610 from $590, suggesting about 16% upside. He believes the event should help Spotify “move back to the AI winner bucket.”
- JPMorgan analyst Doug Anmuth stuck with his Buy rating on Spotify’s shares and lifted his price target from $600 to $650, implying 24% upside. Anmuth described the event as “strong” and the Universal Music deal as “landmark”. He added that the 2030 targets exceeded expectations.
- Raymond James reaffirmed its Buy rating and raised its price target from $555 to $615, predicting about 26% upside from Thursday’s closing price of $489.93. The firm said the AI-driven product roadmap outlined by Spotify came in more robust than expected.
- Rosenblatt analyst Barton Crockett maintained his Hold rating but raised his price target from $500 to $534, suggesting roughly 2% upside. Crockett said the deal with Universal Music and the exclusive ticket sales contract with Live Nation (LYV) are “great,” but already priced into SPOT shares.
Is Spotify a Buy, Sell, or Hold?
Across Wall Street, analysts consider Spotify’s shares a Strong Buy based on their consensus rating. This breaks down into 20 Buys and five Holds issued by 25 analysts over the past three months.
In addition, the average SPOT price target of $603.71 suggests about 15% upside from current trading levels.
