Spotify, Universal Music Stocks Drop Despite Surging U.S. Market – Journal Important Web

Although most penalization stocks gained continuance this week, Spotify dropped 4.6% to $302.27 despite the U.S. markets surging to achievement spot and digit newborn shrink reports that indicated the company’s deal toll has such shack for improvement. 

On weekday (July 10), KeyBanc increased Spotify’s toll direct from $400 to $410 on the belief that the mart is underestimating the company’s revenue, earnings and large edge for 2025 and 2026. In addition, author Research initiated coverage of Spotify with a $390 toll target. Given Spotify’s approaching toll of $302.27 on Friday, KeyBanc’s newborn toll direct implies 35.6% face patch Wolfe’s toll direct implies 29% upside. 

There was digit Spotify contestant this week, however. Redburn ocean downgraded Spotify to “sell” with a $230 toll direct — 23.9% beneath Friday’s approaching price. While Redburn’s analysts are impressed with Spotify’s operative momentum, they conceive the mart “is exclusive forecasting likewise such growth,” they wrote in an investor note. In April, Spotify — which module promulgation its second-quarter earnings on July 23 —said it expects second-quarter income to be 3.8 1000000000 euros ($4.1 billion), which would be a 19.6% process over the prior-year period. It also said it expected 245 meg subscribers, up 11.4% year-over-year.

Spotify also bucked the way among every stocks, which enjoyed a record-setting week. The Dow designer Industrial Average and S&P 500 reached all-time highs on weekday (July 12) patch the Nasdaq flower impact a newborn extreme on weekday (July 11). After gaining 0.2% this week, the tech-heavy Nasdaq is up 22.6% in 2024, patch the S&P 500 additional 0.9% and has gained 17.7% assemblage to date.

Spotify’s start was a field bourgeois in the Billboard Global Music Index (BGMI) dropping 0.9% to 1,828.20 this week, though a pair of another priceless stocks also played a persona modify as exclusive sextet of the 20 stocks forfeited connector this week. The index’s second-most-valuable component, Universal Music Group, declined 2.2% to 27.40 euros ($29.92) patch its sixth-most-valuable component, HYBE, lapse 3.9% to 189,700 won ($137.95). Despite this week’s decline, the BGMI is up 19.2% in 2024, meet unsure of the Nasdaq and aweigh of the S&P 500. 

Among stocks that saw gains this hebdomad was filmmaker Music Group (WMG), whose deal toll reinforced 2.0% to $30.93. On Thursday, Jefferies down WMG’s toll direct to $38 from $43, which implies 22.9% face over Friday’s approaching price. On Friday, author Research initiated coverage of WMG with a $37 toll target, which implies 19.6% upside. Meanwhile, Redburn downgraded WMG from “neutral” to “sell” and has a toll direct of $23, 25.6% beneath Friday’s approaching price. 

Sphere Entertainment Co. led every penalization stocks by gaining 16.6% to $43.66, transfer its year-to-date acquire to 28.4%. On Thursday, moneyman discoverer boosted its toll direct to $45 from $42, which implies 3.1% face from Friday’s approaching price. The company’s shares got a increase digit weeks past after inclose money titan Steve Cohen’s Point72 Asset Management took a 5.5% stake. Sphere’s miss company, flavourer Entertainment, gained 8.0% to $37.21.