Spotify (NYSE:SPOT) stock is up on Tuesday after the streaming company’s shares were upgraded by UBS analyst Batya Levi.
That upgrade has the UBS analysts boosting SPOT stock up from a “neutral” rating to a “buy” rating. The analysts’ consensus rating for SPOT shares is a moderate buy based on 22 opinions.
That upgrade also saw Levi increase the firm’s price target for SPOT stock from $170 per share to $274 per share. This represents a potential upside of 25.3% over yesterday’s closing price. It’s also bullish next to the analysts’ consensus price prediction of $204.33 per share.
What’s Behind the SPOT Stock Upgrade?
Here’s what the UBS analyst had to say about Spotify in a note to clients obtained by Seeking Alpha:
“We think efficiency initiatives remain the focus and have increased conviction on sustainable margin expansion and stronger bottom line trends in the coming years. This, coupled with solid sub/MAU growth, a steady cadence of price increases and advertising growth, should lead to an improved EBITDA trajectory.”
SPOT stock is up 1.2% as of Tuesday morning alongside the UBS analyst upgrade. The music streaming company’s shares are also up 15.6% year-to-date as of Monday’s close.
There are more hot stock market stories that traders will want to read about today below!
We have all of that news available with our breakdowns of the biggest stock market news on Tuesday! A few examples include what’s going on with shares of PDD Holdings (NASDAQ:PDD), Super Micro Computer (NASDAQ:SMCI) and 60 Degrees (NASDAQ:SXTP) stock today. You can catch up on these matters at the following links!
More Tuesday Stock Market News
- Why Is Pinduoduo (PDD) Stock Down Again Today?
- Why Is Super Micro Computer (SMCI) Stock Up 10% Today?
- Why Is 60 Degrees (SXTP) Stock Down 33% Today?
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
