Past performance does not predict future results. Informational only, not investment advice.
Author is going full portfolio into Spotify ahead of earnings, implying confidence in a positive earnings outcome and upside movement.
SPOT is undervalued and poised to hit all-time highs into earnings, justifying aggressive OTM call positions ahead of the earnings catalyst.
Spotify is transitioning into a cash-generating machine with strong subscriber growth, margin expansion, and cash flow generation. The author projects 94.9% upside to $1,000 by October 2029 based on reinforcing subscriber growth, monetization, and margin expansion without needing to eliminate competition.
Spotify is transitioning from a mature streaming app to a dominant global audio platform with inflecting margins and multiple under-monetized levers. The market underestimates normalized earnings power; with revenue growth and margin expansion, earnings can compound much faster than top-line growth, supporting a $1,200 price target within a year.
Spotify is unfairly de-rated as a "media company disrupted by AI" when it is positioned to be a beneficiary. Strong engagement, improving unit economics (gross margins expanding to 35-40% by 2030), and control of the consumer relationship via proprietary user data give Spotify leverage to negotiate better label deals and monetize AI features, supporting mid-teens revenue CAGR through 2030.
Jenkins Dustee (Chief Public Affairs Officer at Spotify Technology S.A.) reported an open-market sale of 3,810.26 shares of SPOT at an average $512.92, roughly $1,954,343, in a Form 4 filed 2026-08-18.
Spotify is severely underbought and poised for significant growth driven by improving guidance and new revenue streams. The author believes the stock can reach $1500-2000 within a year and is holding $500k of OTM calls.
Spotify should already be at all-time highs; author has $300k in calls (both short-term and long-term leaps) plus margin shares ahead of earnings, betting on meaningful upside.
End of results.