Spotify Faces Earnings Report with Rising Stock Confidence

Spotify Technology SA SPOT is set to announce its third-quarter earnings this Tuesday, with Wall Street anticipating earnings per share (EPS) of $1.89 and revenues reaching $4.37 billion, releasing figures after market hours.

Remarkable Stock Growth

Over the past year, Spotify’s stock has surged by 139.78%, reflecting a year-to-date increase of 117.39%.

Chart Analysis and Current Position

An analysis of the stock charts shows that Spotify is experiencing a robust upward trend, maintaining trading levels above key moving averages despite some minor selling pressures.

Chart created using Benzinga Pro

Currently priced at $400.68, Spotify’s stock sits well above its eight-day simple moving average (SMA) of $389.46. It also exceeds its 20-day SMA of $382.96 and its 50-day SMA of $366.56, indicating a strong upward trend. The significant distance from its 200-day SMA of $310.92 highlights the long-term strength of this upward trajectory.

The positive MACD reading at 7.41 reinforces this momentum. However, with a relative strength index (RSI) of 65.82, the stock is nearing overbought conditions, suggesting a possible consolidation period may follow.

Analyst Ratings and Price Projections

The consensus rating for Spotify stock is currently a Buy, with an average price target set at $356.56. Analysts from Benchmark, Deutsche Bank, and Wells Fargo have increased their average price target to $450, indicating a potential upside of 9.68% from current levels.