Spotify stock was worth $76.61 per share when the market closed on December 28th. This means the streaming company’s stock has dropped 68.62 percent since the beginning of the year. Obviously, this raised questions about the share’s path for the upcoming year.
Of course, it’s been a difficult year for a lot of high-profile tech and entertainment stocks including Meta (down 65.85 percent from 2022’s start), Snap (down 81.65 percent), and Netflix (down 53.65 percent). These numbers raise questions from investors about Spotify’s shares outlook in 2023, since it was pretty high at the start of 2022. Certainly, the possibility of a recession in the near future has factored heavily into these discussions.
Meanwhile, besides continuing to tout its live-audio options, Spotify is evidently working to cut expenses in the podcasting space, where it’s dropped billions in recent years as part of a wider effort to move beyond music’s razor-thin margins. For instance, executives made multiple layoffs across Spotify’s podcast units in 2022. Moreover, they removed a good number of original programs from their future plans.
Despite the improvements as well as €3.04 billion in quarterly revenue (up 21 percent YoY), Spotify likewise identified a Q3 operating loss of €228 million. The company will post its fourth-quarter results before the market opens on January 31st.
Stay tuned for more news!