Analyst Finds Spotify's Stock Price 'Absurd'

Reported 11 days ago

Spotify's recent rise in stock price follows better-than-expected third quarter earnings, but analyst David Trainer warns that its valuation is unsustainable. He argues that to justify its current price, Spotify would need revenues of about $650 billion, almost twice the size of the entire music streaming industry. Trainer highlights the significant risk of investing in such an overpriced stock, indicating a potential larger downside if the current momentum falters.

Source: YAHOO

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