Spotify Stock Plunges 7.48% on Q2 Performance Concerns

Mover TrackerTuesday, Apr 29, 2025 6:42 am ET
1min read

On April 29, 2025,

Technology's stock experienced a significant drop of 7.48% in pre-market trading, reflecting investor concerns over the company's second-quarter performance.

Spotify's recent financial outlook has been a mix of positive and negative news. The company forecasted an operating income of 539 million euros for the second quarter, which fell short of analyst estimates. This disappointing guidance has contributed to the recent decline in stock price. Additionally, Spotify's subscriber growth, while still robust, has not

Wall Street's expectations, with forecasts indicating 273 million subscribers for the second quarter, which is below market projections.

Despite these challenges, Spotify continues to show resilience in its user base and revenue growth. The company reported a 12% increase in its subscriber count, beating previous forecasts. However, the overall user growth for the current quarter is expected to be 689 million, which is below market expectations. This discrepancy has led to a cautious outlook among investors, who are closely monitoring the company's performance in key markets such as Europe and Latin America, where price adjustments are expected to take effect in the coming months.