09:10 AM EDT, 07/17/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our target price by $85 to $695, applying a wider risk premium and a forward TEV/EBITDA multiple of 43x that is near the 10-year historic average at 40x and below the five-year average at 65x. The premium valuation is tied to SPOT's best-in-class global platform for delivering music streaming. We think the central issue of valuation is how much should investors pay for a company driving 14%-16% revenue growth with widening margins driving higher EBITDA. This leads to EBITDA growth that is accelerating in excess of 30% per annum (2025-2026) from historical levels significantly lower. So, EBITDA would be the key fundamental driver to support our revised target. In our view, all companies eventually mature and this hits a sensitive issue for SPOT as to when music streaming will become a mature business. In our 2025-2026 outlook, we think it is premature to think along these lines, but DCF analysis suggests the intermediate period five to seven years out will show slower growth. SPOT reports on July 29.