🎧 Premium share instead of just a Premium subscription: My entry into Spotify 🎧
Not just a Premium user, but from today also a proud co-owner. The best entry opportunities often arise in phases of uncertainty. That's why $SPOT (+2,22 %) is a new addition to my portfolio as of today.
Why now? Here are 3 reasons why the share is currently a must-have for me:
1. the profitability machine is running 📈
Spotify is no longer just the app we all use - it's now a highly profitable company. With over 713 million users worldwide and a massive focus on expanding margins (audiobooks, podcasts, price increases), profits are booming. The operating result has recently beaten all expectations.
2. the "buy the dip" moment 📉
The share has corrected in recent months and is trading well below its all-time highs. Analysts (from Goldman Sachs to Deutsche Bank) see fair values at USD 750 and more in some cases. We are therefore currently getting the company at a substantial discount to "fair value". Technically speaking, the USD 400 area is an exciting zone to enter.
3. pricing power & innovation 💡
Whether price increases or new AI features: Users remain loyal. Cancellation rates are minimal, which shows how indispensable the service has become for us. That's the kind of moat I want to have in the depot.
The new figures will be published on February 10. I'm excited, but the long-term story is crystal clear to me: Spotify dominates the audio market.
What about you? Are you on Team Stream & Hold or are you still watching from the sidelines?
I think so too 😌 I've been a customer for a long time and I have to say what the algorithm can do is phenomenal. It's so much fun. Whether combined with Alexa at home, ambient music while cooking or reading, listening to podcasts in the car for appointments or at parties on the stereo. Spotify is the top dog among music streaming providers. Although they've raised their prices from time to time in recent years, I've never wanted to cancel. I love the app. Once had the chance to buy at €70 and didn't 🤦🏽♂️ but today I took my chance 😌
