Home Music Business Spotify is Officially Valued at $26.7 Billion

Spotify is Officially Valued at $26.7 Billion

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Spotify Closes First Day of Trading on NYSE

Yesterday was Spotify’s first day of public trading on the New York Stock Exchange. The first day of trading saw the company earn a real-life valuation of $26.7 Billion. The stock price of the world’s biggest music streaming company traded as high as $169 USD per share, but closed the day at $149.95.

The reference price of the stock was set by the NYSE at $132. This means the stock closed 14% higher than the initial reference price. However, there may be signs of choppy waters ahead.

According to HypeBot:

Analysts are also worried about Spotify’s path to profitability.¬†Gabelli & Co. analyst John Tinker initiated his coverage of Spotify with a “hold” rating. “Apple is¬†growing faster than Spotify and has a different business model whereby music does not have to be profitable on a standalone basis,” Tinker wrote. He predicted $130 per share market value for the stock this year.

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After hours trading of the stock saw it fall a bit further to $149 per share.

In related news, the NYSE made a mistake by placing the wrong country’s flag in front of the company logo as the trading day got underway.

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