{"id":1194446,"date":"2025-12-19T11:52:09","date_gmt":"2025-12-19T09:52:09","guid":{"rendered":"https:\/\/www.etoro.com\/?p=1194446"},"modified":"2026-03-20T19:28:20","modified_gmt":"2026-03-20T17:28:20","slug":"deep-dive-streaming-with-spotify","status":"publish","type":"post","link":"https:\/\/www.etoro.com\/en-us\/news-and-analysis\/market-insights\/deep-dives\/deep-dive-streaming-with-spotify\/","title":{"rendered":"Deep Dive: Streaming With Spotify"},"content":{"rendered":"

Spotify’s stock has been volatile over the years, but its business has been fairly steady. The Daily Breakdown dives into the details.<\/p>\n

Before we dive in, let\u2019s make sure you\u2019re set to receive The Daily Breakdown each morning. <\/span><\/i>To keep getting our daily insights<\/i><\/b>, all you need to do is <\/span><\/i>log in<\/span><\/i><\/a> to your eToro account.<\/span><\/i><\/p>\n

Deep Dive<\/b><\/h2>\n

It\u2019s that time of year when Spotify gives us our year-end wrap \u2014 so we\u2019re doing one for Spotify<\/a> itself. As most readers know, Spotify provides audio streaming services worldwide through its Premium and Ad-Supported segments. The company, founded in 2006 and headquartered in Luxembourg, has had a remarkable run as a public business.<\/span><\/p>\n

After more than doubling from its 2018 opening price to its 2021 high, shares collapsed in the subsequent bear market, falling more than 80% \u2014 \ud83e\udee3. But the rebound was even more dramatic: the stock rallied over 1,000% from those lows, eventually reaching an all-time high of $785 in June 2025.<\/span><\/p>\n

The Business<\/b><\/h4>\n

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As the chart above shows, premium users, monthly active users, and revenue have continued to climb steadily over the years. Even during Spotify\u2019s brutal 2021\u201322 stock decline, the underlying business kept expanding. However, Spotify struggled with profitability for much of its history \u2014 from 2015 through 2023, it recorded only one year of positive operating income.<\/span><\/p>\n

That changed in 2024, when operating profit surged, and it has grown even further in 2025. This shift to sustained profitability is a major reason the stock has seen such a powerful rebound from its lows.<\/span><\/p>\n

Future Growth Projections<\/b><\/h4>\n

When we look toward the future, analysts remain optimistic about Spotify\u2019s underlying growth potential. Notice how earnings growth is far outpacing revenue growth, which is a good sign for the company\u2019s margins. According to Bloomberg, analysts project the following:<\/span><\/p>\n