Raymond James: Spotify could double subscribers by 2020
Raymond James is encouraging a Buy of Spotify with an eye toward effectively exploring a moving music show and possibly multiplying its supporter base by 2020.
The firm started scope with a value focus of $190, suggesting 18% upside.
"The music business is moving from a value-based to on-request model, and Spotify is very much situated to twofold its supporter base, grow net edge, and produce material free income," says investigator Justin Patterson, who likewise thinks "endorser upside and positive amendments should make SPOT re-rate to a Netflix numerous." (h/t Bloomberg)
He expects relentless income development of 27% this year, trailed by 28% of every 2019 and 27% of every 2020.
Recently, Wells Fargo began scope at Market Perform with a $150 value target, while Tuesday brought its first Sell rating, from Loop Capital.