SPOTIFY TECHNOLOGY SA (1SPOT.MI) Stock Fundamental Analysis
Europe - BIT:1SPOT - LU1778762911 - Common Stock
560.5 EUR
+12.8 (+2.34%)
Taking everything into account, 1SPOT scores 6 out of 10 in our fundamental rating. 1SPOT was compared to 46 industry peers in the Entertainment industry. While 1SPOT has a great health rating, its profitability is only average at the moment. 1SPOT is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
1SPOT had positive earnings in the past year.
1SPOT had a positive operating cash flow in the past year.
In the past 5 years 1SPOT reported 4 times negative net income.
In the past 5 years 1SPOT always reported a positive cash flow from operatings.
1.2 Ratios
With an excellent Return On Assets value of 9.56%, 1SPOT belongs to the best of the industry, outperforming 89.13% of the companies in the same industry.
1SPOT's Return On Equity of 18.06% is amongst the best of the industry. 1SPOT outperforms 80.43% of its industry peers.
With an excellent Return On Invested Capital value of 19.82%, 1SPOT belongs to the best of the industry, outperforming 91.30% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.56% | ||
| ROE | 18.06% | ||
| ROIC | 19.82% |
ROA(3y)-0.84%
ROA(5y)-2.44%
ROE(3y)-6.13%
ROE(5y)-8.14%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of 1SPOT (8.32%) is better than 73.91% of its industry peers.
The Operating Margin of 1SPOT (11.68%) is better than 76.09% of its industry peers.
In the last couple of years the Operating Margin of 1SPOT has grown nicely.
1SPOT has a Gross Margin of 31.75%. This is in the lower half of the industry: 1SPOT underperforms 76.09% of its industry peers.
In the last couple of years the Gross Margin of 1SPOT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.68% | ||
| PM (TTM) | 8.32% | ||
| GM | 31.75% |
OM growth 3Y107.65%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.12%
GM growth 5Y3.51%
2. Health
2.1 Basic Checks
1SPOT has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, 1SPOT has more shares outstanding
1SPOT has more shares outstanding than it did 5 years ago.
The debt/assets ratio for 1SPOT has been reduced compared to a year ago.
2.2 Solvency
1SPOT has an Altman-Z score of 12.03. This indicates that 1SPOT is financially healthy and has little risk of bankruptcy at the moment.
1SPOT has a Altman-Z score of 12.03. This is amongst the best in the industry. 1SPOT outperforms 93.48% of its industry peers.
The Debt to FCF ratio of 1SPOT is 0.75, which is an excellent value as it means it would take 1SPOT, only 0.75 years of fcf income to pay off all of its debts.
1SPOT has a better Debt to FCF ratio (0.75) than 89.13% of its industry peers.
1SPOT has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
1SPOT's Debt to Equity ratio of 0.06 is amongst the best of the industry. 1SPOT outperforms 84.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.75 | ||
| Altman-Z | 12.03 |
ROIC/WACC2.65
WACC7.47%
2.3 Liquidity
1SPOT has a Current Ratio of 1.61. This is a normal value and indicates that 1SPOT is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Current ratio value of 1.61, 1SPOT belongs to the best of the industry, outperforming 80.43% of the companies in the same industry.
1SPOT has a Quick Ratio of 1.61. This is a normal value and indicates that 1SPOT is financially healthy and should not expect problems in meeting its short term obligations.
1SPOT has a Quick ratio of 1.61. This is amongst the best in the industry. 1SPOT outperforms 80.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
1SPOT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 38.11%, which is quite impressive.
The Revenue has grown by 11.89% in the past year. This is quite good.
The Revenue has been growing by 18.30% on average over the past years. This is quite good.
EPS 1Y (TTM)38.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%126.21%
Revenue 1Y (TTM)11.89%
Revenue growth 3Y17.47%
Revenue growth 5Y18.3%
Sales Q2Q%7.12%
3.2 Future
The Earnings Per Share is expected to grow by 29.24% on average over the next years. This is a very strong growth
Based on estimates for the next years, 1SPOT will show a quite strong growth in Revenue. The Revenue will grow by 12.31% on average per year.
EPS Next Y-1.83%
EPS Next 2Y45.94%
EPS Next 3Y41.06%
EPS Next 5Y29.24%
Revenue Next Year9.82%
Revenue Next 2Y12.76%
Revenue Next 3Y13.25%
Revenue Next 5Y12.31%
3.3 Evolution
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 98.51, the valuation of 1SPOT can be described as expensive.
1SPOT's Price/Earnings ratio is a bit cheaper when compared to the industry. 1SPOT is cheaper than 60.87% of the companies in the same industry.
1SPOT's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 25.89.
With a Price/Forward Earnings ratio of 47.76, 1SPOT can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1SPOT is on the same level as its industry peers.
1SPOT's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 34.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 98.51 | ||
| Fwd PE | 47.76 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1SPOT is valued a bit more expensive than 60.87% of the companies in the same industry.
1SPOT's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 39.36 | ||
| EV/EBITDA | 50.1 |
4.3 Compensation for Growth
The decent profitability rating of 1SPOT may justify a higher PE ratio.
A more expensive valuation may be justified as 1SPOT's earnings are expected to grow with 41.06% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y45.94%
EPS Next 3Y41.06%
5. Dividend
5.1 Amount
1SPOT does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1SPOT (11/5/2025, 7:00:00 PM)
560.5
+12.8 (+2.34%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners70.11%
Inst Owner ChangeN/A
Ins Owners16.2%
Ins Owner ChangeN/A
Market Cap114.74B
Revenue(TTM)16.90B
Net Income(TTM)1.41B
Analysts78.3
Price Target661.54 (18.03%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-29.44%
Min EPS beat(2)-121.7%
Max EPS beat(2)62.82%
EPS beat(4)1
Avg EPS beat(4)-31.07%
Min EPS beat(4)-121.7%
Max EPS beat(4)62.82%
EPS beat(8)4
Avg EPS beat(8)25.11%
EPS beat(12)5
Avg EPS beat(12)22.23%
EPS beat(16)7
Avg EPS beat(16)28.56%
Revenue beat(2)0
Avg Revenue beat(2)-2.29%
Min Revenue beat(2)-3.59%
Max Revenue beat(2)-1%
Revenue beat(4)0
Avg Revenue beat(4)-1.9%
Min Revenue beat(4)-3.59%
Max Revenue beat(4)-0.75%
Revenue beat(8)0
Avg Revenue beat(8)-2.15%
Revenue beat(12)0
Avg Revenue beat(12)-2.17%
Revenue beat(16)0
Avg Revenue beat(16)-1.78%
PT rev (1m)1.66%
PT rev (3m)3.27%
EPS NQ rev (1m)1.61%
EPS NQ rev (3m)-2.23%
EPS NY rev (1m)-5.47%
EPS NY rev (3m)-35.97%
Revenue NQ rev (1m)-1.47%
Revenue NQ rev (3m)-2.55%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)-3.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 98.51 | ||
| Fwd PE | 47.76 | ||
| P/S | 6.79 | ||
| P/FCF | 39.36 | ||
| P/OCF | 38.76 | ||
| P/B | 14.75 | ||
| P/tB | 17.21 | ||
| EV/EBITDA | 50.1 |
EPS(TTM)5.69
EY1.02%
EPS(NY)11.74
Fwd EY2.09%
FCF(TTM)14.24
FCFY2.54%
OCF(TTM)14.46
OCFY2.58%
SpS82.54
BVpS38
TBVpS32.57
PEG (NY)N/A
PEG (5Y)N/A
Graham Number69.75
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.56% | ||
| ROE | 18.06% | ||
| ROCE | 23.36% | ||
| ROIC | 19.82% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 11.68% | ||
| PM (TTM) | 8.32% | ||
| GM | 31.75% | ||
| FCFM | 17.25% |
ROA(3y)-0.84%
ROA(5y)-2.44%
ROE(3y)-6.13%
ROE(5y)-8.14%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y291.99%
ROICexc growth 5YN/A
OM growth 3Y107.65%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y4.12%
GM growth 5Y3.51%
F-Score6
Asset Turnover1.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.75 | ||
| Debt/EBITDA | 0.21 | ||
| Cap/Depr | 42.06% | ||
| Cap/Sales | 0.27% | ||
| Interest Coverage | 50.62 | ||
| Cash Conversion | 142.24% | ||
| Profit Quality | 207.47% | ||
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.61 | ||
| Altman-Z | 12.03 |
F-Score6
WACC7.47%
ROIC/WACC2.65
Cap/Depr(3y)10.82%
Cap/Depr(5y)33.93%
Cap/Sales(3y)0.12%
Cap/Sales(5y)0.45%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)38.11%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%126.21%
EPS Next Y-1.83%
EPS Next 2Y45.94%
EPS Next 3Y41.06%
EPS Next 5Y29.24%
Revenue 1Y (TTM)11.89%
Revenue growth 3Y17.47%
Revenue growth 5Y18.3%
Sales Q2Q%7.12%
Revenue Next Year9.82%
Revenue Next 2Y12.76%
Revenue Next 3Y13.25%
Revenue Next 5Y12.31%
EBIT growth 1Y99.6%
EBIT growth 3Y143.94%
EBIT growth 5YN/A
EBIT Next Year63.74%
EBIT Next 3Y43.76%
EBIT Next 5Y30.54%
FCF growth 1Y1335.96%
FCF growth 3Y102.27%
FCF growth 5Y39.14%
OCF growth 1Y1289.67%
OCF growth 3Y85.41%
OCF growth 5Y32.05%
SPOTIFY TECHNOLOGY SA / 1SPOT.MI FAQ
What is the fundamental rating for 1SPOT stock?
ChartMill assigns a fundamental rating of 6 / 10 to 1SPOT.MI.
What is the valuation status of SPOTIFY TECHNOLOGY SA (1SPOT.MI) stock?
ChartMill assigns a valuation rating of 3 / 10 to SPOTIFY TECHNOLOGY SA (1SPOT.MI). This can be considered as Overvalued.
What is the profitability of 1SPOT stock?
SPOTIFY TECHNOLOGY SA (1SPOT.MI) has a profitability rating of 6 / 10.
What is the expected EPS growth for SPOTIFY TECHNOLOGY SA (1SPOT.MI) stock?
The Earnings per Share (EPS) of SPOTIFY TECHNOLOGY SA (1SPOT.MI) is expected to decline by -1.83% in the next year.