SPOTIFY TECHNOLOGY SA (1SPOT.MI) Stock Fundamental Analysis
Europe - BIT:1SPOT - LU1778762911 - Common Stock
625.1 EUR
+24.1 (+4.01%)
1SPOT gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 46 industry peers in the Entertainment industry. 1SPOT has an excellent financial health rating, but there are some minor concerns on its profitability. 1SPOT is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1SPOT was profitable.
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
Looking at the Return On Assets, with a value of 5.99%, 1SPOT is in the better half of the industry, outperforming 77.78% of the companies in the same industry.
1SPOT's Return On Equity of 12.16% is fine compared to the rest of the industry. 1SPOT outperforms 71.11% of its industry peers.
1SPOT has a better Return On Invested Capital (21.90%) than 91.11% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.99% | ||
| ROE | 12.16% | ||
| ROIC | 21.9% |
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
With a decent Profit Margin value of 4.85%, 1SPOT is doing good in the industry, outperforming 66.67% of the companies in the same industry.
1SPOT's Operating Margin of 11.11% is fine compared to the rest of the industry. 1SPOT outperforms 68.89% of its industry peers.
In the last couple of years the Operating Margin of 1SPOT has grown nicely.
1SPOT has a worse Gross Margin (31.63%) than 80.00% of its industry peers.
In the last couple of years the Gross Margin of 1SPOT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.11% | ||
| PM (TTM) | 4.85% | ||
| GM | 31.63% |
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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1SPOT is creating value.
The number of shares outstanding for 1SPOT has been increased compared to 1 year ago.
1SPOT has more shares outstanding than it did 5 years ago.
1SPOT has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 12.88 indicates that 1SPOT is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 12.88, 1SPOT belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
1SPOT has a debt to FCF ratio of 0.84. This is a very positive value and a sign of high solvency as it would only need 0.84 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.84, 1SPOT belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
1SPOT has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of 1SPOT (0.07) is better than 77.78% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.84 | ||
| Altman-Z | 12.88 |
ROIC/WACC2.95
WACC7.43%
2.3 Liquidity
1SPOT has a Current Ratio of 1.47. This is a normal value and indicates that 1SPOT is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.47, 1SPOT is doing good in the industry, outperforming 75.56% of the companies in the same industry.
A Quick Ratio of 1.47 indicates that 1SPOT should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.47, 1SPOT is doing good in the industry, outperforming 75.56% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.47 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 28.67% over the past year.
Looking at the last year, 1SPOT shows a quite strong growth in Revenue. The Revenue has grown by 14.80% in the last year.
Measured over the past years, 1SPOT shows a quite strong growth in Revenue. The Revenue has been growing by 18.30% on average per year.
EPS 1Y (TTM)28.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-131.58%
Revenue 1Y (TTM)14.8%
Revenue growth 3Y17.47%
Revenue growth 5Y18.3%
Sales Q2Q%10.14%
3.2 Future
Based on estimates for the next years, 1SPOT will show a very strong growth in Earnings Per Share. The EPS will grow by 28.32% on average per year.
The Revenue is expected to grow by 11.51% on average over the next years. This is quite good.
EPS Next Y5.06%
EPS Next 2Y46.49%
EPS Next 3Y42.88%
EPS Next 5Y28.32%
Revenue Next Year10.31%
Revenue Next 2Y12.98%
Revenue Next 3Y13.41%
Revenue Next 5Y11.51%
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
1SPOT is valuated quite expensively with a Price/Earnings ratio of 161.94.
1SPOT's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.30, 1SPOT is valued quite expensively.
A Price/Forward Earnings ratio of 52.87 indicates a quite expensive valuation of 1SPOT.
1SPOT's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of 1SPOT to the average of the S&P500 Index (22.73), we can say 1SPOT is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 161.94 | ||
| Fwd PE | 52.87 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1SPOT is valued a bit more expensive than the industry average as 62.22% of the companies are valued more cheaply.
1SPOT's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.38 | ||
| EV/EBITDA | 60.65 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
A more expensive valuation may be justified as 1SPOT's earnings are expected to grow with 42.88% in the coming years.
PEG (NY)32.04
PEG (5Y)N/A
EPS Next 2Y46.49%
EPS Next 3Y42.88%
5. Dividend
5.1 Amount
No dividends for 1SPOT!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1SPOT (8/19/2025, 7:00:00 PM)
625.1
+24.1 (+4.01%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)
Earnings (Next)
Inst Owners69.85%
Inst Owner ChangeN/A
Ins Owners16.2%
Ins Owner ChangeN/A
Market Cap127.96B
Analysts77.78
Price Target637.23 (1.94%)
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)0
Avg EPS beat(2)-87%
Min EPS beat(2)-121.7%
Max EPS beat(2)-52.29%
EPS beat(4)0
Avg EPS beat(4)-51.11%
Min EPS beat(4)-121.7%
Max EPS beat(4)-13.1%
EPS beat(8)4
Avg EPS beat(8)48.3%
EPS beat(12)4
Avg EPS beat(12)15.65%
EPS beat(16)6
Avg EPS beat(16)16.82%
Revenue beat(2)0
Avg Revenue beat(2)-2.94%
Min Revenue beat(2)-3.59%
Max Revenue beat(2)-2.29%
Revenue beat(4)0
Avg Revenue beat(4)-2.36%
Min Revenue beat(4)-3.59%
Max Revenue beat(4)-0.75%
Revenue beat(8)0
Avg Revenue beat(8)-2.16%
Revenue beat(12)0
Avg Revenue beat(12)-2.2%
Revenue beat(16)1
Avg Revenue beat(16)-1.7%
PT rev (1m)-0.52%
PT rev (3m)8.92%
EPS NQ rev (1m)-6.45%
EPS NQ rev (3m)-28.97%
EPS NY rev (1m)-31.48%
EPS NY rev (3m)-34.07%
Revenue NQ rev (1m)-1.44%
Revenue NQ rev (3m)-8.58%
Revenue NY rev (1m)-3.02%
Revenue NY rev (3m)-2.94%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 161.94 | ||
| Fwd PE | 52.87 | ||
| P/S | 7.7 | ||
| P/FCF | 45.38 | ||
| P/OCF | 44.96 | ||
| P/B | 19.31 | ||
| P/tB | 23.2 | ||
| EV/EBITDA | 60.65 |
EPS(TTM)3.86
EY0.62%
EPS(NY)11.82
Fwd EY1.89%
FCF(TTM)13.78
FCFY2.2%
OCF(TTM)13.9
OCFY2.22%
SpS81.15
BVpS32.37
TBVpS26.95
PEG (NY)32.04
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.99% | ||
| ROE | 12.16% | ||
| ROCE | 25.81% | ||
| ROIC | 21.9% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 11.11% | ||
| PM (TTM) | 4.85% | ||
| GM | 31.63% | ||
| FCFM | 16.97% |
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
ROICexcg growth 3YN/A
ROICexcg 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 Turnover1.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.84 | ||
| Debt/EBITDA | 0.23 | ||
| Cap/Depr | 23.01% | ||
| Cap/Sales | 0.16% | ||
| Interest Coverage | 49.89 | ||
| Cash Conversion | 145.28% | ||
| Profit Quality | 349.88% | ||
| Current Ratio | 1.47 | ||
| Quick Ratio | 1.47 | ||
| Altman-Z | 12.88 |
F-Score6
WACC7.43%
ROIC/WACC2.95
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)28.67%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-131.58%
EPS Next Y5.06%
EPS Next 2Y46.49%
EPS Next 3Y42.88%
EPS Next 5Y28.32%
Revenue 1Y (TTM)14.8%
Revenue growth 3Y17.47%
Revenue growth 5Y18.3%
Sales Q2Q%10.14%
Revenue Next Year10.31%
Revenue Next 2Y12.98%
Revenue Next 3Y13.41%
Revenue Next 5Y11.51%
EBIT growth 1Y225.57%
EBIT growth 3Y143.94%
EBIT growth 5YN/A
EBIT Next Year67.77%
EBIT Next 3Y44.4%
EBIT Next 5Y29.65%
FCF growth 1Y9971.43%
FCF growth 3Y102.27%
FCF growth 5Y39.14%
OCF growth 1Y6676.19%
OCF growth 3Y85.41%
OCF growth 5Y32.05%