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SPOTIFY TECHNOLOGY SA (639.DE) Stock Fundamental Analysis

Europe - FRA:639 - LU1778762911 - Common Stock

564.5 EUR
-10.6 (-1.84%)
Last: 10/27/2025, 7:00:00 PM
Fundamental Rating

6

Overall 639 gets a fundamental rating of 6 out of 10. We evaluated 639 against 43 industry peers in the Entertainment industry. 639 is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. 639 is valied quite expensively at the moment, while it does show a decent growth rate.


Dividend Valuation Growth Profitability Health

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6

1. Profitability

1.1 Basic Checks

In the past year 639 was profitable.
639 had a positive operating cash flow in the past year.
In the past 5 years 639 reported 4 times negative net income.
Each year in the past 5 years 639 had a positive operating cash flow.
639.DE Yearly Net Income VS EBIT VS OCF VS FCF639.DE Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B -1B 2B

1.2 Ratios

639 has a Return On Assets of 5.99%. This is amongst the best in the industry. 639 outperforms 81.40% of its industry peers.
639's Return On Equity of 12.16% is fine compared to the rest of the industry. 639 outperforms 74.42% of its industry peers.
639 has a better Return On Invested Capital (21.90%) than 95.35% of its industry peers.
Industry RankSector 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
639.DE Yearly ROA, ROE, ROIC639.DE Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 200 -200 -400

1.3 Margins

639 has a better Profit Margin (4.85%) than 69.77% of its industry peers.
The Operating Margin of 639 (11.11%) is better than 74.42% of its industry peers.
639's Operating Margin has improved in the last couple of years.
The Gross Margin of 639 (31.63%) is worse than 74.42% of its industry peers.
In the last couple of years the Gross Margin of 639 has grown nicely.
Industry RankSector 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%
639.DE Yearly Profit, Operating, Gross Margins639.DE Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20

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8

2. Health

2.1 Basic Checks

With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 639 is creating value.
Compared to 1 year ago, 639 has more shares outstanding
The number of shares outstanding for 639 has been increased compared to 5 years ago.
639 has a better debt/assets ratio than last year.
639.DE Yearly Shares Outstanding639.DE Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M 200M
639.DE Yearly Total Debt VS Total Assets639.DE Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

An Altman-Z score of 11.79 indicates that 639 is not in any danger for bankruptcy at the moment.
639's Altman-Z score of 11.79 is amongst the best of the industry. 639 outperforms 93.02% of its industry peers.
The Debt to FCF ratio of 639 is 0.84, which is an excellent value as it means it would take 639, only 0.84 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 639 (0.84) is better than 90.70% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that 639 is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.07, 639 belongs to the best of the industry, outperforming 90.70% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.07
Debt/FCF 0.84
Altman-Z 11.79
ROIC/WACC2.93
WACC7.47%
639.DE Yearly LT Debt VS Equity VS FCF639.DE Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 1B 2B 3B 4B 5B

2.3 Liquidity

639 has a Current Ratio of 1.47. This is a normal value and indicates that 639 is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.47, 639 belongs to the top of the industry, outperforming 83.72% of the companies in the same industry.
A Quick Ratio of 1.47 indicates that 639 should not have too much problems paying its short term obligations.
639's Quick ratio of 1.47 is amongst the best of the industry. 639 outperforms 83.72% of its industry peers.
Industry RankSector Rank
Current Ratio 1.47
Quick Ratio 1.47
639.DE Yearly Current Assets VS Current Liabilites639.DE Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B

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6

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 28.67% over the past year.
639 shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 14.80%.
The Revenue has been growing by 18.30% on average over the past years. This is quite good.
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

639 is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 28.95% yearly.
The Revenue is expected to grow by 12.06% on average over the next years. This is quite good.
EPS Next Y-0.06%
EPS Next 2Y46%
EPS Next 3Y40.95%
EPS Next 5Y28.95%
Revenue Next Year9.84%
Revenue Next 2Y12.77%
Revenue Next 3Y13.24%
Revenue Next 5Y12.06%

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.
639.DE Yearly Revenue VS Estimates639.DE Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10B 20B 30B
639.DE Yearly EPS VS Estimates639.DE Yearly EPS VS EstimatesYearly EPS VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 0 10 20

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2

4. Valuation

4.1 Price/Earnings Ratio

639 is valuated quite expensively with a Price/Earnings ratio of 146.24.
The rest of the industry has a similar Price/Earnings ratio as 639.
639's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.08.
Based on the Price/Forward Earnings ratio of 48.06, the valuation of 639 can be described as expensive.
639's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of 639 to the average of the S&P500 Index (23.09), we can say 639 is valued expensively.
Industry RankSector Rank
PE 146.24
Fwd PE 48.06
639.DE Price Earnings VS Forward Price Earnings639.DE Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 50 100

4.2 Price Multiples

Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 639 indicates a slightly more expensive valuation: 639 is more expensive than 62.79% of the companies listed in the same industry.
639's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 40.98
EV/EBITDA 54.32
639.DE Per share data639.DE EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

639 has a very decent profitability rating, which may justify a higher PE ratio.
639's earnings are expected to grow with 40.95% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y46%
EPS Next 3Y40.95%

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0

5. Dividend

5.1 Amount

639 does not give a dividend.
Industry RankSector Rank
Dividend Yield N/A

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SPOTIFY TECHNOLOGY SA

FRA:639 (10/27/2025, 7:00:00 PM)

564.5

-10.6 (-1.84%)

Chartmill FA Rating
GICS IndustryGroupMedia & Entertainment
GICS IndustryEntertainment
Earnings (Last)07-29 2025-07-29/bmo
Earnings (Next)11-04 2025-11-04/bmo
Inst Owners70.11%
Inst Owner ChangeN/A
Ins Owners16.2%
Ins Owner ChangeN/A
Market Cap115.56B
Revenue(TTM)16.61B
Net Income(TTM)806.00M
Analysts78.3
Price Target649.85 (15.12%)
Short Float %N/A
Short RatioN/A
Dividend
Industry RankSector 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)0.75%
PT rev (3m)2.84%
EPS NQ rev (1m)2.11%
EPS NQ rev (3m)-10.53%
EPS NY rev (1m)-3.76%
EPS NY rev (3m)-34.81%
Revenue NQ rev (1m)0.02%
Revenue NQ rev (3m)-5.58%
Revenue NY rev (1m)-0.43%
Revenue NY rev (3m)-3.77%
Valuation
Industry RankSector Rank
PE 146.24
Fwd PE 48.06
P/S 6.96
P/FCF 40.98
P/OCF 40.6
P/B 17.44
P/tB 20.95
EV/EBITDA 54.32
EPS(TTM)3.86
EY0.68%
EPS(NY)11.75
Fwd EY2.08%
FCF(TTM)13.78
FCFY2.44%
OCF(TTM)13.9
OCFY2.46%
SpS81.15
BVpS32.37
TBVpS26.95
PEG (NY)N/A
PEG (5Y)N/A
Graham Number53.02
Profitability
Industry RankSector 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
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 Turnover1.23
Health
Industry RankSector 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 11.79
F-Score6
WACC7.47%
ROIC/WACC2.93
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 Y-0.06%
EPS Next 2Y46%
EPS Next 3Y40.95%
EPS Next 5Y28.95%
Revenue 1Y (TTM)14.8%
Revenue growth 3Y17.47%
Revenue growth 5Y18.3%
Sales Q2Q%10.14%
Revenue Next Year9.84%
Revenue Next 2Y12.77%
Revenue Next 3Y13.24%
Revenue Next 5Y12.06%
EBIT growth 1Y225.57%
EBIT growth 3Y143.94%
EBIT growth 5YN/A
EBIT Next Year63.74%
EBIT Next 3Y43.76%
EBIT Next 5Y30.29%
FCF growth 1Y9971.43%
FCF growth 3Y102.27%
FCF growth 5Y39.14%
OCF growth 1Y6676.19%
OCF growth 3Y85.41%
OCF growth 5Y32.05%

SPOTIFY TECHNOLOGY SA / 639.DE FAQ

Can you provide the ChartMill fundamental rating for SPOTIFY TECHNOLOGY SA?

ChartMill assigns a fundamental rating of 6 / 10 to 639.DE.


What is the valuation status for 639 stock?

ChartMill assigns a valuation rating of 2 / 10 to SPOTIFY TECHNOLOGY SA (639.DE). This can be considered as Overvalued.


Can you provide the profitability details for SPOTIFY TECHNOLOGY SA?

SPOTIFY TECHNOLOGY SA (639.DE) has a profitability rating of 6 / 10.


What is the valuation of SPOTIFY TECHNOLOGY SA based on its PE and PB ratios?

The Price/Earnings (PE) ratio for SPOTIFY TECHNOLOGY SA (639.DE) is 146.24 and the Price/Book (PB) ratio is 17.44.


Can you provide the financial health for 639 stock?

The financial health rating of SPOTIFY TECHNOLOGY SA (639.DE) is 8 / 10.