SPOTIFY TECHNOLOGY SA (639.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:639 - LU1778762911 - Common Stock
517.3 EUR
+1.4 (+0.27%)
Overall 639 gets a fundamental rating of 6 out of 10. We evaluated 639 against 44 industry peers in the Entertainment industry. While 639 has a great health rating, its profitability is only average at the moment. 639 is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
639 had positive earnings in the past year.
In the past year 639 had a positive cash flow from operations.
In the past 5 years 639 reported 4 times negative net income.
639 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
639 has a better Return On Assets (9.56%) than 90.91% of its industry peers.
With a decent Return On Equity value of 18.06%, 639 is doing good in the industry, outperforming 79.55% of the companies in the same industry.
639 has a Return On Invested Capital of 19.82%. This is amongst the best in the industry. 639 outperforms 93.18% of its industry peers.
| 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
639's Profit Margin of 8.32% is fine compared to the rest of the industry. 639 outperforms 75.00% of its industry peers.
639 has a Operating Margin of 11.68%. This is in the better half of the industry: 639 outperforms 77.27% of its industry peers.
639's Operating Margin has improved in the last couple of years.
639's Gross Margin of 31.75% is on the low side compared to the rest of the industry. 639 is outperformed by 75.00% of its industry peers.
639's Gross Margin has improved in the last couple of years.
| 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
639 has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for 639 has been increased compared to 1 year ago.
The number of shares outstanding for 639 has been increased compared to 5 years ago.
Compared to 1 year ago, 639 has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 11.31 indicates that 639 is not in any danger for bankruptcy at the moment.
The Altman-Z score of 639 (11.31) is better than 93.18% of its industry peers.
639 has a debt to FCF ratio of 0.75. This is a very positive value and a sign of high solvency as it would only need 0.75 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.75, 639 belongs to the top of the industry, outperforming 93.18% of the companies in the same industry.
639 has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.06, 639 belongs to the top of the industry, outperforming 88.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.75 | ||
| Altman-Z | 11.31 |
ROIC/WACC2.67
WACC7.43%
2.3 Liquidity
639 has a Current Ratio of 1.61. This is a normal value and indicates that 639 is financially healthy and should not expect problems in meeting its short term obligations.
With an excellent Current ratio value of 1.61, 639 belongs to the best of the industry, outperforming 81.82% of the companies in the same industry.
A Quick Ratio of 1.61 indicates that 639 should not have too much problems paying its short term obligations.
The Quick ratio of 639 (1.61) is better than 81.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.61 | ||
| Quick Ratio | 1.61 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 38.11% over the past year.
639 shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 11.89%.
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
Based on estimates for the next years, 639 will show a very strong growth in Earnings Per Share. The EPS will grow by 29.72% on average per year.
639 is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.87% yearly.
EPS Next Y-1.83%
EPS Next 2Y45.94%
EPS Next 3Y41.06%
EPS Next 5Y29.72%
Revenue Next Year9.82%
Revenue Next 2Y12.76%
Revenue Next 3Y13.25%
Revenue Next 5Y11.87%
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
639 is valuated quite expensively with a Price/Earnings ratio of 90.91.
639's Price/Earnings ratio is a bit cheaper when compared to the industry. 639 is cheaper than 61.36% of the companies in the same industry.
639 is valuated expensively when we compare the Price/Earnings ratio to 26.11, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 44.08, which means the current valuation is very expensive for 639.
The rest of the industry has a similar Price/Forward Earnings ratio as 639.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.21, 639 is valued a bit more expensive.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 90.91 | ||
| Fwd PE | 44.08 |
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 61.36% of the companies listed in the same industry.
639's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.54 | ||
| EV/EBITDA | 46.14 |
4.3 Compensation for Growth
The decent profitability rating of 639 may justify a higher PE ratio.
A more expensive valuation may be justified as 639'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
No dividends for 639!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
FRA:639 (11/28/2025, 7:00:00 PM)
517.3
+1.4 (+0.27%)
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 Cap106.51B
Revenue(TTM)16.90B
Net Income(TTM)1.41B
Analysts78.3
Price Target672.18 (29.94%)
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)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)3.44%
PT rev (3m)4.34%
EPS NQ rev (1m)8.36%
EPS NQ rev (3m)8.73%
EPS NY rev (1m)-1.78%
EPS NY rev (3m)-6.56%
Revenue NQ rev (1m)-0.97%
Revenue NQ rev (3m)-1.52%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 90.91 | ||
| Fwd PE | 44.08 | ||
| P/S | 6.3 | ||
| P/FCF | 36.54 | ||
| P/OCF | 35.98 | ||
| P/B | 13.69 | ||
| P/tB | 15.97 | ||
| EV/EBITDA | 46.14 |
EPS(TTM)5.69
EY1.1%
EPS(NY)11.74
Fwd EY2.27%
FCF(TTM)14.16
FCFY2.74%
OCF(TTM)14.38
OCFY2.78%
SpS82.07
BVpS37.78
TBVpS32.39
PEG (NY)N/A
PEG (5Y)N/A
Graham Number69.55
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 | 11.31 |
F-Score6
WACC7.43%
ROIC/WACC2.67
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 5Y29.72%
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 5Y11.87%
EBIT growth 1Y99.6%
EBIT growth 3Y143.94%
EBIT growth 5YN/A
EBIT Next Year63.74%
EBIT Next 3Y43.76%
EBIT Next 5Y29.59%
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 / 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 3 / 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 90.91 and the Price/Book (PB) ratio is 13.69.
Can you provide the financial health for 639 stock?
The financial health rating of SPOTIFY TECHNOLOGY SA (639.DE) is 8 / 10.