Should You Sell Your Spotify Stock Now?
Did you hear the news? Recently, the world's leading audio-streaming business disappointed investors with a less-than-glowing quarterly earnings report. Despite already falling by more than half this year, shares of Spotify Technology (NYSE: SPOT) fell by more than 11% overnight in response to a bottom line that moved a little further away from positive territory.
Spotify shareholders have seen their investments fall a terrifying 76.3% from a peak the stock reached in early 2021. Is the company's disappointing third-quarter report a sign that it's finally time to cut and run?
Spotify's a relatively young business in a high growth phase. Investors are generally nervous about this and other growth companies these days. That's because soaring interest rates will raise their cost of capital and make positive profit margins far more difficult to achieve.
Source Fool.com
