Why Spotify Technology Stock Jumped Wednesday
Shares of Spotify Technology (NYSE: SPOT) were up by 11.8% as of 1:20 p.m. ET on Wednesday after the music streamer posted better than expected results for the second quarter.
Investors were pleased with the company's growth in revenue and monthly active users, and its outlook for the current quarter. The stock is still down 49% year to date, but the best antidote to a falling stock price is long-term business growth.
The company reported revenue growth of 23% year over year, and 8% growth over the previous quarter. Margins ticked down, but the market was more than pleased with the company's gains in monthly active users and on the top line, especially amid inflation that is squeezing consumers' buying power.
Source Fool.com
