Better Buy: Spotify vs. AT&T
Though Spotify (NYSE: SPOT) and AT&T (NYSE: T) are profoundly different companies, their businesses somewhat intersect. Spotify offers a music and podcasting service, while AT&T is a content provider in its own right. However, they differ in that wireless communication is AT&T's main driver.
For this reason, they also differ significantly from an investor's perspective. Spotify is a relatively young company with a market cap of over $26 billion as of this writing and tremendous growth potential. AT&T's market cap of over $257 billion is supported by a massive communications infrastructure that the company built and rebuilt over the decades to accommodate ever-changing, improving technologies. It typically relies on a low-growth but reliable customer base that should soon be bolstered by a 5G wireless infrastructure. Hence, when choosing between Spotify and AT&T, investors have to choose between growth and stability.
Spotify stock has held up well amid intense pressure. At the time of this writing, it trades at about $142 per share, well below the opening price of $165.90 per share for its April 2018 IPO.
Source Fool.com
