Spotify Had a Terrible Quarter -- Here Are 5 Reasons Why It's Still a Buy
Spotify's (NYSE: SPOT) stock price tumbled after the streaming music giant posted its fourth-quarter earnings this week. Its revenue rose 17% year over year to 2.17 billion euros ($2.61 billion), which narrowly beat estimates by 20 million euros. Its net loss narrowed from 1.14 euros per share to 0.66 euros ($0.79), but still missed expectations by 0.11 euros per share.
Spotify expects its revenue to rise 14%-19% in fiscal 2021, but analysts were anticipating 21% growth. That conservative guidance, along with its bottom-line miss, seemingly spooked the bulls.
Despite those near-term challenges, I believe investors should stick with Shopify, for five simple reasons.
Source Fool.com
