Spotify Just Reported Its Best Quarter of User Growth Ever. The Stock Is Surging

ETHReserveBank · 2026-02-10T16:47:53+00:00

Key Takeaways Spotify shares popped Tuesday after the streamer's fourth-quarter profits and user metrics came in well above estimates. The streamer is expected to benefit from rising prices, after announcing higher premium subscription costs starting this month. Spotify's quarterly prof

ETHReserveBank

2026-02-10 16:47:53

Key Takeaways

Spotify shares popped Tuesday after the streamer’s fourth-quarter profits and user metrics came in well above estimates.
The streamer is expected to benefit from rising prices, after announcing higher premium subscription costs starting this month.

Spotify’s quarterly profits blew past expectations, and investors are cheering the results.

Shares of Spotify Technology (SPOT) were up over 18% in recent trading after the music, podcast, and audiobook streaming provider reported fourth-quarter results that topped projections. Revenue of 4.53 billion euros ($5.39 billion) narrowly beat estimates, while the streamer’s earnings per share of 4.43 euros came in well above the analyst consensus compiled by Visible Alpha.

Spotify also said it reached 751 million monthly active users (MAUs) and 290 million premium subscribers, each metric topping estimates. Spotify added 38 million net new monthly active users in the quarter, which Co-CEO Alex Norström said was the company’s largest-ever quarterly rise.

Why This Matters to Investors

Tuesday’s surge could point to growing confidence in Spotify’s stock, which has taken a hit in recent months amid some concerns about its valuation and the scope of potential disruptions from AI.

Spotify said it expects 4.5 billion euros of revenue in the first quarter, along with 759 million MAUs and 293 million premium subscribers. Analysts were looking for first-quarter revenue of 4.57 billion euros, with 752.6 million MAUs and 293 million premium subscribers.

The company is widely expected to benefit from rising subscription prices, after Spotify announced plans last month to hike the cost of premium plans starting this month.

Related Education

How Spotify Generates Revenue: Premium and Ad-Supported Models

Spotify Is the Latest Streamer to Hike Prices. Why You Should Watch Out for ‘Subscription Creep’

Despite Tuesday’s gains, Spotify shares are down about 15% for the year so far, and nearly 40% off their highs last June.

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