Todd Spangler NY Digital EditorSpotify shares closed down 12.4% Wednesday — hitting their lowest point in the company’s history as a public company — after the audio streamer’s paid-subscriber numbers disappointed investors.
The chief concern pushing the stock down seemed to be that Spotify may be on the same trajectory as Netflix in hitting a wall in subscriber growth.The stock ended the day at $96.67 per share, giving Spotify a market capitalization of less than $19 billion.
That’s down from a high of about $69 billion in February 2021, when the company was riding high on COVID-related tailwinds.Investors appeared to react to Spotify adding just 2 million Premium subscribers, to reach 182 million, in the first quarter of 2022.
That was lower that the expected 3 million net adds on the paid-user front, while Spotify topped forecasts for overall monthly users (both free and paid).
Read more on variety.com