What I'll Need to See Before I Buy Spotify Stock
Spotify (NYSE: SPOT) is the clear leader in audio streaming. The stock more than doubled in 2020, after adding 74 million new subscribers during the year.
But after issuing a lower-than-expected forecast for subscriber growth in 2021, the shares are now down 30% year to date. It might be tempting to buy the stock at these lows, especially given the long-term demand trends for streaming services.
However, the steady deceleration in monthly active user (MAU) growth over the last year gives me pause, especially on the heels of increasing competition for the millions of subscribers that have yet to sign up for a service. There's one thing I want to see before I'll buy shares.
Source Fool.com
