New York, Feb 28, 2026, 14:59 EST — Market closed.
- Spotify shares closed Friday up 3.9% at $514.94, extending a two-day rebound
- Arete Research upgraded the stock to buy and cut its target price to $586
- Spotify rolled out Audiobook Charts and launched a Gorillaz fan experience
Spotify Technology S.A. (SPOT) shares ended Friday up 3.9% at $514.94, building on a sharp gain a day earlier. The stock was last indicated slightly lower in after-hours trade at $513.07. 1
The two-session bounce matters because Spotify sits at the center of a market argument: can the streaming group lift prices and widen margins while AI-generated music raises new questions about what content is worth. Arete, in a research note cited by TheFly, said the stock had fallen from peak levels on those worries and argued the AI disruption risk looked “minimal,” while also pointing to improving Premium gross margins. 2
Spotify also outperformed a broader market that slid on Friday as investors stayed on edge about AI and valuations. The S&P 500 fell 0.43% and the Nasdaq Composite dropped 0.92%, Reuters data showed. 3
Arete upgraded Spotify to buy from neutral and reduced its target price to $586 from $680, MarketScreener reported. A target price is an analyst’s estimate of where a stock could trade over a set period, often about 12 months. 4
Spotify, meanwhile, pushed fresh product news into the tape. It introduced Audiobook Charts for the U.S. and U.K., updated weekly and based on listening behavior and engagement, and said the charts are accessible to Free and Premium users in its Audiobooks hub. “When content is easier to access, discover, and enjoy, the demand grows,” said Duncan Bruce, Spotify’s director of audiobook partnerships and licensing. 5
The company also unveiled an in-app “Gorillaz Character Match” experience tied to the band’s new album, along with a London mural quest that sends fans hunting for QR codes. “This collaboration with Gorillaz is about continuing to innovate and reward fans for their engagement,” said Tara Samaha, artist & label partnerships at Spotify. 6
The product push lands as Spotify tries to keep investors focused on pricing power and profitability, not just subscriber growth. Earlier this month, Spotify forecast first-quarter operating income of 660 million euros and revenue of 4.5 billion euros, and said founder Daniel Ek would move to executive chairman as two senior executives took on co-CEO roles. 7
But the set-up cuts both ways. If price increases start to bite, churn and engagement could move back to the front of the story; and any flare-up around AI and rights holders would likely put content costs and margins back under a microscope.
With markets shut for the weekend, traders head into Monday watching the next round of macro data for risk sentiment. The U.S. monthly jobs report is due March 6, and investors remain on guard for AI developments that can jolt leadership stocks, Reuters reported. 8
For Spotify specifically, the next hard catalyst is its first-quarter results — MarketScreener lists April 28 as the projected earnings release date. 9
