Spotify board member Daniel Ek sells more than $1 billion in stock, stock price surges 144% in 2024 – Spotify Technology (NYSE:SPOT)

Spotify Technologies point With the streaming giant’s market capitalization approaching $100 billion, top executives and board members took advantage of the company’s stellar stock performance in 2024, selling $1.25 billion worth of stock.

what happened: Co-founder Daniel Ek and Martin Lorenson According to U.S. Securities and Exchange Commission filings, the company raised $350 million and $550 million respectively during this sell-off. The stock sales accelerated in November and December and involved about 20 company leaders.

The streaming service’s stock price nearly tripled in 2024, marking a sharp recovery from 2022 to 2023, when its market cap fell below $20 billion. The shift follows successful cost-cutting measures, including cutting 25% of its workforce in 2023, as well as price increases in several markets.

Key C-suite executives jumping on the sales bandwagon include chief product and technology officers Gustav Soderström ($106 million), chief commercial officer Alex Nostrom ($63 million) and Chief Human Resources Officer Katarina Berg ($38 million). Netflix CEO Ted SarandosA member of Spotify’s board of directors since 2016, he sold $6 million worth of stock.

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why it’s important: JPMorgan Chase Spotify was recently named one of the best tech picks for 2025 amazon.com, Yuan Platform Company, and alphabet inc.citing the potential for growth driven by artificial intelligence. However, investment firms led by Ark Invest Kathy WoodSold approximately $4.8 million worth of Spotify stock in early December.

price action: Spotify closed at $460.88 on Friday, up 1.48%. The stock rose slightly to $461.06 in after-hours trading. Spotify’s stock price has soared 144.11% so far this year, according to Benzinga Pro.

According to 32 analysts, the consensus price target for Spotify is $402.19. The maximum target is $560 and the minimum target is $190. The latest ratings from Canaccord Genuity and Goldman Sachs suggest upside potential of 13.87%, with an average target of $525.

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