The base bundle is now around $80 per month (+7-8 percent over a decade) and could hardly be called skinny, so we see this revenue going ex-growth too.” And he now forecasts cord-cutting to reduce the industry count to around 50 million bundle subscribers by 2027. New AVOD from Netflix, Disney and Innovid will slowly but surely cannibalize linear ads.

It is/was a great business, and its decline is going to hurt media stocks.”Īrgued Cahall: “The over-monetization cracks are clear: on advertising, average revenue per user (ARPU) for cable/broadcast primetime viewers has gone from $54/$57 per month in 2007 to $113/$104 per month today. “With sports shifting over too, and Netflix and Apple and Amazon adding to streaming content, the foundations of the bundle are crumbling. In 2023, media stocks’ non-sports content value on streaming will reach around $31 billion, exceeding that on linear, “with their streaming content value +10 times since 2019,” he estimated. Given the massive sums involved with these and other plays (as well as the seemingly slow listenership growth that some podcasts are recording), it’ll be interesting to see how many of Spotify’s more than 365 million monthly active users interact with podcasts during Q3 2021.Ryan Reynolds, Rob McElhenney Set for Special Award From People of Wales On the latter fronts, Spotify has continued to make substantial investments in podcasting – including inking a deal with the WWE and a multimillion-dollar contract with Call Her Daddy host Alex Cooper this summer. “The value lies in the machine learning that drives discovery and engagement, the original content from people like Michelle Obama, Kim Kardashian, and Joe Rogan, the data analytics and distribution for artists,” Guardian Fund execs said. “In our view, this makes risk/reward in compelling.” Notwithstanding the stock-price falloff that 2021 has brought for Spotify, certain other investors have also maintained that SPOT is poised to enjoy considerable growth in the coming months and years.īack in February, for instance, Amsterdam-headquartered The Guardian Fund predicted that SPOT will be worth a full five times more by 2030 – or north of $1,750 per share based upon the stock’s price at the time of the optimistic forecast. “When coupled with favorable app trends and a more solid competitive position, we believe Street 2022-2023 revenue and gross profit forecasts appear too conservative,” Patterson indicated.

Spotify stock price forecast