SPOT

Spotify (SPOT) closed at $533.37, up 1.8% in the latest session but down 4.29% over the past month. The company is forecasted to report Q3 2026 earnings of $3.12 per share (down 18.54% YoY) with revenue of $5.73 billion (up 14.79% YoY). Despite full-year growth projections, the stock carries a Zacks Rank #4 (Sell) rating due to a 0.98% downward EPS estimate revision over 30 days and a Forward P/E of 38.05, significantly above the industry average of 20.42.

Spotify is expected to report a year-over-year earnings decline of 18.5% to $3.12 per share for Q3 2026, despite revenue growth of 14.8% to $5.73 billion. With a negative Earnings ESP of -4.82% and a Zacks Rank of #4, the stock is not considered a compelling earnings-beat candidate. The company has missed consensus estimates in the last quarter and appears unlikely to surprise positively in the upcoming October 22 earnings release.

Spotify stock rose 2.63% to $526.42, outperforming the broader market decline. However, the stock has dropped 1.93% over the past month and underperformed its sector.

Ahead of earnings on October 22, 2026, consensus estimates project quarterly EPS of $3.12 (down 18.54% YoY) and revenue of $5.76 billion (up 15.31% YoY). Spotify carries a Zacks Rank of #4 (Sell) with a Forward P/E of 37.05, trading at a premium to its industry average of 20.39.