Spotify Could Be a 10x Stock Like Facebook. Here's Why.
Spotify's (NYSE: SPOT) biggest source of growth potential isn't selling more subscriptions, it's advertising. The company's advertising technology is improving and ads are generating more revenue, but it's still not a mature business. But Facebook's ads weren't a massive moneymaker a decade ago either, and the social media giant has shown Spotify the path forward.
In this video, Travis Hoium goes over Spotify's potential in advertising, including showing how Facebook grew its ads.
*Stock prices used were end-of-day prices of Dec. 22, 2023. The video was published on Dec. 22, 2023.
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Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. Travis Hoium has positions in Shopify and Spotify Technology. The Motley Fool has positions in and recommends Meta Platforms, Shopify, and Spotify Technology. The Motley Fool has a disclosure policy. Travis Hoium is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through their link they will earn some extra money that supports their channel. Their opinions remain their own and are unaffected by The Motley Fool.
