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spotify Shares rose 6% after the music streaming platform announced updated guidance for 2030 at its first investor day since 2022.
The company projected revenue to grow at a compound annual growth rate in the mid-teens, with gross margins in the range of 35% to 40%. Spotify has called its plan to reach 1 billion subscribers and $100 billion in revenue its “North Star.”
Spotify is in the midst of a restructuring, and the stakes are high.
The stock has lost a quarter of its value since the beginning of 2026. This is the company’s first investor day in four years and will be held under the leadership of new co-CEOs Gustav Söderström and Alex Norström. Founder and former CEO Daniel Ek stepped down earlier this year after nearly 20 years at the helm.
Spotify is tackling major changes in the music industry fueled by the onslaught of AI. The company is also betting on areas like audiobooks and podcasts, trying to prove it can be more than just a music streaming platform.
Since 2022, Spotify announced that it has added more than 340 million new users to its platform, and its subscriber base has grown by more than 110 million.
Spotify stock price chart from the beginning of the year to date.
