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The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price.
Spotify has reported mixed results that have not been well received by the market, although the negative impacts will be temporary. The conference call shed a lot of light on how they think about price increases and how they continue to implement and improve AI in the product. Spotify is the perfect example of a network economy that will succeed in the future. The critical mass of users helps it penetrate new business verticals.
Shares of Spotify Technology (SPOT -11.51%), the European streaming music and podcasts giant, closed down 11.5% on Tuesday after reporting a surprise Q2 loss.
Spotify's shares plunged as the company's second-quarter earnings missed expectations. Bloomberg's Ashley Carman explains why the streaming giant may be a victim of its own success, and its growth ambitions, on “Bloomberg Tech.
CNBC's Julia Boorstin joins 'Money Movers' to discuss how AI is posing both an opportunity and a threat to Spotify.