Investment bank Guggenheim on Monday raised its price target on Spotify Technology S.A. (SPOT) stock to $725 from $675. The investment bank expects the firm to benefit from price increases, increased utilization of the platform's promotional tools by musicians, and stepped-up monetization of its audiobooks.

Guggenheim kept a Buy rating on the shares.Spotify

Photo by Alexander Shatov on Unsplash

SPOT's Positive Catalysts

The investment bank expects Spotify Technology S.A. (SPOT) to benefit from price increases later this year in France, Germany, and the U.S.

Meanwhile, more musicians are likely to utilize SPOT's promotional offerings, and the company should be able to obtain more revenue from its audiobooks in the wake of a U.S. federal court's recent ruling against Apple (AAPL), the investment bank believes. Following the court ruling, SPOT is allowing users to buy audiobooks and audiobook hours directly from the company.

Finally, Guggenheim is bullish on the longer-term outlook of Spotify's audiobook business in general.

The Recent Price Action of Spotify Technology S.A. (SPOT) Stock

In the last month, the stock has gained 14%, while it is down 2% in the last three months. So far in 2025, it has surged 40%.

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Disclosure: None. This article is originally published at Insider Monkey.

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