Are you a Spotify (SPOT) or Apple Music (AAPL) die-hard? Many seem to say "Spotify" as the company saw a 60 million user increase just in 2021. I can say I’ve converted a good handful of friends, you’re welcome, Spotify.
But, ironically, shares are taking a hit (sorry, Spotify, this one’s out of my hands). Spotify ended 2021 with 406 million monthly active users and 180 million premium subscribers, with its 2021 Q4 bringing in 25 million (making it the largest quarterly growth in Spotify history). Yet, the Swedish streaming service has announced a loss of $59.4m with a 2022 Q1 forecast of 25% in gross profit margin (a fall from its projected 26.5%). And, accordingly, its shares tumbled right along — 12.7% to $167.50.
Why it matters
Theories are pointing toward the streaming platform's support of controversial podcaster Joe Rogan. Following popular US stand-up comedian and podcaster Joe Rogan’s Covid-19 misinformation on his podcast, many high-profile musicians have left Spotify in retaliation.
