Spotify price target raised to $340 from $260 at Deutsche Bank

Deutsche Bank raised the firm’s price target on Spotify to $340 from $260 and keeps a Buy rating on the shares ahead of the Q1 report. The analyst sees “very supportive” underlying demand and engagement trends across the music industry. The firm continues to monitor favorable year-over-year download growth at Spotify, which it says accelerated in Q1 versus Q4 levels. In addition, the company’s listenership growth is showing “robust resilience” despite increasingly challenging year-over-year compares in the quarter, the analyst tells investors in a research note. Deutsche cites strong pricing tailwinds along with operational and product momentum for the Spotify target increase.