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NBIS vs. SPOT: A Head-to-Head Stock Comparison

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Here’s a clear look at NBIS and SPOT, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolNBISSPOT
Company Name--Spotify Technology S.A.
CountryNetherlandsLuxembourg
GICS SectorInformation TechnologyCommunication Services
GICS IndustrySoftwareEntertainment
Market Capitalization30.44 billion USD138.85 billion USD
ExchangeNasdaqGSNYSE
Listing DateOctober 21, 2024April 3, 2018
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of NBIS and SPOT by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

NBIS vs. SPOT: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolNBISSPOT
5-Day Price Return-3.07%-4.60%
13-Week Price Return164.93%-6.56%
26-Week Price Return460.40%20.83%
52-Week Price Return--85.91%
Month-to-Date Return8.67%-3.33%
Year-to-Date Return340.43%50.82%
10-Day Avg. Volume18.12M1.68M
3-Month Avg. Volume16.15M1.81M
3-Month Volatility120.53%39.47%
Beta0.601.67

Profitability

Return on Equity (TTM)

NBIS

7.44%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

NBIS’s Return on Equity of 7.44% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

SPOT

14.00%

Entertainment Industry

Max
42.50%
Q3
24.06%
Median
13.69%
Q1
5.35%
Min
-17.95%

SPOT’s Return on Equity of 14.00% is on par with the norm for the Entertainment industry, indicating its profitability relative to shareholder equity is typical for the sector.

NBIS vs. SPOT: A comparison of their Return on Equity (TTM) against their respective Software and Entertainment industry benchmarks.

Net Profit Margin (TTM)

NBIS

-55.23%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

NBIS has a negative Net Profit Margin of -55.23%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

SPOT

4.85%

Entertainment Industry

Max
45.33%
Q3
24.40%
Median
13.94%
Q1
4.28%
Min
-23.67%

SPOT’s Net Profit Margin of 4.85% is aligned with the median group of its peers in the Entertainment industry. This indicates its ability to convert revenue into profit is typical for the sector.

NBIS vs. SPOT: A comparison of their Net Profit Margin (TTM) against their respective Software and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

NBIS

-37.08%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

NBIS has a negative Operating Profit Margin of -37.08%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

SPOT

11.11%

Entertainment Industry

Max
41.77%
Q3
28.26%
Median
16.13%
Q1
8.03%
Min
-3.93%

SPOT’s Operating Profit Margin of 11.11% is around the midpoint for the Entertainment industry, indicating that its efficiency in managing core business operations is typical for the sector.

NBIS vs. SPOT: A comparison of their Operating Profit Margin (TTM) against their respective Software and Entertainment industry benchmarks.

Profitability at a Glance

SymbolNBISSPOT
Return on Equity (TTM)7.44%14.00%
Return on Assets (TTM)6.44%6.62%
Net Profit Margin (TTM)-55.23%4.85%
Operating Profit Margin (TTM)-37.08%11.11%
Gross Profit Margin (TTM)4.01%31.63%

Financial Strength

Current Ratio (MRQ)

NBIS

14.71

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

NBIS’s Current Ratio of 14.71 is exceptionally high, placing it well outside the typical range for the Software industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

SPOT

1.47

Entertainment Industry

Max
6.76
Q3
4.02
Median
1.55
Q1
0.86
Min
0.38

SPOT’s Current Ratio of 1.47 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

NBIS vs. SPOT: A comparison of their Current Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NBIS

0.26

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

NBIS’s Debt-to-Equity Ratio of 0.26 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SPOT

0.36

Entertainment Industry

Max
1.54
Q3
0.77
Median
0.16
Q1
0.02
Min
0.00

SPOT’s Debt-to-Equity Ratio of 0.36 is typical for the Entertainment industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NBIS vs. SPOT: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

NBIS

-43.61

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

NBIS has a negative Interest Coverage Ratio of -43.61. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

SPOT

38.25

Entertainment Industry

Max
87.17
Q3
35.59
Median
7.06
Q1
1.13
Min
-44.74

SPOT’s Interest Coverage Ratio of 38.25 is in the upper quartile for the Entertainment industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

NBIS vs. SPOT: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolNBISSPOT
Current Ratio (MRQ)14.711.47
Quick Ratio (MRQ)14.511.46
Debt-to-Equity Ratio (MRQ)0.260.36
Interest Coverage Ratio (TTM)-43.6138.25

Growth

Revenue Growth

NBIS vs. SPOT: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

NBIS vs. SPOT: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

NBIS

0.00%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

NBIS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SPOT

0.00%

Entertainment Industry

Max
2.90%
Q3
1.29%
Median
0.59%
Q1
0.00%
Min
0.00%

SPOT currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

NBIS vs. SPOT: A comparison of their Dividend Yield (TTM) against their respective Software and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

NBIS

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

NBIS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SPOT

0.00%

Entertainment Industry

Max
82.30%
Q3
38.45%
Median
29.74%
Q1
0.00%
Min
0.00%

SPOT has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

NBIS vs. SPOT: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Dividend at a Glance

SymbolNBISSPOT
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

NBIS

121.64

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

A P/E Ratio of 121.64 places NBIS in the upper quartile for the Software industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

SPOT

146.29

Entertainment Industry

Max
92.09
Q3
54.51
Median
28.92
Q1
19.75
Min
2.96

At 146.29, SPOT’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Entertainment industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

NBIS vs. SPOT: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

NBIS

25.43

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

NBIS’s P/S Ratio of 25.43 is in the upper echelon for the Software industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

SPOT

7.10

Entertainment Industry

Max
12.34
Q3
7.67
Median
5.06
Q1
2.72
Min
0.67

SPOT’s P/S Ratio of 7.10 aligns with the market consensus for the Entertainment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

NBIS vs. SPOT: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

NBIS

3.49

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

NBIS’s P/B Ratio of 3.49 is in the lower quartile for the Software industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

SPOT

20.39

Entertainment Industry

Max
22.84
Q3
10.54
Median
6.60
Q1
2.30
Min
0.65

SPOT’s P/B Ratio of 20.39 is in the upper tier for the Entertainment industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

NBIS vs. SPOT: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Valuation at a Glance

SymbolNBISSPOT
Price-to-Earnings Ratio (TTM)121.64146.29
Price-to-Sales Ratio (TTM)25.437.10
Price-to-Book Ratio (MRQ)3.4920.39
Price-to-Free Cash Flow Ratio (TTM)0.6241.81