SPOT vs. TU: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at SPOT and TU, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | SPOT | TU |
|---|---|---|
| Company Name | Spotify Technology S.A. | TELUS Corporation |
| Country | Luxembourg | Canada |
| GICS Sector | Communication Services | Communication Services |
| GICS Industry | Entertainment | Diversified Telecommunication Services |
| Market Capitalization | 144.82 billion USD | 25.33 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | April 3, 2018 | June 11, 1996 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of SPOT and TU 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.
Historical Performance at a Glance
| Symbol | SPOT | TU |
|---|---|---|
| 5-Day Price Return | 0.76% | 2.15% |
| 13-Week Price Return | 5.89% | 3.49% |
| 26-Week Price Return | 8.56% | 9.49% |
| 52-Week Price Return | 104.18% | 4.58% |
| Month-to-Date Return | 12.33% | 2.33% |
| Year-to-Date Return | 57.31% | 17.19% |
| 10-Day Avg. Volume | 1.77M | 3.15M |
| 3-Month Avg. Volume | 2.22M | 3.40M |
| 3-Month Volatility | 44.62% | 12.26% |
| Beta | 1.69 | 0.20 |
Profitability
Return on Equity (TTM)
SPOT
14.00%
Entertainment Industry
- Max
- 42.50%
- Q3
- 22.75%
- Median
- 12.88%
- Q1
- 7.15%
- Min
- -6.84%
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.
TU
6.21%
Diversified Telecommunication Services Industry
- Max
- 35.96%
- Q3
- 14.90%
- Median
- 8.29%
- Q1
- -0.99%
- Min
- -18.19%
TU’s Return on Equity of 6.21% is on par with the norm for the Diversified Telecommunication Services industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
SPOT
4.85%
Entertainment Industry
- Max
- 45.25%
- Q3
- 23.93%
- Median
- 14.60%
- Q1
- 4.89%
- Min
- -22.94%
Falling into the lower quartile for the Entertainment industry, SPOT’s Net Profit Margin of 4.85% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
TU
4.73%
Diversified Telecommunication Services Industry
- Max
- 28.40%
- Q3
- 13.05%
- Median
- 6.85%
- Q1
- -0.81%
- Min
- -18.76%
TU’s Net Profit Margin of 4.73% is aligned with the median group of its peers in the Diversified Telecommunication Services industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
SPOT
11.11%
Entertainment Industry
- Max
- 46.83%
- Q3
- 28.87%
- Median
- 15.26%
- Q1
- 8.95%
- Min
- -5.53%
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.
TU
12.11%
Diversified Telecommunication Services Industry
- Max
- 37.46%
- Q3
- 22.24%
- Median
- 15.73%
- Q1
- 9.79%
- Min
- 2.06%
TU’s Operating Profit Margin of 12.11% is around the midpoint for the Diversified Telecommunication Services industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | SPOT | TU |
|---|---|---|
| Return on Equity (TTM) | 14.00% | 6.21% |
| Return on Assets (TTM) | 6.62% | 1.65% |
| Net Profit Margin (TTM) | 4.85% | 4.73% |
| Operating Profit Margin (TTM) | 11.11% | 12.11% |
| Gross Profit Margin (TTM) | 31.63% | 62.94% |
Financial Strength
Current Ratio (MRQ)
SPOT
1.47
Entertainment Industry
- Max
- 6.80
- Q3
- 3.77
- Median
- 1.87
- Q1
- 0.86
- Min
- 0.39
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.
TU
0.86
Diversified Telecommunication Services Industry
- Max
- 1.63
- Q3
- 1.14
- Median
- 0.92
- Q1
- 0.68
- Min
- 0.16
TU’s Current Ratio of 0.86 aligns with the median group of the Diversified Telecommunication Services industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio (MRQ)
SPOT
0.36
Entertainment Industry
- Max
- 1.65
- Q3
- 0.71
- Median
- 0.14
- Q1
- 0.04
- 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.
TU
2.18
Diversified Telecommunication Services Industry
- Max
- 3.82
- Q3
- 2.06
- Median
- 1.32
- Q1
- 0.74
- Min
- 0.11
TU’s leverage is in the upper quartile of the Diversified Telecommunication Services industry, with a Debt-to-Equity Ratio of 2.18. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.
Interest Coverage Ratio (TTM)
SPOT
38.25
Entertainment Industry
- Max
- 62.11
- Q3
- 31.19
- Median
- 7.50
- Q1
- 2.02
- Min
- -6.33
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.
TU
1.88
Diversified Telecommunication Services Industry
- Max
- 14.66
- Q3
- 8.25
- Median
- 3.53
- Q1
- 1.47
- Min
- -2.60
TU’s Interest Coverage Ratio of 1.88 is positioned comfortably within the norm for the Diversified Telecommunication Services industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | SPOT | TU |
|---|---|---|
| Current Ratio (MRQ) | 1.47 | 0.86 |
| Quick Ratio (MRQ) | 1.46 | 0.76 |
| Debt-to-Equity Ratio (MRQ) | 0.36 | 2.18 |
| Interest Coverage Ratio (TTM) | 38.25 | 1.88 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
SPOT
0.00%
Entertainment Industry
- Max
- 2.54%
- Q3
- 1.29%
- Median
- 0.61%
- 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.
TU
4.53%
Diversified Telecommunication Services Industry
- Max
- 10.34%
- Q3
- 5.44%
- Median
- 3.89%
- Q1
- 1.73%
- Min
- 0.00%
TU’s Dividend Yield of 4.53% is consistent with its peers in the Diversified Telecommunication Services industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio (TTM)
SPOT
0.00%
Entertainment Industry
- Max
- 82.30%
- Q3
- 45.76%
- Median
- 29.16%
- 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.
TU
163.46%
Diversified Telecommunication Services Industry
- Max
- 270.06%
- Q3
- 135.21%
- Median
- 76.62%
- Q1
- 35.06%
- Min
- 0.00%
TU’s Dividend Payout Ratio of 163.46% is in the upper quartile for the Diversified Telecommunication Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | SPOT | TU |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 4.53% |
| Dividend Payout Ratio (TTM) | 0.00% | 163.46% |
Valuation
Price-to-Earnings Ratio (TTM)
SPOT
151.28
Entertainment Industry
- Max
- 53.51
- Q3
- 45.31
- Median
- 33.16
- Q1
- 18.21
- Min
- 3.89
At 151.28, 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.
TU
36.06
Diversified Telecommunication Services Industry
- Max
- 33.39
- Q3
- 23.91
- Median
- 16.72
- Q1
- 13.00
- Min
- 4.13
At 36.06, TU’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Diversified Telecommunication Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Price-to-Sales Ratio (TTM)
SPOT
7.34
Entertainment Industry
- Max
- 12.81
- Q3
- 7.20
- Median
- 4.68
- Q1
- 3.32
- Min
- 0.79
SPOT’s P/S Ratio of 7.34 is in the upper echelon for the Entertainment 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.
TU
1.71
Diversified Telecommunication Services Industry
- Max
- 4.75
- Q3
- 2.60
- Median
- 1.62
- Q1
- 0.94
- Min
- 0.35
TU’s P/S Ratio of 1.71 aligns with the market consensus for the Diversified Telecommunication Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio (MRQ)
SPOT
20.34
Entertainment Industry
- Max
- 17.11
- Q3
- 8.38
- Median
- 5.24
- Q1
- 2.18
- Min
- 0.67
At 20.34, SPOT’s P/B Ratio is at an extreme premium to the Entertainment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
TU
2.18
Diversified Telecommunication Services Industry
- Max
- 5.77
- Q3
- 3.45
- Median
- 2.10
- Q1
- 1.19
- Min
- 0.32
TU’s P/B Ratio of 2.18 is within the conventional range for the Diversified Telecommunication Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | SPOT | TU |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 151.28 | 36.06 |
| Price-to-Sales Ratio (TTM) | 7.34 | 1.71 |
| Price-to-Book Ratio (MRQ) | 20.34 | 2.18 |
| Price-to-Free Cash Flow Ratio (TTM) | 43.24 | 32.80 |