Spotify Technology SA (SPOT, Financial)Â is an interesting stock. Compared to other major tech companies, like First Data (FDC, Financial), Dropbox (DBX, Financial), Snap (SNAP), Twitter (TWTR, Financial) and Altice USA (ATUS), this company’s trading volume was particularly light in the first couple days following its listing.

An interesting phenomenon took place with Spotify: there were not enough shares provided on April 3, which caused the share price to unnaturally rise to meet the existing market demand. When the stock debuted on the New York Stock Exchange, it was priced at $165.90. Within minutes, the price had increased to $169 per share. Approximately 100 million shares were available to trade, but just 5.6 million of them were available at that price. By the time the markets closed, Spotify’s stock price dropped 10% lower than its opening price to $149.01 per share.

What is so attractive about Spotify?

Founded 12 years ago, the music streaming service is particularly popular in Europe. The app was launched in 2008. To date, the company boasts an impressive number of subscribers, making it a tough competitor for Amazon (AMZN), Apple (AAPL, Financial) and Google's (GOOGL, Financial) streaming services.

Even tough it took many years for Spotify to go public, it did so with help from Alan & Co., Morgan Stanley and Goldman Sachs. Most of the stock's trading activity on its first day was through Morgan Stanley. An estimated 18.5 million shares were traded through this platform, followed by Goldman Sachs with 2.3 million shares. Based on its holdings in Spotify, Sony Corp. (SNE, Financial) generated approximately $1 billion after it sold 1.7 million shares of the company.

The day it went public, Spotify was valued at approximately $23 billion. By the close of trading on April 6, Spotify was trading around $147.92 per share with a market capitalization of $26.346 billion.

While it is disingenuous to speak of the 52-week trading range with a newly listed stock, Spotify jumped from $135.51 per share to $169 per share at a time when stock prices are fluctuating wildly. The stock may be a new listing, but analysts have already given it a 1.8 out of 5 rating, where 1 represents a strong buy and 5 represents a sell.Â

The following ratings companies have upgraded the stock to a buy:

• Guggenheim

  Guggenheim – rating on SPOT

• Canaccord Genuity

  Canaccord Genuity – rating on SPOT

• Stifel Nicolaus

  Stifel Nicolaus – rating on SPOT

This technology stock is appealing to many investors and traders for several reasons. For a technology stock investor, this is a terrific addition to a portfolio given it is one of the most recognizable tech stocks in Europe. Day traders and long-term investors stand to benefit from trading activity in Spotify stock.

As more fund managers pour money into Spotify, its acceptance as a mainstream technology stock will grow and its price and value will appreciate. Naturally, technology stocks are inherently volatile, which will also factor into the equation. This provides additional investment and trading opportunities for contrarian options, like derivatives trading, hedging and short selling.