GURUFOCUS.COM » STOCK LIST » Communication Services » Interactive Media » Spotify Technology SA (WBO:SPOT) » Definitions » Cyclically Adjusted PS Ratio

Spotify Technology (WBO:SPOT) Cyclically Adjusted PS Ratio : 11.03 (As of May. 25, 2025)


View and export this data going back to 2022. Start your Free Trial

What is Spotify Technology Cyclically Adjusted PS Ratio?

As of today (2025-05-25), Spotify Technology's current share price is €553.70. Spotify Technology's Cyclically Adjusted Revenue per Share for the fiscal year that ended in Dec24 was €50.18. Spotify Technology's Cyclically Adjusted PS Ratio for today is 11.03.

The historical rank and industry rank for Spotify Technology's Cyclically Adjusted PS Ratio or its related term are showing as below:

WBO:SPOT' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 8.86   Med: 10.82   Max: 12.61
Current: 12.61

During the past 10 years, Spotify Technology's highest Cyclically Adjusted PS Ratio was 12.61. The lowest was 8.86. And the median was 10.82.

WBO:SPOT's Cyclically Adjusted PS Ratio is ranked worse than
93.88% of 278 companies
in the Interactive Media industry
Industry Median: 1.62 vs WBO:SPOT: 12.61

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Spotify Technology's adjusted revenue per share data of for the fiscal year that ended in Dec24 was €75.719. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is €50.18 for the trailing ten years ended in Dec24.

Shiller PE for Stocks: The True Measure of Stock Valuation


Spotify Technology Cyclically Adjusted PS Ratio Historical Data

The historical data trend for Spotify Technology's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Spotify Technology Cyclically Adjusted PS Ratio Chart

Spotify Technology Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - 8.63

Spotify Technology Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - 8.63 -

Competitive Comparison of Spotify Technology's Cyclically Adjusted PS Ratio

For the Internet Content & Information subindustry, Spotify Technology's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Spotify Technology's Cyclically Adjusted PS Ratio Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Spotify Technology's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Spotify Technology's Cyclically Adjusted PS Ratio falls into.


;
;

Spotify Technology Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Spotify Technology's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=553.70/50.18
=11.03

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Spotify Technology's Cyclically Adjusted Revenue per Share for the fiscal year that ended in Dec24 is calculated as:

For example, Spotify Technology's adjusted Revenue per Share data for the fiscal year that ended in Dec24 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Dec24 (Change)*Current CPI (Dec24)
=75.719/132.9872*132.9872
=75.719

Current CPI (Dec24) = 132.9872.

Spotify Technology Annual Data

Revenue per Share CPI Adj_RevenuePerShare
201512 11.563 100.276 15.335
201612 17.595 102.022 22.935
201712 22.963 103.793 29.422
201812 29.022 105.912 36.441
201912 37.378 107.766 46.126
202012 42.008 108.296 51.586
202112 49.850 112.486 58.935
202212 59.879 126.365 63.017
202312 68.027 131.912 68.582
202412 75.719 132.987 75.719

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Spotify Technology  (WBO:SPOT) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Spotify Technology Cyclically Adjusted PS Ratio Related Terms

Thank you for viewing the detailed overview of Spotify Technology's Cyclically Adjusted PS Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Spotify Technology Business Description

Address
Regeringsgatan 19, Stockholm, SWE, 111 53
Spotify is the leading global music streaming service provider, with nearly 700 million monthly active users and over 250 million paying subscribers, with the latter comprising the firm's premium segment. most of the firm's revenue and nearly all its gross profit come from the subscribers, who pay a monthly fee to access a very comprehensive music library that consists of most of the most popular songs ever recorded, including all from the major record labels. The firm also sells separate audiobook subscriptions and integrates podcasts within its standard music app. Podcast content is not exclusive and is typically free to access on other platforms. Ad-supported users can access a similar music catalog but cannot customize a similar on-demand experience.