Spotify to buyback its $1B worth of shares

Iraj AnwarDigital News Editor

21st Aug, 2021. 07:43 pm
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The world’s biggest music streaming application, Spotify, has decided to spend one billion dollars to repurchase its shares starting from now, until the mid of April 2026. Following the news, the stock price of the company spiked up by 5.1%, valuing the company’s current total worth around 41.06 billion dollars.

Notable Silicon Valley companies have followed the trend in the past. Microsoft, Apple and Alphabet are among the most famous public limited companies to have purchased its shares from their chunks of profit, to gain back the companies’ ownership.

The Swedish audio streaming company’s stock is valued at $215.84 apiece only, whereas, the same limited company’s shares have been traded at $387.44, over the past 12 months. Provided the current stock price, the buyback decision of Spotify makes perfect sense.

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