13 Best Large Cap Stocks to Buy Right Now

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7. Spotify Technology S.A. (NYSE:SPOT)

Number of Hedge Fund Holders: 106

Spotify Technology S.A. (NYSE:SPOT) is one of the best large-cap stocks to buy right now. On July 8, Bernstein SocGen Group increased its price target for Spotify Technology S.A. (NYSE:SPOT) from $825 to $840 and kept an “Outperform” rating.

The research firm highlighted the company’s “underappreciated pricing power” and potential growth from new superfan subscription offerings.

Bernstein expects that foreign exchange challenges will slightly affect Spotify Technology S.A.’s (NYSE:SPOT) Average Revenue Per User (ARPU) and top-line growth for the rest of the year. However, the firm believes user metrics and benefits from price increases could help produce positive results.

According to Bernstein analysts, Spotify Technology S.A. (NYSE:SPOT) is expected to report third-quarter gross margins below Street expectations, mainly because of recurring regulatory charges. Still, the firm pointed out that the company’s cash balance is likely over EUR 5 billion. This strong cash position could allow the company to return money to shareholders or launch a new superfan-focused subscription tier.

Spotify Technology S.A. (NYSE:SPOT) is a leading audio streaming subscription service provider. Through its platform, the company offers access to songs, podcasts, and audiobooks.

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