Star wanes: Spotify shares fall after it hits off-key note with investors
Spotify is planning to boost spending to drive the next phase of growth, but Wall Street isn't singing along.
Despite online hits like Lady Gaga and Bradley Cooper's soundtrack from 'A Star is Born', the Stockholm-based music streaming service tumbled the most in almost six months after management warned margins were likely to be compressed by increased R&D spending. It also cut forecasts on monthly active users and premium subscribers.
Shares fell as much as 11pc in New York, their biggest intraday decline since May 3.