Spotify Technology S.A. has increased the price for its Premium subscription service in the United States. The new rate of $12.99 per month will apply to billings starting in February, up from the previous $11.99.
The company last adjusted its Premium pricing for US users in June 2024, also setting it at $11.99 monthly. In a statement, Spotify said that over the next month, Premium subscribers in the US, Estonia, and Latvia will receive an email detailing what this change means for their accounts.
"Occasional updates to pricing across our markets reflect the value that Spotify delivers, enabling us to continue offering the best possible experience and benefit artists," the company announced.
On the same day as the price announcement, financial firm Jefferies revised its price target for Spotify stock downward from $800 to $750. Despite this adjustment, Jefferies maintained its Buy rating on the company.
Jefferies continues to list Spotify as a Top Pick, citing expectations of revenue acceleration in 2026 driven by the price increases and ongoing subscriber growth. The firm also noted additional potential from super-fan initiatives and other upsell opportunities.
Analysts at Jefferies described Spotify as an "undermonetized asset" with a "clean revision story," stating that their estimates for 2027 free cash flow per share are nearly 15% above consensus figures.