Question 1

What is Spotify's P/FCF ratio?

Accepted Answer

Spotify (SPOT) P/FCF ratio is 28.2× as of June 5, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month free cash flow, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/FCF ratio calculated?

Accepted Answer

P/FCF = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Free Cash Flow, where Free Cash Flow = Operating Cash Flow − Capital Expenditures. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/FCF ratio?

Accepted Answer

The price-to-free-cash-flow (P/FCF) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) free cash flow. It is calculated as market cap ÷ TTM free cash flow, where free cash flow = operating cash flow − capital expenditures. Because FCF cannot be inflated by non-cash accounting items, P/FCF is often considered a cleaner measure of "earnings-power valuation" than P/E — especially for capital-intensive businesses where depreciation diverges from real cash outflows.

Question 4

What is a good P/FCF ratio for Spotify?

Accepted Answer

Mature companies that consistently convert profit into cash often trade at 15–25× P/FCF; capital-intensive businesses with lumpy capex typically trade lower. Compare against sector peers and against the company's own multi-year average — single-year P/FCF can be distorted by working-capital swings. For Spotify specifically, the relevant sector benchmark is the current sector median of 21.7×.

Question 5

Is Spotify's P/FCF ratio high or low?

Accepted Answer

Spotify's P/FCF ratio of 28.2× is below its own 5-year average of 165.6× and above the sector median of 21.7×. That places the current reading at the 2th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Spotify's historical P/FCF ratio range?

Accepted Answer

In the available daily series, Spotify (SPOT) P/FCF ratio has ranged from a low of 23.7× in 2026 to a high of 1102.0× in 2023. The 5-year average is 165.6× and the 5-year median is 60.0×.

Question 7

What was Spotify's P/FCF ratio in 2025?

Accepted Answer

Spotify (SPOT) P/FCF ratio at the end of 2025 was 36.6×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month free cash flow figure available at that date.

Question 8

Why does Spotify's P/FCF ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (free cash flow). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$119.46B	$3.27B	36.6×	-0.2×	Dec 31, 2025
2024	$90.77B	$2.47B	36.8×	-13.8×	Dec 31, 2024
2023	$36.78B	$727.81M	50.5×	-557.9×	Dec 31, 2023
2022	$15.25B	$25.06M	608.4×	+469.4×	Dec 31, 2022
2021	$44.97B	$323.60M	139.0×	-141.4×	Dec 31, 2021
2020	$59.71B	$212.98M	280.4×	+224.6×	Dec 31, 2020
2019	$27.38B	$490.81M	55.8×	-24.3×	Dec 31, 2019
2018	$20.51B	$256.17M	80.1×	-99.9×	Dec 31, 2018
2017	$26.54B	$147.51M	179.9×	—	Dec 31, 2017
2016	$22.29B	—	—	—	Dec 31, 2016


Alphabet (GOOGL)	54.0×
DoorDash (DASH)	37.3×
Netflix (NFLX)	34.1×
Meta (META)	30.0×
Reddit (RDDT)	29.7×
Warner Bros. Discovery (WBD)	29.6×
Live Nation Entertainment (LYV)	28.7×
News (NWSA)	24.7×
Paramount Skydance (PSKY)	24.5×
Walt Disney (DIS)	23.0×
Electronic Arts (EA)	21.9×
Roku (ROKU)	21.4×
Trade Desk (TTD)	12.9×
Snap (SNAP)	12.8×
T-Mobile US (TMUS)	12.7×
AT&T (T)	11.7×
Verizon (VZ)	10.5×
Fox (FOXA)	10.5×
Pinterest (PINS)	9.7×
TKO Group Holdings (TKO)	8.9×
John Wiley & Sons (WLY)	8.6×
Match Group (MTCH)	7.3×
Charter Communications (CHTR)	6.7×
Omnicom Group (OMC)	5.2×
Comcast (CMCSA)	5.1×

P/FCF Ratio for Spotify (SPOT)

P/FCF Ratio daily chart for Spotify (SPOT)

Historical P/FCF Ratio for Spotify (SPOT) from 2016 to 2025

About P/FCF Ratio at Spotify (SPOT)

Spotify P/FCF Ratio by Year

Spotify P/FCF Ratio 2025: 36.6×

Spotify P/FCF Ratio 2024: 36.8×

Spotify P/FCF Ratio 2023: 50.5×

Spotify P/FCF Ratio 2022: 608.4×

Spotify P/FCF Ratio 2021: 139.0×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

Spotify (SPOT) Key Financials

P/FCF Ratio daily chart for Spotify (SPOT)

Historical P/FCF Ratio for Spotify (SPOT) from 2016 to 2025

About P/FCF Ratio at Spotify (SPOT)

Spotify P/FCF Ratio by Year

Spotify P/FCF Ratio 2025: 36.6×

Spotify P/FCF Ratio 2024: 36.8×

Spotify P/FCF Ratio 2023: 50.5×

Spotify P/FCF Ratio 2022: 608.4×

Spotify P/FCF Ratio 2021: 139.0×

Sector peers by P/FCF Ratio — chart

Sector peers by P/FCF Ratio — table

Frequently asked questions

+What is Spotify's P/FCF ratio?

+How is the P/FCF ratio calculated?

+What is the P/FCF ratio?

+What is a good P/FCF ratio for Spotify?

+Is Spotify's P/FCF ratio high or low?

+What is Spotify's historical P/FCF ratio range?

+What was Spotify's P/FCF ratio in 2025?

+Why does Spotify's P/FCF ratio change over time?

Spotify (SPOT) Key Financials