“The repurchase program will be executed consistent with the company’s capital allocation strategy of prioritizing investment to grow the business over the long term,” the company said in a statement.
The move is likely in response to its recent sell-off in stock. Spotify’s shares took a hit in the past few weeks, with a per-share price hovering around $140 at the time of its third-quarter earnings announcement. Despite growth in subscriber numbers and a first-ever quarterly net income, Wall Street responded coolly to Spotify’s prospects. It’s been an erratic debut year for Spotify, which traded around $153 at the time of its first-quarter report and then reached a high of $196 on July 26.