Spotify's market debut, however, will be unusual. Underlining the uncertainty of the company's value, estimates for expected share prices collected by IPOScoop.com ranged from $49 to $131. This also means that the company won't have a share opening price. "So you won't see us ringing any bells or throwing any parties".
Case in point: Dropbox, another mature but unprofitable billion-dollar tech company facing a similarly daunting list of rivals, is up more than 40% from its IPO last month.
Meanwhile, Kim Forrest, portfolio manager at Fort Pitt Capital Group in Pittsburgh, said it was interesting that Spotify's listing wasn't done to raise money for itself.
Spotify selected market maker Citadel Securities for a role in setting an opening price based on buy and sell orders.
Pop superstar Taylor Swift, who once railed that Spotify was short-changing artists and boycotted the service, recently debuted a video as an exclusive to the platform.
It now has 71 million so-called premium subscribers, including users who have given the company a credit card number for a free trial. If the rates hold, Apple Music will overtake Spotify by the summer.
Spotify's growth has been matched by increasing losses. Among its direct music-streaming competitors, Spotify dwarfs Pandora Media (P), which has a market cap of $1.2 billion.
Spotify going public comes at an interesting time. Seeking to take the company to the next level, the Swedish-based company signaled its intention to go public this past February. "It has never been done for a company of this size".
Spotify chose the direct listing method in part to ensure that employees and longtime shareholders could sell stock on day one if they choose. Instead of paying more than $65 million in fees to Wall Street investment banks, Spotify will likely pay half as much, market analysts said. "Most companies do fall after their IPO, but the difference is that there is no underwriter to stabilize the price", he said.
Money reports that this could end up being a bad move for Spotify once it goes public as a bunch of shares hitting the market at once could bring the stock price down. Instead, company insiders and investors will be selling their existing stock.
Spotify has helped change the way much of the world listens to music by popularizing streaming - unlimited, on-demand songs online. The opening price puts the company's value at almost $30bn, making it one of the largest USA listings for a tech company in history. But what's even more important to me is that tomorrow does not become the most important day for Spotify. It entered the NYSE with a reference price of $132, so Tuesday was much higher than that.