9.06 -0.03 (-0.33%)
After hours: 7:13PM EDT
|Bid||9.02 x 3000|
|Ask||9.13 x 45100|
|Day's Range||9.04 - 9.49|
|52 Week Range||4.09 - 10.07|
|PE Ratio (TTM)||N/A|
|Earnings Date||Oct 31, 2018 - Nov 5, 2018|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||9.20|
The online music streaming market holds immense potential and is poised to grow over the long term given that an increasing number of people are ready to pay monthly subscription for the services.
Two important questions to ask before you buy Pandora Media Inc (NYSE:P) is, how it makes money and how it spends its cash. This difference directly flows down to howRead More...
Pandora is taking on Spotify with the launch of a new personalized playlist, The Drop, announced this morning. New tracks are added to the playlist on the day they're released, the company says - that means Fridays, as with Release Radar. Pandora's playlist will also be longer than Spotify's 30-track Release Radar as it doesn't immediately ditch older tracks when new ones arrive.
If you ask Spotify users why they're loyal to the music service, chances are many of them will cite personalized new music playlists like Discover Weekly and New Release Radar. Today, Pandora is releasing a similar playlist for its Premium on-demand users: it's called "The Drop," and it's a custom playlist that features newly-released tracks selected based on a user's listening history over time. Pandora says the playlist will automatically show up in Premium users' libraries with around a dozen songs to start with, but it'll be continuously updated over time as new songs are released.
Spotify (SPOT) boasts the largest number of listeners of any streaming music service. Spotify subscribers can now download up to 10,000 songs per device on up to five devices, meaning that customers can build an offline library of up to 50,000 songs to listen to without an Internet connection. Spotify told Rolling Stone that lifting the cap on song downloads was aimed at improving the customer experience, and there couldn’t be a better time for Spotify to try to make its listeners happier.
Music streaming provider Pandora Media (P) has been on a brilliant run against all expectations. The surge is surprising because Pandora only has ~6 million paid subscribers, and the company hasn’t been able to make money. It faces stiff competition from Spotify (SPOT) and Apple Music, which have many more paid subscribers.
Needham analyst Laura Martin on Tuesday raised her Pandora Media Inc. price target to $13 from $8 on optimism for the company's ability to accelerate subscriber growth and lower its customer acquisition costs. Following meetings with management, she was intrigued by the company's plans to set a minimum price per ad unit, which she believes will help "elongate listening hours" as Pandora is no longer selling the least profitable ad units. "Those extra revenues aren't worth irritating the listener if he/she then listens to less hours of Pandora," she wrote. The company is also trying to benefit from continued interest in podcasts and is focused on ways of making it easier for people to discover podcast content. The stock is up 96% so far this year, while the S&P 500 has gained 8%.
Morgan Stanley analyst Benjamin Swinburne reiterated his neutral view of Pandora Media Inc. on Monday, following an 84% rise in the company's stock over the past 12 months. "Management has taken some positive operational steps, which has reinforced the expectation for a return to "core" (ex-AdsWizz) ad revenue growth," he wrote, referring to the company's recent acquisition of ad-tech company AdsWizz. However, he said that a reversal of the Pandora's declining listener trends "remains elusive," which is part of the reason he's not more constructive on the shares: "Continued declines in users make it difficult for us to underwrite with confidence a path to positive [earnings before interest, taxes, depreciation and amortization] in the next several years." He maintained his equal-weight rating and $8 target price. Pandora's stock is up 0.5% in Monday morning trading, and it's up 12% over the past month. The S&P 500 has gained 0.3% in that time.
Spotify (SPOT) has sweetened its special service plan for college students with the addition of Showtime at no additional cost to subscribers. Spotify’s Premium for Students plan costs $4.99 per month. A year ago, Spotify included Hulu in a bundle in its student plan.
Apple (NASDAQ:AAPL) is launching a video streaming service, and that’s a bad thing for Netflix (NASDAQ:NFLX). At least that is what the market thinks, after Morgan Stanley released a note on Apple Video detailing how that service could become a legitimate Netflix competitor by 2025. Citing a big budget, a huge install base, and a plethora of partnerships, Morgan Stanley outlined a case for Apple Video to get to 50 million subscribers by 2025, about 40% the size of Netflix today.
Index (PMI) data, output in the Consumer Services sector is rising. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way.
Several recent positive catalysts appear to have transformed Pandora (NYSE:P) stock from a Wall Street dog to a Wall Street darling. One of the biggest reasons for the recent rebound in Pandora stock was definitely a positive note issued on Aug. 30 by research firm Raymond James and described in-depth in a Barron’s article. The note stated that, aside from Apple (NASDAQ:AAPL) Music, Pandora and Spotify (NYSE:SPOT) were the most frequently downloaded apps on both iOS and Alphabet’s (NASDAQ: GOOG, NASDAQ:GOOGL) Google Play in the U.S. between June 1 and Aug. 28. In a February column, I predicted that “given the expected growth of voice-activated devices, the use of Pandora on such devices should continue to surge going forward.” The proliferation of such devices would cause many more people with disposable income to be exposed to ads for Pandora’s paid premium service, the column noted.
To be clear, Raymond James’ analysts made a good point about Pandora Media (NYSE:P) in Wednesday’s updated notes to investors, underscoring the company’s “Strong buy” on not just Pandora stock, but rival Spotify (NYSE:SPOT) as well. Analysts, and now investors, expect big things from both initiatives.
MARKET PULSE Shares of Liberty SiriusXM (lsxma) are up 0.4% in Tuesday morning trading after B. Riley analyst Barton Crockett raised his price target on the stock to $75 from $63 and added the shares to his firm's "alpha generator list.
Pandora Media Inc. will put its Southeast headquarters in Midtown’s Campanile building, where it will add at least 250 software development and engineering jobs. The move follows the online music streaming company’s announcement in January that it would shift operations from its West Coast headquarters to Atlanta, creating about $45 million in savings. Dewberry Group, led by the former Georgia Tech quarterback turned real estate investor John Dewberry, bought the building a little more than eight years ago for just $35 million when it was mostly empty.
Investors need to pay close attention to Pandora Media (P) stock based on the movements in the options market lately.
Music streaming service company Pandora (P), which has over 71 million active monthly users, is looking to boost its ad revenues. Now, advertisers will have access to dynamic audio, sequential audio, and short-form audio. Dynamic audio ads can be customized based on a variety of factors like age, gender, location, and genre.