Finally, Canaccord Genuity restated a “buy” rating and set a $13.00 target price on shares of Pandora Media in a research note on Tuesday, March 29th. The stock holds the market capitalization of $2.71B along with 228.78M outstanding shares.
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Pandora Media announced financial results for the second quarter ended June 30, 2016.
And with Pandora admitting in a quarterly report this week that recent revenues were less than anticipated and user numbers were down over a million in the face of heightened competition from the likes of Apple Music, the company could possibly use a good strategic partner right about now.
Live Nation, which already has an association with Tidal via its business partnership with Jay-Z, would potentially make a good strategic partner to anyone looking to turn a streaming service into a ticketing and direct-to-fan platform with multiple revenue streams. The company’s revenue was up 28.8% compared to the same quarter previous year.
For the year, Pandora trimmed its sales outlook and now projects revenue of $1.39 billion to $1.41 billion, below Wall Street estimates, because of weakness in some national ad markets. Ticketing service revenue was $22.8 million, an approximate 20% year-over-year increase1. Analysts polled by FactSet expected on average for Pandora to report an adjusted loss of 16 cents a share on revenue of $352 million; Pandora had forecast revenue of $345 million to $355 million. Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) also came in at a loss of $25.1 million.
Pandora exited the quarter with $311.3 million in cash and investments compared with $382.5 million at the end of the last quarter. Active listeners were 78.1 million at the end of the second quarter of 2016, compared to 79.4 million at the same point past year.
Net income on a GAAP basis was $106 million and adjusted net income for the quarter was $149 million. On average, equities research analysts expect that Pandora Media will post ($0.43) EPS for the current fiscal year. Non-GAAP EPS was $0.27 for the quarter, increasing $0.04 from same quarter a year ago.
For the third quarter of 2016, revenues are expected in a range of $360 million to $370 million. On Jun 20, 2016, Christopher Douglas Martin (Chief Technology Officer) sold 2,000 shares at $11.19 per share price.Also, On Jun 2, 2016, Timothy Leiweke (director) purchased 10,000 shares at $11.64 per share price.On May 3, 2016, Michael S Herring (CFO) purchased 50,000 shares at $9.21 per share price, according to the Form-4 filing with the securities and exchange commission.
The share price of Flextronics International Ltd. (NASDAQ:FLEX) surged 21.78% for the year.
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Credit Suisse analyst Stephen Ju maintained his neutral rating on Pandora stock, but he cut his price target to 16 from 17.
