Music to Your Wallet

Written by GSCR Staff   
Thursday, 24 May 2012 10:15

After the close on Wednesday, Pandora Media, Inc. (NYSE – P) announced its 1Q13 results.  They were strong and the Company guided higher for the full year.  Are you familiar with Pandora? It rocks.

Literally. For the uninformed, Pandora is the Internet radio pioneer.  Actually, the company is a beast. Check out some of these numbers. 
Revenue of $80.8 million grew 58% year-over-year. Active users reached a record 51.9 million growing 53% year-over-year and total listener hours of 3.09 billion grew 92% year-over-year. Roughly 6% of all U.S. radio listening was represented by Pandora. Interestingly, 55% of Pandora’s advertising revenue was accounted for via mobile devices. Moreover, the top 50 biggest digital marketers in the U.S. are now advertising on Pandora’s mobile and desktop services.
Forecasts have been raised and it looks like Pandora will generate around $420M in revenue with a narrowing loss per share.
The stock is looking good technically and long term; we could see a 50% increase in 12 months or more.  In the meantime, with the wind at its back it probably is good for a sustained move higher.

 

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