Aug. 22, 2013, 4:06 PM
- Pandora (P): FQ2 EPS of $0.04 beats by $0.02.
- Revenue of $162M (+58% Y/Y) beats by $5.6M.
- Expects FQ3 revenue of $174M-$179M and EPS of $0.03-$0.06 vs. consensus of $170.5M and $0.08.
- Expects FY14 (ends Jan. '14) revenue of $640M-$655M and EPS of $0.00-$0.05 vs. consensus of $633.9M and $0.05.
- Shares -11.6% AH. CC at 5PM ET. (PR)
Aug. 22, 2013, 12:10 AM
Aug. 21, 2013, 5:35 PM
Aug. 20, 2013, 3:55 PM
- Sources tell AdAge iTunes Radio (AAPL -1.3%) will launch next month, and that McDonald's, Procter & Gamble, Pepsi, and Nissan are among the initial ad partners.
- The ad deals are said to "range from the high single-digit millions of dollars to tens of millions of dollars," involve 12-month campaigns, and include exclusivity for specific industries until year's end.
- Video and audio ads are covered, as are display ads "that will take over whatever screen the consumer is using." Audio ads run every 15 minutes, and video ads every hour.
- The reported ETA coincides with the expected launch dates for the iPhone 5S/5C and iOS 7.
- In June, Apple announced iTunes Radio will include both a free, ad-supported service, and an ad-free service that's bundled with $25/year iTunes Match subscriptions.
- Pandora (P +0.8%) is closing higher, with an assist from B. Riley. iTunes Radio's lack of Android support, and the time invested by Pandora's 71M active users in creating custom stations, could limit the damage done to the Internet radio leader.
Aug. 20, 2013, 9:17 AM
- LightInTheBox (LITB) has been cut to Underperform by Credit Suisse after delivering mixed Q2 results and issuing light revenue guidance. Shares -38.3%.
- Pandora (P) has been started at Buy by B. Riley ahead of Thursday's FQ2 report. Goldman upgraded shares last Friday. Shares +2.8%.
- Salesforce (CRM) has been started at Overweight by First Analysis ahead of its Aug. 29 FQ2 report. Shares +1.3%.
- Riverbed (RVBD) has been cut to Sell by Deutsche a day after announcing president Eric Wolford is retiring, and getting cut Market Perform by JMP. Shares -5.1%.
- Superconductor Technologies (SCON) has been started at Buy by Ladenburg. Shares +12.1%.
Aug. 19, 2013, 6:20 PM
- Analyst Laura Martin has lifted her Pandora (P +4.1%) PT to $20 from $15, forecasts significant margin expansion, and views the company as an option on the $14B local radio ad market.
- She expects Pandora to report an FQ2 mobile RPM (revenue per thousand minutes) of $29.35 (up from $25.31 in FQ1 and $23.32 a year ago), and a PC RPM of $55.69 (up from $48.04 in FQ1 and $55.19 a year ago), when the company reports on Thursday.
- Shares made new 52-week highs today. A Goldman upgrade sent Pandora higher on Friday.
Aug. 16, 2013, 9:20 AM
- Analyst Heath Terry: "We are encouraged by three quarters of accelerating mobile ad [revenue per 1K hours of listening] and subscription revenue growth, and believe competition concerns are at least adequately understood."
- He thinks there could be "considerable upside" to consensus thanks to ramping local advertiser spend, sales investment leverage, and integration with radio ad-buying platforms.
- Terry's bull case scenario imagines Pandora (P) reaching $40/share as its total ad RPM rises from an FQ1 level of $28.02 to a radio industry norm of $70, and total ad sales soar to $2.4B.
- Though up on a Y/Y basis, Pandora's FQ1 mobile ad and total ad RPMs were below FQ3 and FQ4 levels (seasonality was a factor).
- Terry's upgrade comes ahead of Pandora's Aug. 22 FQ2 report.
- Previous: Pandora slides after releasing July audience metrics
Aug. 16, 2013, 9:11 AM
Aug. 6, 2013, 1:44 PM
- Pandora's (P -2.2%) July listener hours totaled 1.28B, +14% Y/Y but only +3% M/M (aided by an extra day) and 5% below May's 1.35B.
- Active users amounted to 71.2M, +30% Y/Y but barely changed from June's 71.1M.
- July U.S. radio listening share is pegged at 7.08%, up from 6.13% a year ago and 7.04% in June. It's still below a February peak of 8.48%.
- Pandora's free mobile listening cap has hurt near-term growth. Is competition from rival free mobile services such as TuneIn and Songza also a factor?
- Shares still +107% YTD following FQ4 and FQ1 numbers demonstrating improved mobile monetization. FQ2 results arrive later this month.
Jul. 10, 2013, 2:14 PMPandora (P -7.1%) slumps for the second day in a row after releasing disappointing June audience metrics. A column from The Verge's Greg Sandoval discussing the PR struggles the Internet radio giant is facing in its efforts to lower royalties might also be contributing to the drop. Among other things, Sandoval observes the Internet Radio Fairness Act failed to draw much Congressional support, and that a Pandora petition asking artists to support its legislative efforts triggered a backlash. Shares -11% since Monday's close, but still +99% YTD. | Jul. 10, 2013, 2:14 PM | 4 Comments
Jul. 9, 2013, 10:45 AMPandora (P -4.9%) gives back some of its recent gains after releasing its June audience metrics, which suggest its mobile listening cap is still taking a toll. Pandora's U.S. radio listening share was 7.04%, up from 5.98% a year ago, but down from May's 7.29%, April's 7.33%, and March's 8.05%. Listener hours totaled 1.25B, +17% Y/Y but -7% M/M (can't fully be explained by one less day). Active listeners rose by less than 1% M/M, and 30% Y/Y, to 71.1M. Also: 1) Pandora has updated its iOS apps to feature improved buffering and auto-pause. 2) High-end headphone maker Beats is reportedly thinking of launching a subscription streaming service with AT&T. Shares made new 52-week highs yesterday. | Jul. 9, 2013, 10:45 AM | 1 Comment
Jul. 5, 2013, 9:18 AMPandora (P) has cut a short-term publishing royalty deal with Universal Music that's said to feature the highest publishing royalties Pandora has ever paid. "Short-term" needs to be emphasized here: the deal comes as a rate court for trade association ASCAP prepares to rule on a Pandora motion claiming direct deals are illegal, and that publishers should accepts the rates the court assigns for ASCAP. Also, Pandora is suing ASCAP over its royalty rates, and just bought a Rapid City, SD radio station in an effort to lower its rates. Shares +1.4%, following markets higher. | Jul. 5, 2013, 9:18 AM | 4 Comments
Jul. 1, 2013, 9:14 AM
Jul. 1, 2013, 8:21 AMPandora (P) is upped to Buy with $24 price target at Morgan Stanley, the team calling the company "The Netflix of Radio," and "the best pureplay exposure to the secular shift of radio dollars to online channels." Pandora trails only Facebook and Google in monthly consumer usage, notes Morgan. Shares +4.9% premarket. | Jul. 1, 2013, 8:21 AM | 8 Comments
Jun. 28, 2013, 4:04 PMSongza is the latest Pandora (P +1.4%) rival to offer a paid subscription service to complement free music offerings: the developer of popular iOS/Android music streaming apps (it stands out by offering dozens of "curated" playlists) is now offering a $0.99/week ad-free option. Pandora's One ad-free service goes for $4/month or $36/year. Songza has picked up 4.8M active users in a little over a year, which still puts it well behind the 70.8M Pandora claimed at the end of May. But engagement is strong: Songza boasts its users average 65 minutes/day of use. (Pandora listening cap) | Jun. 28, 2013, 4:04 PM | 1 Comment
Jun. 27, 2013, 9:43 AMApple (AAPL -0.5%) roundup: 1) Susquehanna has cut estimates, and is lowering its PT to $440 from $480. The firm says production checks point to a greater mix of less costly iPhones. Oppenheimer recently drew a similar conclusion from sales checks. 2) The WSJ reports iTunes Radio will pay music labels $0.01/song more than Pandora (P) this year and next (previous), and that Apple's publisher royalties are more than twice as high. But Apple won't have to pay for songs already in a user's iTunes library, or part of an album he/she owns a part of 3) A new patent application indicates Apple wants iTunes Radio to eventually have more advanced playlist customization and music discovery options. | Jun. 27, 2013, 9:43 AM | 9 Comments
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