Gilford Securities is initiating coverage on Pandora (P +3.4%) with a sell rating and $14 PT. In...

|About: Pandora Media (P)|By:, SA News Editor

Gilford Securities is initiating coverage on Pandora (P +3.4%) with a sell rating and $14 PT. In addition to Pandora's high valuation, Gilford is worried about the firm's royalty payments, which grow in proportion to listener hours. Pandora's royalty fees reached 57% of the company's revenues in FQ1, up from 50% in the prior fiscal year.