Pandora Media Inc (NYSE:P) Completes Rdio Acquisition – Stock Holds Steady in Afternoon Trading


Pandora Media Inc (NYSE:P) shares are holding steady this afternoon, after the company announced the completion of their previously confirmed acquisition of competitor Rdio. This announcement comes on the heels of today’s earlier news that Pandora Media Inc (NYSE:P) had signed a licensing deal with Atlas Music Publishing.

The confirmation of the Rdio acquisition comes as no surprise, but what is most interesting is that the company plans to add almost 100 former employees of Rdio to the Pandora Media Inc (NYSE:P) engineering, content licensing, and product teams.

This move was mainly done from an intellectual property standpoint, as well as a way to gain some valuable recourses, such as the aforementioned employees. It was previously announced that Pandora Media Inc (NYSE:P) paid $75 million for the company.

The stock is down 0.21% or $0.03 following the news, hitting $14.17 per share. About 10.46M shares traded hands or 20.51% up from the average. P has declined 20.64% since May 20, 2015 and is downtrending. It has underperformed the S&P500 by 18.37%.

From a total of 21 analysts covering Pandora Media (NYSE:P) stock, 11 rate it a “Buy”, 2 a “Sell”, and 8 a “Hold”. This means that 52% of the ratings are positive. The highest target price is $30 while the lowest target price is $10.0. The mean of all analyst targets is $20.59 which is 45.31% above today’s ($14.17) stock price. Pandora Media was the topic of 34 analyst reports since July 24, 2015 according to the firm StockzIntelligence Inc. BMO Capital Markets initiated shares on December 3 with a “Market Perform” rating. SunTrust maintained shares with a”Buy” rating and a $25 target share price in their report from an August 15. Axiom Capital maintained P stock in a recent report from November 17 with a “Hold” rating. Vetr downgraded the rating on August 5. Vetr has a “Sell” rating and a $15.77 price target on shares. Finally, Northland Capital maintained the stock with a “Outperform” rating in a report they issued on an October 26.

The institutional sentiment increased to 1.27 in Q2 2015. It’s up 0.22, from 1.05 in 2015Q2. The ratio improved, as 38 funds sold all their Pandora Media Inc shares they owned while 65 reduced their positions. 47 funds bought stakes while 84 increased their total positions. Institutions now own 184.97 million shares which is 10.76% less than the previous share count of 207.27 million in 2015Q2.

Crosslink Capital Inc holds 18.34% of its total portfolio in Pandora Media Inc, equating to 6.16 million shares. Falcon Edge Capital Lp owns 4.67 million shares representing 6.9% of their total US portfolio. Moreover, Light Street Capital Management Llc has 5.9% of their total portfolio invested in the company, equating to 1.85 million shares. The New York-based Ao Asset Management Llc has a total of 4.89% of their portfolio invested in the stock. Omt Capital Management Llc, a California-based fund reported 173,600 shares owned.

Since February 26, 2015, the stock had 0 buys, and 3 insider sales for a total of $328,088 in net activity. Fleming-Wood Simon sold 8,871 shares worth $169,873. Sze David L sold 30,000 shares worth $569,796. Feuille James sold 67,841 shares worth $1.24M. Trimble John sold 50,000 shares worth $938,430. The insider Westergren Timothy sold 160,000 shares worth $2.99 million.

Pandora Media, Inc. is a United States well-known provider of Internet radio in the United States. The company has a market cap of $2.97 billion. The Firm offers a personalized experience for each of its listeners wherever and whenever they want to listen to radio on a range of smartphones, tablets, computers and car audio systems, as well as a range of other Internet-connected devices. It currently has negative earnings. It allows local and national advertisers to deliver targeted messages to its listeners using a combination of audio, display and video advertisements.