Aegis Capital Thinks Pandora Media’s Stock is Going to Recover

By Austin Angelo

In a report released today, Victor Anthony from Aegis Capital reiterated a Buy rating on Pandora Media (NYSE: P), with a price target of $13. The company’s shares closed yesterday at $7.96, close to its 52-week low of $7.48.

Anthony observed:

“We readily admit that there are challenges, but we see greenshoots for the businesses, coupled with the discipled management of Liberty Media, the makes the risk-reward to owning the shares at the current depressed share price, compelling. Ad Supported. While we expect continued pressure on active users and listener hours in 2Q17, app tracking data has shown strengthening usage in May and June over levels in April. Pandora has opportunity to increase ad RPMs through a combination of increasing ad loads, increasingly monetizing auto and CE, the addition of programmatic in 2H17, video ads, and increasing premium direct pricing.”

According to TipRanks.com, Anthony is a 5-star analyst with an average return of 13.0% and a 63.4% success rate. Anthony covers the Technology sector, focusing on stocks such as IAC/InterActiveCorp, Alibaba Group, and Bankrate Inc.

Currently, the analyst consensus on Pandora Media is Moderate Buy and the average price target is $12.96, representing a 62.8% upside.

In a report issued on June 9, Piper Jaffray also maintained a Buy rating on the stock with a $18 price target.

The company has a one year high of $14.98 and a one year low of $7.48. Currently, Pandora Media has an average volume of 11.23M.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

Pandora Media, Inc. provides an internet radio service in the United States, Australia and New Zealand. It offers a personalized experience for listeners to listen radio on smartphones, tablets, computers, car audio systems, and Internet-connected devices. Its also offers service through the Free Service and Pandora One models. The Free Service is advertising-supported and allows listeners access to music and comedy catalogs and personalized playlist generating system for free across all of the Pandora delivery platforms. The Pandora One covers paid subscription service without any advertising. The company was founded by Timothy Westergren and Jon Kraft in January 2000 and is headquartered in Oakland, CA.