Albert Fried & Company Downgrades Pandora (P) to Underweight
- Record-setting rally pushes on as S&P ends week up 3 percent
- Trump's Cohn Pick Most Bullish Sign Yet for Banks - Cowen
- Unusual 11 Mid-Day Movers: (IDXG) (INVN) (EBS) Higher; (SCON) (DTEA) (DLTH) Lower (more...)
- 21st Century Fox (FOXA) offers to acquire Sky for GBP10.75/share
- Coca Cola (KO) Announces James Quincey to Succeed Muhtar Kent as CEO; Kent to Continue as Chairman
Get access to the best calls on Wall Street with StreetInsider.com's Ratings Insider Elite. Get your Free Trial here.
Albert Fried & Company downgraded Pandora (NYSE: P) from Overweight to Underweight with a price target of $8 following the release of Q3 results and guidance. Analyst Rich Tullo thinks the company is no longer a target.
Tullo explained, "Given the negative guidance, negative FCF, and convoluted business model we think Pandora is no longer a takeover target. Negative guidance and ad revenue alone would not have changed our view as a lull would have supported a deal. However, Pandora is making the business less attractive to a strategic buyer because Pandora is burning cash while taking risks with its user base. Moreover Pandora is not focused on growing users of Pandora Radio which essentially drives the rest of the business. The risk Pandora just created is it will now drive users from Pandora to iTunes or Spotify."
Shares of Pandora closed at $12.18 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- UPDATE: Oppenheimer Upgrades Pandora (P) to Outperform
- UBS Raises Price Target on Selecta Biosciences (SELB) to $29
- FBR Capital Raises Price Target on Methode Electronics (MEI) Following Better Than Expected 2Q
Create E-mail Alert Related CategoriesAnalyst Comments, Downgrades, Hot Comments, Hot Downgrades
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!