Pandora Media (NYSE:P) Weakness is a Buying Opportunity According to Piper Jaffray

0

Piper Jaffray recommends buying shares of Pandora on weakness after the company’s Q2 guidance came in below expectations. Piper believes Pandora’s monetization gains remain on track and it reiterates an Overweight rating on the stock with a $37 price target.

Pandora shares tumbled after hours 8.4% to $25.81 in the extended session following earnings yesterday. At that price, next support is at $24.56, a recent low. Resistance is at $26.88.

The company said Q2 revenue is expected to be in the range of $213 million to $218 million, while non-GAAP EPS is expected to be between $0.00 and $0.03.  Analysts on average were modeling $0.05 in earnings and $219 million in revenue, according to Capital IQ data. For the full year, the company raised its Non-GAAP diluted EPS to be between $0.14 and $0.18, from $0.13 to $0.17.

The company reported better-than-expected Q1 revenue and earnings: Q1 revenue jumped 69% to $194.3 million, while non-GAAP diluted EPS was $0.13. Wall Street predicted $174.9 million in revenue and a loss of $0.14 per share in earnings.

Analysts have a consensus price target of $31.88 on Pandora Media (NYSE:P) which indicates a 12% upside. The consensus rating of the stock is a HOLD with a score of 2.37. There are currently 13 Hold Ratings, 3 sell ratings and 14 Buy ratings on the stock.

Another recent analyst action consisted of Wedbush upgrading its price target to $35.

 

Suggested Reading: Most Popular Conspiracy Theories

Share.

Leave A Reply