Pandora Media Inc (NYSE:P), the go-to music source for fans and artists, today announced management team changes to accelerate the company’s growth strategy.
Effective immediately, the board appointed founder Tim Westergren as CEO. Tim is a visionary who forever changed how music is enjoyed by leading the development of Pandora’s Music Genome Project in the early 2000s. A seasoned entrepreneur, and former band member and composer himself, Tim is personally committed to advancing the careers of working musicians everywhere.
Tim has been a strong and highly engaged leader throughout Pandora’s history and has been deeply involved in the company’s growth strategy and evolution. He also plays an essential role in engaging employees, listeners, music makers, advertisers and partners.
“I am incredibly excited about the future of Pandora. We’re on the cusp of realizing an extraordinary vision: fundamentally changing the way listeners discover and enjoy music, and the way artists build and sustain their careers,” said Tim Westergren, Pandora’s Founder and CEO. “We are pursuing a once-in-a-generation opportunity to create a massive, vibrant music marketplace. We have the audience, the technology infrastructure, the monetization engine and most importantly the right team with the passion and commitment to do it. I’m 100 percent committed to Pandora’s growth strategy, as is our executive team and Board.”
Pandora also introduced a new management structure:
- Mike Herring, as President and Chief Financial Officer, drives monetization of Pandora’s core business covering revenue, music licensing, finance, legal, and information technology. He will also continue to focus on driving efficiencies and expanding margins.
- Sara Clemens, as Chief Operating Officer, focuses on growing and scaling the business and operating new ventures. Her responsibilities include music makers, Ticketfly, international, human resources and corporate development.
- Pandora’s Chief Product Officer Chris Phillips, is responsible for product, engineering and marketing. His team will develop, deliver and drive adoption of products that connect fans and artist in new ways, including on-demand, and help advertisers reach their audiences.
Brian McAndrews is leaving the company. “I am honored to have been the CEO of Pandora for the past two and a half years, and I am proud of what I and our team of talented and highly passionate colleagues have achieved during this time. We have put in place a robust strategy to make Pandora the go-to source for fans and artists and position the company for long-term success in a highly dynamic space. With the team and strategy in place and execution underway, I am passing the baton on to Tim. I wish the Company all the best as it continues on its next phase of growth.”
Current independent board member Jim Feuille is Chairman of the Board.
“Pandora today is in a strong position to maximize our full potential and expand the music marketplace. Tim is the ideal CEO for Pandora as we embark on our next phase of growth. As the original founder, Tim carries the vision for how Pandora can transform the music industry and he is uniquely able to connect with listeners, music makers and employees,” said Chairman Jim Feuille. “Pandora has become a stronger company under Brian’s leadership, and we thank him for his commitment and contributions to building Pandora’s core leadership team and strengthening its position in the market. Moving forward, we have an excellent executive leadership team that is focused on activating Pandora’s strategy and driving long-term value through a relentless focus on execution and operational excellence.”
Pandora also reaffirms its previously announced revenue and adjusted EBITDA guidance. The company expects to come in at the high end range of revenue and adjusted EBITDA guidance for the quarter, and reaffirms 2016 full year targets. Further detail on the company’s performance will be provided during Pandora’s first quarter results.(Original Source)
Shares of Pandora are down nearly 9% in pre-market trading. P has a 1-year high of $22.60 and a 1-year low of $7.10. The stock’s 50-day moving average is $9.75 and its 200-day moving average is $13.34.
On the ratings front, Pandora Media has been the subject of a number of recent research reports. In a report issued on March 9, Suntrust Robinson Humphrey analyst Robert Peck maintained a Hold rating on P, with a price target of $12, which implies an upside of 9.8% from current levels. Separately, on the same day, Albert Fried’s Richard Tullo reiterated a Buy rating on the stock and has a price target of $16.
According to TipRanks.com, which ranks over 7,500 financial analysts and bloggers to gauge the performance of their past recommendations, Robert Peck and Richard Tullo have a total average return of 3.1% and 3.7% respectively. Peck has a success rate of 53.8% and is ranked #645 out of 3742 analysts, while Tullo has a success rate of 53.3% and is ranked #647.
Overall, 8 research analysts have assigned a Hold rating and 7 research analysts have given a Buy rating to the stock. When considering if perhaps the stock is under or overvalued, the average price target is $13.88 which is 27.0% above where the stock closed last Thursday.
Pandora Media Inc provides internet radio services on smartphones, tablets, traditional computers and car audio systems, as well as other internet-connected devices.