Top analyst Victor Anthony of research firm Aegis came out today with a Bullish call on shares of Pandora Media Inc (NYSE:P). The analyst initiated coverage on P with a Buy rating and price target of $16, which represents a potential upside of 17% from where the stock is currently trading.

Anthony wrote, “Management has outlined what we think are ambitious goals across all four business lines for 2020 – we say ambitious because we are not modeling towards those numbers (high execution risks). However, to illustrate the upside if they were in fact to pull it off, we valued each business individually using a sum-of-the parts valuation. The exercise highlights value near $29 per share based on what we think are reasonable EBITDA margins and target multiples.”

“While our recent bullish stance on Pandora was somewhat tempered by the 3Q report that missed expectations and saw 2016 guidance reduced, we still see upside to owning the shares at these levels due to our expectations for a successful on-demand service and the potential for an acquisition,” the analyst concluded.

According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Victor Anthony has a yearly average return of 12.9% and a 62% success rate. Anthony has a 1.7% average return when recommending P, and is ranked #67 out of 4256 analysts.

Out of the 34 analysts polled by TipRanks, 18 rate Pandora stock a Buy, 13 rate the stock a Hold and 3 recommend a Sell. With a return potential of 18%, the stock’s consensus target price stands at $16.07.