Can Brian McAndrews turn the tide for Pandora Media Inc (NYSE:P)
Pandora Media Inc (NYSE:P) shares have zoomed by 12.56% in comparison to its previous day close. At the time of publishing, its share was trading at $24.07 which is close to the 52 weeks high of $24.43. This spike in its share price is the biggest since July and has more than doubled its value over the past year. Investor interest in the stock can be seen as volume increased by over three times compared to average volume of 7.08 million shares.
New CEO Steps In
This spurt in share price and market activity is accompanied by Pandora Media Inc (NYSE:P) announcing the name of its new CEO Brian McAndrews who is all set to take over the reins of leading the biggest online radio service in US. Brain will also hold the post of Chairman and President as per the announcement coming out of Oakland, where the company is situated. There are lot of hopes which are carried on Brian McAndrews given his track record in digital advertising. Prior to joining Pandora Media Inc. (NYSE:P) he was heading Aquantive Inc which was acquired by Microsoft for $6 billion. Investors and company insiders hope to see Brian grow Pandora’s ad revenue which contributed 88% of its $427 million recorded in FY12.
Soon to be launched Apple I Tunes Radio is its competition
In terms of competition, Pandora Media Inc (NYSE:P) will run into the soon to be launched iTunes Radio from Apple Inc. (NASDAQ:AAPL). It will try to retain the loyalty of its 72.1 million listeners who spent a total of 1.35 billion hours listening to its programming in the previous month. The company has managed to grow its user base quarter on quarter. With an advertisement and entertainment veteran like Brain taking over Pandora hopes to capture a larger part of the radio advertisement pie that is on offer.