Wall Street Brutalizes Pandora as Financial Problems Intensify

 

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Updated, Dec. 3 2:15 pm PT: Shares of Pandora (P) have now slumped further, dropping 11.49 percent in distressed Thursday trading.

Wall Street is now punishing Pandora again, with shares dropping another 10% amidst growing financial concerns.  On Wednesday, Pandora announced that it would be pursuing $300 million in convertible debt after completely nearly half-a-billion in acquisitions.

The sell-off largely erases Pandora’s fragile recovery in November following a late-October free-fall.  Ahead of Halloween, investors tanked the stock 36% following quarterly losses of nearly $90 million.  Meanwhile, Pandora is choking its listeners with heavy advertising to raise cash, a move that could affect active listener levels.

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3 Responses

  1. Anonymous

    How much money have owners/employees drained out of this? It’s really too bad it was so horribly run. Somebody else will surely come around and do the same concept correctly.

  2. @mattadownes

    Just where does this put the ticketfly peeps. They were really onto good things. The whole music ecosystem just fucking infuriates me.

  3. Nothing has changed

    Pandora advertising runs on algorithms, those algorithms have not changed. You posted some whiny 15 year old girl’s twitter as proof of “7 ads in a row” last week. That only happens if I thumbs down, skip, thumbs down, skip, thumbs down, skip….which means I should probably be on demand servicing since I’m so picky to what I want.