Pandora: Profitability On The Way, Business Model Is Stronger Than It Appears. With newly public companies, it is crucial to buy the stock at the right price.
Few pundits would recommend buying an IPO, especially an internet/social media IPO on the day it went public. That is almost always a surefire way to lose money. But, if an investor can get access to a newly public company BELOW its IPO price, then that company, at the very least, warrants a second look. Pandora Media (P) is the world's largest internet and mobile radio service. Founded in 2000, the company went public on June 16, 2011 at a price of $16 per share. YouTube: What is the average CPM for AdWords ads on Youtube. Internet Advertising: What is Pandora's average CPM. Pandora, not yet profitable, files for $100 million IPO - Feb. 11. Pandora founder Tim Westergren.By Stacy Cowley, tech editorFebruary 11, 2011: 6:52 PM ET NEW YORK (CNNMoney) -- Internet radio site Pandora filed late Friday to raise up to $100 million in an initial public offering.
This offers the first public look at the company's finances -- and Pandora isn't yet profitable. The popular site posted a net loss of $328,000 on revenue of $90.1 million in the first nine months of its most recent fiscal year.