Pandora Stock Up 15% After Higher Royalty Cost Ruling
UPDATED: Pandora stock rose 15.1% on Thursday and Friday morning after a Copyright Royalty ruling raising rates about 15%. Why are higher rates that will cost Pandora good news? Investors expected much worse and already driven the stock price down more than 50% this year.
Yesterday's Copyright Royalty Board ruling, while raising key rates, is generally be seen as a win for Pandora and other non-interactive music services. But it still also serves as a reminder of of just how, despite and even because of its huge success, allusive profits may be for Pandora, says top industry analyst Mark Mulligan.