With Pandora Media Inc (P), Keep Calm and Carry On

Pandora’s lack of profitability and its low sales of advertising are still worries for me, though the expansion into set box streaming is a great way to help out with the advertising problems, since it is a new medium. Apple Inc. (NASDAQ:AAPL)’s streaming service will be attractive simply because it’s Apple and there are many loyal customers that will use the streaming service without a second thought, but Pandora Media Inc (NYSE:P) is the veteran provider. This is a big advantage because Pandora has a loyal fan base that will keep advertisers happy. Record labels will worry about royalty payments, but the wide breadth of ways to listen to Pandora should yield good returns for them.

Pandora is a good company. It will take a bit of a whack when Apple Inc. (NASDAQ:AAPL) rolls out the streaming service for good, but this will be short-term. Indeed, Pandora Media Inc (NYSE:P) will be around for a while, and given that the analysts aren’t predicting doom and gloom, investors shouldn’t either.

John McKenna has no position in any stocks mentioned. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple.

The article With Pandora, Keep Calm and Carry On originally appeared on Fool.com.

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