UPDATE: Nomura Reiterates Reduce Rating, Raises PT on Pandora Media on F4Q13 Revenue

In a report published Friday, Nomura reiterated its Reduce rating on Pandora Media P and raised its price target from $5.00 to $9.75. Nomura noted, “There is no denying this was a solid quarter and guide for Pandora, but it is notable that our new FY2014 and FY2015 revenue estimates are largely in line with what we originally expected the company to generate in ad revenue. At the same time, margins are improving faster than expected. Pandora‟s ad revenue gains continue to be driven by improved mobile monetization. The company also announced that long-serving chairman and CEO Joe Kennedy plans to step down from his CEO role. Near-term numbers are headed higher to reflect the beat and raise, which should be good for the stock.” Pandora Media closed on Thursday at $11.73.