Pandora‘s lack of profitability didn’t deter investors from tuning in to the Internet radio stock, boosting its price as much as 50 percent in its Wall Street debut Wednesday at 20$ per share. This in turn pushed Pandora’s (Stock Symbol “P” ) market cap north of $3 BILLION. The new market cap is much higher than the projected $2 BILLION that it was expected to reach, when the company amended it’s IPO filing with the SEC on Friday to price the shared at $10 to $12 per share.
After initially openeing at $20 a share, Pandora (Stock Symbol “P” ) rose as high as $26 in early trading on Wednesday, giving it market value of $4.2 billion, more than the current value of AOL!
Is it overpriced? Not according to Pandora CEO Joseph Kennedy, who had this to say on the NYSE Floor after the stock opened.
Investors determine the stock price. Let the market work. We respect that investors every day, every second set the price.