UPDATE: J.P. Morgan Lowers Pandora Media's PT

According to a research report published earlier today, J.P. Morgan has decreased Pandora Media Inc.'s (NYSE: P) PT from $22 to $17.

J.P. Morgan explained in the report, “Pandora's 4QFY12 financial results and FY2013 outlook were light as lower than expected advertising sales combined with strong listening hours negatively impacted the bottom line. However, our long-term fundamental view on Pandora is unchanged as listener hour growth remains strong (2.7B hours in 4QFY12, +99% Y/Y, ~6% share) and we think monetization will follow as Pandora accelerates its sales force build out and third-party audience measurement improves. Profitability levels are essentially pushed out in our model by 1 year, but we continue to believe Pandora is a compelling long-term play on mobile advertising and we'd be taking advantage of current weakness in the shares.”

J.P. Morgan maintains its Overweight rating on Pandora Media, which closed yesterday at $14.27.