Pandora Media (P) Stock Down as Google Begins Free Music Service

NEW YORK (TheStreet) -- Shares of Pandora Media Inc. (P) are lower by 1.43% to $16.51 in mid-afternoon trading on Tuesday, as Google (GOOGL) launches a free, ad-supported version of its $9.99 per month Google Play Music streaming service, designed to rival Apple Music (AAPL).

The free service, which is available now, is designed to give artists an additional means of earning revenue and ultimately to bring in more users for its pay subscription service.

"We hope you'll enjoy it so much that you'll consider subscribing to Google Play Music to play without ads, take your music offline, create your own playlists, and listen to any of the 30 million songs in our library on any device and as much as you'd like," Google said in a blog post announcing the free service.

Pandora stock took a hit when Apple announced its music streaming service earlier this month. Apple Music will launch on June 30.

Shares of Google are up by 0.80% to $564.18 and shares of Apple are lower by 0.24% to $127.30 this afternoon.

Separately, TheStreet Ratings team rates PANDORA MEDIA INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:

"We rate PANDORA MEDIA INC (P) a SELL. This is driven by a few notable weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. Among the areas we feel are negative, one of the most important has been generally deteriorating net income."

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