NEW YORK (TheStreet) --New York City-based hedge fund Corvex Management owns about a 10% stake in music streaming giant Pandora (P) . The firm's founder Keith Meister discussed why he is "thrilled" to be an investor in the company during Wednesday afternoon's "Fast Money Halftime Report" on CNBC.
"I think Pandora is a hugely strategic asset, as an investor I like owning it here," Meister said. Adding that Pandora's analyst day next week will be a great opportunity for the music company to "articulate their story," he noted.
"They are going to share with the world their new deals with the labels, new products, and road map to their five-year plan," Meister added.
He described Pandora as "highly valuable" as the music business becomes a more fundamental part of the largest companies. Giants like Alphabet (GOOGL), Amazon.com (AMZN), Apple (AAPL), and Facebook (FB) have begun, or plan to incorporate music into their platforms.
"If you have 80 million users like Pandora does in the U.S. alone who use Internet radio, who will now use the $5 product, as well as the on-demand $10 product, that's a hugely valuable piece of property for someone who wants to win in the music business," Meister explained.
Shares of Pandora were higher in early afternoon trading on Wednesday.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
The team rates Pandora as a Sell with a ratings score of D. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, weak operating cash flow, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share.
You can view the full analysis from the report here: P