Pandora's IPO debacle: Shares plunge through offering price after a day

Pandora’s high-profile initial public offering has turned into a nightmare as shares fell through the $16 pricing floor.

The online radio company priced its IPO at $16 a share on Tuesday night. From there, Pandora rocketed north of $22. That price turned out to be a sweet spot to short sell Pandora. Shares on Thursday cratered 24 percent and were barely clinging to $13 near market close.

We’ve noted all the problems with Pandora, but the chart says it all. For Pandora’s sake let’s hope it doesn’t wind up in CBS News’ dot-com IPO hall of shame.

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CNET

• Pandora shares jump in initial trading

Moneywatch/BNET:

• Pandora Jukebox Collects a Lot of Coin for Some Investors
• Pandora’s Cost of Music Isn’t the IPO Problem Critics Think
• Pandora IPO: Watch for Sirius XM to Retaliate With Music Fee Trap
• Pandora IPO: No Profits, but There’s Always Hope