Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.
What: Shares of music streaming specialist Pandora Media (NYSE: P ) plunged by as much as 10% Tuesday amid a broader pullback in the tech sector.
So what: Today's drop extends yesterday's nearly 6% slide, but it's worth noting that Pandora Media stock had already jumped nearly 35% prior to that since early May. The tech-heavy Nasdaq Composite dropped by 1.4% Tuesday, pulling many high-flying tech names down with it.
Now what: But Pandora, in particular, faces concerns over whether its previously impressive growth is stalling. While Pandora's adjusted quarterly revenue grew 54% year over year in the first quarter, listener hours and active listeners only rose 12% and 8%, respectively, over that period. That doesn't mean Pandora can't still make operational improvements to achieve sustained profitability over the long term, but I personally remain content watching from the sidelines to see how the company fares when it announces second-quarter results later this month.
Leaked: Apple's next smart device (warning, it may shock you)
In the meantime, there's no shortage of other promising tech stocks in which growth hungry investors can put their money to work. For example, Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out, and some early viewers are claiming its everyday impact could trump the iPod, iPhone, and the iPad. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But another small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!