On Thursday, Pandora (NYSE:P) steps up to the earnings plate to take a swing. Shares continue to flirt with all-time highs as analysts become increasingly bullish on the music streamer's prospects. Following a couple of analyst upgrades last week, Pandora got another vote of confidence this morning from Wells Fargo. Wall Street expects Pandora to put up approximately $175 million in revenue and $0.06 per share in adjusted earnings.

Apple (NASDAQ:AAPL) and Google have both stepped into online music in a big way. Apple's disclosure that it quickly grabbed 11 million users for its iTunes Radio service sent shares tumbling in September, but Pandora has recovered (and then some) since. Investors will need to continue watching Pandora's cost structure for signs of scalability. Sales and marketing expense will likely increase as that's where Pandora is investing, and it will need to put up ad revenue growth to show for it.

In this segment of Tech Teardown, Erin Kennedy discusses Pandora's upcoming earnings report with Evan Niu, CFA, our tech and telecom bureau chief.

Erin Kennedy and Evan Niu, CFA, own shares of Apple. The Motley Fool recommends Pandora Media. It recommends and owns shares of Apple and Google. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.