3 Buzzing Social Media Stocks: Groupon’s Solid Quarter, Pandora’s New Challenge, and Facebook Makes some Tweaks
Groupon, Inc. (NASDAQ:GRPN):
Shares of Groupon are on a 26 percent tear, in the wake of Wednesday’s in-line earnings and revenue beat. The daily deals site has named Eric Lefkofsky as its permanent CEO, and Ted Leonsis as its chairman. The company’s gross margin was 63.2 percent, gaining 20 bps over the last quarter but down 1300 bps year-over-year, due to mix shift towards direct sales. Direct sales (e-commerce, Groupon Goods-focused) saw gains of 17 percent and 190 percent quarter-over-quarter and year-over-year respectively, to $189.9 million.
Pandora Media (NYSE:P):
Pandora has found a new challenger, in the form of Rdio, a music-streaming service started by Skype co-founder Janus Friis. Now, Rdio can combine listening history, track voting, Facebook likes and Twitter follows to create a virtual station tailored to a specific listener, according to Chris Becherer, vice president of product. Stations based on artists, songs, popularity and friends are also available, he added.
Facebook has made some minor tweaks to its news feed to help boost more relevant posts for the user. On any given day, the Facebook news feed scrolls about 1,500 items, all of varying degrees of relevance. One change goes through the more recent — but older — stories that the user never looked at, and pulls the best ones forward, blending the time frame of the feed. Another will look at the last 50 interactions you’ve had on your news feed, and rank future posts from those people and pages more highly, the New York Times says.