Sirius Xm Holdings, Inc. (NASDAQ:SIRI)

CAPS Rating: 3 out of 5

A leading provider of satellite radio, Sirius XM Radio broadcasts channels ranging from Springsteen to Pavarotti, from Disney to Stern, from Nascar to Oprah.


Player Avatar TMFmd19 (91.76) Submitted: 11/4/2012 10:00:24 PM : Underperform Start Price: $2.85 SIRI Score: +17.76

Ah, the allure of satellite radio and the more than 20 million subscribers has had investors salivating over this company for years. The problem is that in their near two decades as a public company shares are down almost 40%. It is easy to see what has investors excited; recurring revenue from millions of subscribers is what took a company like Netflix to new heights. Sirius has just never lived up to the enormous promise, and their merging with chief rival XM Radio has yet to deliver market stomping returns. Sure, the company has been on a tear of late, and their latest earnings report gave investors reason to hope. Still, the company is not cheap, just barely profitable, and they’re going to be leaderless come next year. Further, I don’t think investors should overlook Apple. Not only are there rumors that they’ll be rolling out a streaming service, but with a simple adaptor you can bypass the radio and create your own station. I’ve been using my iPhone to play my iTunes playlists through my car radio for years now. There are just too many reasons not to be tuned into Sirius, and I think investors should tune out as well.

Member Avatar DR1P (< 20) Submitted: 11/24/2012 12:35:20 PM
Recs: 0

"Sure, the company has been on a tear of late,..."

@latimerburned... 39 months is "of late"?

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