SIRIUS XM Radio (SIRI) - Bull of the Day

By
A A A

We upgrade our recommendation on SIRIUS XM Radio ( SIRI ) to Outperform based on its record-high net subscribers addition in the second quarter of 2012. This improved performance was mainly due to strong management execution on the back of rising auto sales.

We expect the company to improve in several other operational metrics, including adjusted EBITDA, free cash flow and further penetration in the U.S. auto sector, in the second quarter. Despite price rise of its services, SIRIUS XM has generated record-breaking net subscribers growth in the last two successive quarters. Solid conversion rate and effective marketing strategy helped the company to achieve this milestone.

Management predicted that this momentum will further intensify in the rest of fiscal 2012 and accordingly raised its prior guidance for fiscal 2012 revenue and net subscribers growth. Further, Satellite Radio 2.0 services will also boost its future financials.
 
SIRIUS XM RADIO (SIRI): Free Stock Analysis Report
 
To read this article on Zacks.com click here.



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Stocks

Referenced Stocks: SIRI

Zacks.com

Zacks.com

More from Zacks.com:

Related Videos

Can You Trust CarFax?
Can You Trust CarFax?               

Stocks

Referenced

Most Active by Volume

164,810,018
  • $16.16 ▲ 4.12%
50,233,746
  • $55.89 ▲ 4.66%
38,892,062
  • $37 ▲ 5.35%
36,824,964
  • $35.15 ▲ 1.88%
34,222,883
  • $9.74 ▲ 6.22%
32,620,827
  • $100.58 ▲ 0.01%
29,001,008
  • $30.10 ▼ 0.76%
25,347,187
  • $8.25 ▲ 1.48%
As of 8/21/2014, 04:03 PM

Find a Credit Card

Select a credit card product by:
Select an offer:
Search
Data Provided by BankRate.com