SIRIUS XM Radio Inc.
) plans to target football crazy fans by launching a channel from
next Monday onwards which will only provide football related news,
discussion, expert opinion and live commentary to its
The new service will be available on channel 94 and it will also
be available to other smartphone and tablet users who have
downloaded the Sirius XM Internet Radio Apps. Even the online users
of SIRIUS XM can avail this service by visiting SiriusXM.com
SIRIUS XM FC, which will provide such value added service to its
customers will cover important football tournaments like Barclays
Premier League, UEFA Champions League and FA Cup, as well as
matches from the Major League Soccer playoffs.
We believe that such value added services will continue to have
positive impact on its subscriber growth. Since the last year, the
company is constantly upgrading its service features either by
launching its most popular SIRIUS XM 2.0 product suite or by
expanding its channel lineups.
During the first half of 2012, the company added 1,026,638
subscribers compared with a total addition of 825,211 subscribers
in the comparable period of 2011. The company has set a target of
adding 1.6 million customers during fiscal 2012, of which it has
already achieved nearly 64.4% by the end of the first half of
Increasing programming lineups, new product launch and improved
ratings are continuously driving customer growth. However, mounting
debt, higher programming cost and stiff competition from
Pandora Media, Inc.
) and other media players like Pioneer System will act as headwinds
for the stock going forward.
We maintain our long-term Neutral recommendation for SIRIUS XM.
Currently, the company has a Zacks #3 Rank, implying a short-term
Based in New York, SIRIUS XM provides satellite radio services
in the U.S. and Canada.
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