NASDAQ:SIRI
$0.88
(3/18 9:01AM)
-1.1%
| Open | $0 |
Mkt Cap | $3.5 Billion |
| High | $0.89 |
52Wk High | $1.18 |
| Low | $0.88 |
52Wk Low | $0.30 |
| Volume | 800,780 |
Avg Vol 10D | 128.1 Million |
A Word Of Caution
Stocks trading for less than $1 are loosely termed "penny" stocks. Sirius XM Radio, Incorporated (SIRI) is selling for less than $1 per share. While we stand by our ratings methodology for long term value investors, often times "penny" stocks can be more volatile. Because many "penny" stocks are lightly traded their stock price can fluctuate because of a single large trade. Also, there is generally less analyst coverage of such "penny" stocks and thus less information from which to base our rating.
While this company may not get as much press because of its low stock price, please take a moment to look at the RazorWire feed on the right hand side of the report. Each time Sirius XM Radio, Inc. is mentioned on business television or influential blogs recently should be displayed. This helps to bring you up to speed on any major issues they are facing right now.
Therefore, (and as always), check additional sources and available information regarding Sirius XM Radio, Inc. before making an investment decision.
Ockham's Rating/Recommendation Summary
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SIRI Revenue
As a value investing shop, we are interested in seeing how SIRI's revenues measure up against past performances. One easily understandable way of doing that is to compare Price to Sales per share levels over a given time frame. Assuming it is available, Ockham prefers to look at ten years of history (for this stock there are 9 years of history available) and we weigh recent years more heavily. This allows us to find weighted average historical high and low Price to Sales ratios, which give us a better idea of the stock's current underlying value. Using this method, we have established a high range for Price to Sales of 95.59x and the low end of the range at 13.33x.
With respect to these historically rational metrics, notice that the current Price to Sales per share ratio for SIRI of 1.42x is well below its normal historic Price to Sales levels. At a price of $0.91, SIRI is 98% below where we would expect to see it. Clearly, this stock looks undervalued compared to historical levels, at least on a Price to Sales basis. This will positively affect our analysis because it is rare to find a stock this far below historical norms, and we would expect some price appreciation to bring this metric back towards a more normal range.
SIRI Cash Earnings
Price to Cash Earnings analysis is inappropriate for this company due to an insufficient positive cash earnings history. Rather than calculating a potentially misleading Price to Cash Earnings analysis, we have chosen to give SIRI a neutral Price to Cash Earnings outlook at this time. However, we should point out that this metric is a significant element in Ockham’s methodology to analyzing the outlook for any company. Therefore, for SIRI, our assessment is now more dependent on the Price to Sales analysis, and investors should be cautious with a company with very limited, if any, positive cash earnings.
SIRI Dividends
While it is not necessary to pay an attractive dividend or a dividend at all, to receive a positive rating from Ockham, we view dividends as an additionally helpful measure in determining the future potential of any company. As of the time of this report, our data provider does not have historical data for SIRI. Therefore, we are not utilizing the dividends portion in our study. So, we do not know whether SIRI currently pays a dividend at present or not, we have an "expected dividend" payment listed in key fundamentals but cannot varify it.
SIRI's Debt Load is the Topic on Tech Trader Daily-Barron's
At Ockham, we look to make sure that any debt taken on by a company corresponds directly to increases is sales. Take a look at RazorWire for the latest on SIRI's debt from Tech Trader Daily-Barron's.
The crowd at The Motley Fool does not like SIRI and believes that it will Underperform. When looking at our entire coverage universe and ranking stocks by the attention they receive on RazorWire, it is clear that Sirius XM Radio, Incorporated has been talked about more than normal recently. We consider SIRI as Undervalued at the current price of $0.91. According to our methodology, this stock has appreciation potential based on current fundamentals which only improves if earnings or revenue surprise.
“… A pair of analysts today weighed in with bullish comments on the implications of the $800 million debt offering Sirius XM (SIRI) announced after the close on Friday. …”
Stay Current on SIRI's News on Tech Trader Daily-Barron's
Staying informed on the news is invaluable for investors, and RazorWire has captured a recently discussion on SIRI from Tech Trader Daily-Barron's.
Ranking all stocks in terms of news coverage offers some interesting data. In the case of SIRI, it is getting significantly more attention in recent news coverage than we are used to seeing. Based on our methodology, Sirius XM Radio, Incorporated should hold some appeal to value investors as we view it as Undervalued. While bearish sentiment on a stock is not always a bad thing, it is something you need to be aware of. The Motley Fool survey of crowd sentiment shows that many investors believe this stock will underperform.
“… “provides testament as to the market’s renewed interest and confidence in the Sirius XM story.” SIRI today is unchanged at 91 …”
Notice a Discussion Covering SIRI Appeared Recently in the Financial News
Staying informed on the news is invaluable for investors, and RazorWire has captured a recently discussion on SIRI from Zero Hedge.
The crowd at The Motley Fool does not like SIRI and believes that it will Underperform. When looking at our entire coverage universe and ranking stocks by the attention they receive on RazorWire, it is clear that Sirius XM Radio, Incorporated has been talked about more than normal recently. We consider SIRI as Undervalued at the current price of $0.91. According to our methodology, this stock has appreciation potential based on current fundamentals which only improves if earnings or revenue surprise.
“… TRUST CORP (NTRS)NRG ENERGY INC (NRG)SUPERVALU INC (SVU)CLIFFS NATURAL RESOURCES (CLF)HJ HEINZ CO (HNZ)POTASH CORP OF SASKATCHEWAN (POT)SIRIUS XM RADIO INC (SIRI)TERRA INDUSTRIES ... …”
After Hours Activity in SIRI is the Topic on Tech Trader Daily-Barron's
Something is causing Sirius XM Radio, Incorporated to be a little more active in post market trading, and it was covered by Tech Trader Daily-Barron's recently.
Interestingly, overall sentiment looks bearish according to the Motley Fool's CAPS survey, as most of their users see Sirius XM Radio, Incorporated underperforming. At present, Ockham has a valuation stance of Undervalued on SIRI, as we could see significant price appreciation based on current fundamentals like cash earnings and revenue. In comparison to the other stocks that we follow, Sirius XM Radio, Incorporated has seen more discussion in relation to its normal ranking among the group. Be aware that the news sources we track are focusing on this stock more often these days.
“… After the close Friday, Sirius XM (SIRI) announced the pricing of an offering of $800 million of senior notes due 2015, bearing interest at 8. 75% a year. …”
SIRI and Analysts' Opinion Discussed on Tech Trader Daily-Barron's
When the television or blog talks about an analysts' opinion it could have a major impact on the stock.
The crowd at The Motley Fool does not like SIRI and believes that it will Underperform. When looking at our entire coverage universe and ranking stocks by the attention they receive on RazorWire, it is clear that Sirius XM Radio, Incorporated has been talked about more than normal recently. We consider SIRI as Undervalued at the current price of $0.91. According to our methodology, this stock has appreciation potential based on current fundamentals which only improves if earnings or revenue surprise.
“… BGB Securities analyst Murray Arenson this morning launched coverage of Sirius XM (SIRI) with a Buy rating and $1. 15 price target. …”
Sirius XM Radio, Incorporated Was Talked About by Tech Trader Daily-Barron's
News has broken via the television and viral blogs regarding SIRI, so investors should take an interest in learning what was said.
When looking at our entire coverage universe and ranking stocks by the attention they receive on RazorWire, it is clear that Sirius XM Radio, Incorporated has been talked about more than normal recently. We consider SIRI as Undervalued at the current price of $0.91. According to our methodology, this stock has appreciation potential based on current fundamentals which only improves if earnings or revenue surprise. The crowd at The Motley Fool does not like SIRI and believes that it will Underperform.
“… 250 million cards on the road now have satellite radios, the total can grow to 70 million in five years, sharply increasing the used-car market for SIRI. …”
What are the Experts Saying? Analysts and SIRI on Squawk On The Street
When the television or blog talks about an analysts' opinion it could have a major impact on the stock.
Interestingly, overall sentiment looks bearish according to the Motley Fool's CAPS survey, as most of their users see Sirius XM Radio, Incorporated underperforming. When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Sirius XM Radio, Incorporated has actually sunk a bit in comparison to the others. At present, Ockham has a valuation stance of Undervalued on SIRI, as we could see significant price appreciation based on current fundamentals like cash earnings and revenue. Investors are headed for the exit following today's news as the stock is trading down $0.08.
“… SIRIUS XM RADIO downgraded from hold to buy. > > norfolk southern overweight from equal weight to barclays capital. Increasing the price target to $62 from $55. …”
Sirius XM Radio, Incorporated News Appeared on Squawk On The Street
The latest news on Squawk On The Street in regards to SIRI came through on RazorWire recently.
Interestingly, overall sentiment looks bearish according to the Motley Fool's CAPS survey, as most of their users see Sirius XM Radio, Incorporated underperforming. At present, Ockham has a valuation stance of Undervalued on SIRI, as we could see significant price appreciation based on current fundamentals like cash earnings and revenue. However, this stock has already had a pretty good week, making it less attractive to value investors at the current price. When taking into account the amount of news coverage each stock normally sees as a percentage of the total, Sirius XM Radio, Incorporated has actually sunk a bit in comparison to the others. Take notice of the news on this stock because it is up $0.19 since the close of trading yesterday.
“… SIRIUS XM RADIO hitting new the stock now trading above one dollar. One of the most searched stocks on cnbc. Com. Should investors take a serious look at the stock? …”
Squawk On The Street Discussed the Latest Development of Sirius XM Radio, Incorporated
The latest news from Squawk On The Street on SIRI is available through Ockham's news analytics platform RazorWire.
The crowd at The Motley Fool does not like SIRI and believes that it will Underperform. Check the news on this stock because there is a catalyst that has allowed this stock to advance 18.54% today. We considered SIRI as Undervalued as of our latest report at $0.89. According to our methodology, this stock has appreciation potential based on current fundamentals which only improves if earnings or revenue surprise. That being said, the recent price appriciation does make it slightly less attractive to value investors as they may have missed the boat. As we analyze the results from RazorWire, one thing we do is rank each stock in terms of amount of news coverage. Recently, SIRI has been less covered in the news compared to the rest of our universe of stocks.
“… for the first time in 17 months SIRIUS XM RADIO is trading above a dollar. > > wow. > > a whole buck. That takes away the threat of a nasdaq delisting for now. …”
Sirius XM Radio, Incorporated (SIRI) Discussed on Fox Business's Imus In The Morning
Sirius XM Radio, Incorporated is in the news. Find out how this impacts SIRI trading on Ockham Research.
For two world series tickets with an undercover agent. Imus: I ask who hasn't done that? But go ahead. Warner: she was on the opie and anthony show yesterday on SIRIUS XM RADIO. >> I was flirting with this guy. I was saying what do you like basically sexually? I wasn't looking for something. It is so unbelievable that when we started talking about sexy
“… ally? I wasn't looking for something. It is so unbelievable that when we started talking about sexy …”