With Sirius Up 30%, Can Chatter Be True? (SIRI)

Discussion in 'SiriusXM Soundwave Cafe' started by GoodDog, Oct 28, 2008.

  1. GoodDog

    GoodDog Well-Known Member

    With Sirius Up 30%, Can Chatter Be True? (SIRI)
    Sirius XM Radio (NASDAQ: SIRI) did something rather unusual if you consider its recent downward trend. Its shares rallied close to 30% today. Sure, you have to consider how low shares had gotten and take into consideration how little this means in raw dollar gains. But you also have to consider the meat here and why this would happen.

    Last week we discussed how lucky the company is that NASDAQ has pulled its $1.00 ejection button from the listing requirements. Everyone, and that includes us, has commented how the company is drowning in debt. But its debt financing that looked so high when it was made actually looks pretty cheap considering the levels we have seen investment grade and "AAA-rated" issuers have accepted in recent weeks.

    We have refrained from printing some of the crazy rumors out there about the company. But when we see gains of this percentage (even in a penny stock) on a bad market day, it makes us wonder if there might finally be some meat to the gossip. There are two issues which could come into play and both have been subject of chatter.

    MORE at 24/7 Wall St.: With Sirius Up 30%, Can Chatter Be True? (SIRI)
  2. Triscuit

    Triscuit New Member

    In September 2007, there were rumors floating around that Google would buy Sirius. Now that the merger is complete, and with Sirius not exactly financially healthy, do you think Google could make a move?

    Here's a link on the rumors from last year: link
  3. awfulwaffle

    awfulwaffle Member

    And on the day when the whole market jumped up 11%, Sirius dropped 5%. I think not.
  4. Manco

    Manco Active Member

    It only has to rise like 8-9 cents to make a big jump. So you might see some days like that, but for every penny of movement, you might make or lose 3%.
  5. me_rubin

    me_rubin Member

    A penny is a long way from the many dollars more people bought the stock at...
  6. Manco

    Manco Active Member

    Yeah, tell me about it. I lost plenty on the stock but have moved on.
  7. jwt873

    jwt873 Member

    Things were going good until Goldman Sachs gave them a bad rating. This outfit has been beating SIRI down for over a year now.

    Goldman Whacks Sirius XM Growth Estimates, Drops Price Target To $0.25 (SIRI)

  8. HarleyJoel

    HarleyJoel Member

    I'm still holding on to my shares. Wishful thinking.

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