Worth Watching Stock for Traders: Sirius XM Holdings Inc. (NASDAQ: SIRI)

On 19 Nov 2019, Sirius XM Holdings Inc. (NASDAQ: SIRI) spotted trading -0.43% off 52-week high price. On the other end, the stock has been noted 33.27% away from the low price over the last 52-weeks. The stock changed 0.29% to recent value of $6.97. The stock transacted 14481753 shares during most recent day however it has an average volume of 17558.48K shares. The company has 4462.08M of outstanding shares and 1204.96M shares were floated in the market.

SiriusXM recently reported third quarter 2019 operating and financial results. Total revenue of $2.0B increased 37% contrast to the previous year period, boosted by the acquisition of Pandora Media on February 1, 2019. On a pro forma basis, revenue climbed 7% from $1.9B in the third quarter of 2018. The Company’s net income totaled $246M in the third quarter, contrast to $343M in the previous year period. Net income per diluted ordinary share was $0.05 and $0.07 in the third quarter and the previous year period, respectively.

The decline in net income was primarily driven by refinancing expenses associated with SiriusXM’s July redemption of its 6.00% senior notes due 2024, in addition to non-recurring tax benefits in the previous year period. The Company’s effective tax rate for the third quarter 2019 was 22.2%, contrast to 3.3% in the previous year period.

Adjusted EBITDA grew 12% to $657M in the third quarter and resulted in an adjusted EBITDA margin of 32.6%, growing about 160 basis points from 31.0% in the third quarter 2018. The adjusted EBITDA margin in the quarter was driven primarily by revenue growth across the business and cost efficiencies in subscriber acquisition costs and revenue share and royalties.

“SiriusXM’s robust third quarter saw strong results across the board. Total net additions benefited from continuing strength in the auto sector, and our adjusted EBITDA hit an all-time quarterly record of $657M. Things have never been more exciting at the company as we continue to invest in our brands, content, products and expanded OEM distribution. With two months left in the year, we are raising 2019 guidance for revenue, adjusted EBITDA and free cash flow and we are confident in our expectations for self-pay subscriber growth,” stated Jim Meyer, Chief Executive Officer, SiriusXM.

“We officially opened our new Hollywood studio complex with a special series of shows by Howard Stern. Howard is at the top of his game and was welcomed to LA by an array of stars and special live performances by Adam Levine and Green Day, all from our state-of-the-art street level performance space we call The Garage. Howard’s broadcast followed a month of special shows, interviews, and performances in LA exclusively for us by Carrie Underwood, Julia Roberts, Dave Matthews and breakout artist Billie Eilish, to name a few. Re-establishing ourselves in the Entertainment Capital of the world, and being closer to compelling talent and brands, bolsters the value of our programming for our subscribers,” added Meyer.

Its earnings per share (EPS) expected to touch remained 46.30% for this year while earning per share for the next 5-years is expected to reach at 9.03%. SIRI has a gross margin of 57.30% and an operating margin of 22.80% while its profit margin remained 12.80% for the last 12 months.   According to the most recent quarter its current ratio was 0.3 that represents company’s ability to meet its current financial obligations. The price moved ahead of 3.84% from the mean of 20 days, 7.44% from mean of 50 days SMA and performed 15.45% from mean of 200 days price. Company’s performance for the week was 0.58%, 8.57% for month and YTD performance remained 22.07%.


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