Last Analyst Party at SIRIUS XM? (SIRI)

SIRIUS XM Radio Inc. (NASDAQ: SIRI) actually had a rough day after earnings on Tuesday and shares are back in redemption after some analysts keyed in.  While earnings were $0.02 EPS on an adjusted basis and while quarterly revenue grew 8.8% to $735.9 million, most of the good news had been known.  Last week before the earnings report we noted that the price action was showing that SIRIUS XM was likely heading to $2.00.

It seems that other analysts are piping in as well now that earnings are out.  Zacks noted today that SIRIUS XM’s earnings were actually $0.02 higher than its expectations.  TheStreet.com noted a firm offering from MicroStockProfit.com on SIRIUS XM.  After digging around at two small research calls a site called Satellite Radio Playground discussed the coverage from a firm called BGB Securities with the analyst having previously covered SIRIUS XM at Janco Partners.  In short, this feels like two calls that maybe should just be one.  Earlier this week it was seen that Wunderlich Securities maintained a Buy rating and lifted the target to $2.00.

SIRIUS XM was at $1.83 before earnings and fell yesterday to $1.69.  Suddenly, the research calls today have shares trading back up 7% at $1.805 and the 52-week high from earlier this week was $1.88.

SIRIUS XM may still hit $2.00 even with the new threat of Pandora after its IPO filing.  Still, pricing action like what we have seen seems a bit odd when it may be just a bunch of updates that ran the stock back after a much needed breather.

JON C. OGG