Sirius XM Holdings (SIRI)

‌$Sirius XM(SIRI)$ ‌
A decade ago, Sirius XM Holdings (NASDAQ:SIRI) wasn’t that good of an investment. However, the business has improved since then.
Sirius investors only gained a 19% total return over the past ten years. The S&P 500 tripled in value in that time frame while the Nasdaq 100 grew five-fold.

So why buy Sirius now? Shares are down 30% YTD on fears of ad revenue drying up and a recession taking a toll on new vehicle sales.

First, the automotive industry is coming out of its slump from Covid19 pandemic. New car sales surged 15% higher in August year over year, which should increase new subscription sales where they actually makes most of its money. Q2 revenue was $2.25 billion with subscriptions accounting for $1.73 billion worth. Most of Sirius’ ad revenue came from the music streaming service Pandora that it acquired four years ago.

Most importantly, SIRI still produces a lot of cash. Management forecasts it will end the year with $1.2 billion of free cash flow.

The stock trades at just 12 times next year’s earnings estimates, less than twice its sales, and a deeply discounted 12 times FCF.Yet over the past decade, it solidified its finances and now offers an attractive valuation.

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However, the business has improved since then.<span><br>Sirius investors only gained a 19% total return over the past ten years. The S&amp;P 500 tripled in value in that time frame while the Nasdaq 100 grew five-fold.</span></p>\n<p><span>So why buy Sirius now? Shares are down 30% YTD on fears of ad revenue drying up and a recession taking a toll on new vehicle sales.</span></p>\n<p> </p>\n<p>First, the automotive industry is coming out of its slump from Covid19 pandemic. New car sales surged 15% higher in August year over year, which should increase new subscription sales where they actually makes most of its money. Q2 revenue was $2.25 billion with subscriptions accounting for $1.73 billion worth. Most of Sirius’ ad revenue came from the music streaming service Pandora that it acquired four years ago. </p>\n<p> </p>\n<p>Most importantly, SIRI still produces a lot of cash. Management forecasts it will end the year with $1.2 billion of free cash flow.</p>\n<p>The stock trades at just 12 times next year’s earnings estimates, less than twice its sales, and a deeply discounted 12 times FCF.Yet over the past decade, it solidified its finances and now offers an attractive valuation.</p></body></html>","htmlText":"<html><head></head><body><p>‌<a href=\"https://laohu8.com/S/SIRI\">$Sirius XM(SIRI)$ &nbsp;</a>‌<br>A decade ago, Sirius XM Holdings (NASDAQ:SIRI) wasn’t that good of an investment. However, the business has improved since then.<span><br>Sirius investors only gained a 19% total return over the past ten years. The S&amp;P 500 tripled in value in that time frame while the Nasdaq 100 grew five-fold.</span></p>\n<p><span>So why buy Sirius now? Shares are down 30% YTD on fears of ad revenue drying up and a recession taking a toll on new vehicle sales.</span></p>\n<p> </p>\n<p>First, the automotive industry is coming out of its slump from Covid19 pandemic. New car sales surged 15% higher in August year over year, which should increase new subscription sales where they actually makes most of its money. Q2 revenue was $2.25 billion with subscriptions accounting for $1.73 billion worth. Most of Sirius’ ad revenue came from the music streaming service Pandora that it acquired four years ago. </p>\n<p> </p>\n<p>Most importantly, SIRI still produces a lot of cash. Management forecasts it will end the year with $1.2 billion of free cash flow.</p>\n<p>The stock trades at just 12 times next year’s earnings estimates, less than twice its sales, and a deeply discounted 12 times FCF.Yet over the past decade, it solidified its finances and now offers an attractive valuation.</p></body></html>","text":"‌$Sirius XM(SIRI)$ ‌ A decade ago, Sirius XM Holdings (NASDAQ:SIRI) wasn’t that good of an investment. However, the business has improved since then. Sirius investors only gained a 19% total return over the past ten years. The S&P 500 tripled in value in that time frame while the Nasdaq 100 grew five-fold. So why buy Sirius now? Shares are down 30% YTD on fears of ad revenue drying up and a recession taking a toll on new vehicle sales. First, the automotive industry is coming out of its slump from Covid19 pandemic. New car sales surged 15% higher in August year over year, which should increase new subscription sales where they actually makes most of its money. Q2 revenue was $2.25 billion with subscriptions accounting for $1.73 billion worth. Most of Sirius’ ad revenue came from the music streaming service Pandora that it acquired four years ago. Most importantly, SIRI still produces a lot of cash. Management forecasts it will end the year with $1.2 billion of free cash flow. The stock trades at just 12 times next year’s earnings estimates, less than twice its sales, and a deeply discounted 12 times FCF.Yet over the past decade, it solidified its finances and now offers an attractive valuation.","highlighted":1,"essential":1,"paper":2,"likeSize":1,"commentSize":0,"repostSize":0,"favoriteSize":0,"link":"https://ttm.financial/post/222895450152968","repostId":0,"isVote":1,"tweetType":1,"viewCount":479,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":["SIRI"],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":1007,"xxTargetLangEnum":"ORIG"},"commentList":[],"isCommentEnd":true,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/222895450152968"}