Core Viewpoint - Sirius XM is experiencing a mixed performance in the market, with a recent decline in share price and upcoming earnings release that is anticipated to show a year-over-year decline in earnings and revenue [1][2]. Financial Performance - Analysts expect Sirius XM to report earnings of $0.77 per share, reflecting a year-over-year decline of 7.23% [2]. - The revenue forecast for the upcoming quarter is $2.17 billion, indicating a 0.6% drop compared to the same quarter last year [2]. - For the entire fiscal year, earnings are projected at $2.77 per share, representing a significant increase of 55.62%, while revenue is expected to be $8.54 billion, showing a decline of 1.83% from the previous year [3]. Analyst Sentiment - Recent revisions to analyst forecasts for Sirius XM are crucial as they reflect the changing dynamics of the business [4]. - Positive revisions in estimates are seen as a sign of analysts' confidence in the company's performance and profit potential [4][5]. Valuation Metrics - Sirius XM has a Forward P/E ratio of 8.05, which is significantly lower than the industry average of 15.83, indicating that the company is trading at a discount [7]. - The company also holds a PEG ratio of 0.34, compared to the industry average PEG ratio of 1.33, suggesting favorable growth prospects relative to its valuation [8]. Industry Context - The Broadcast Radio and Television industry, which includes Sirius XM, is currently ranked 166 in the Zacks Industry Rank, placing it in the bottom 33% of over 250 industries [9]. - The Zacks Industry Rank indicates that industries in the top 50% tend to outperform those in the bottom half by a factor of 2 to 1 [9].
Sirius XM (SIRI) Stock Slides as Market Rises: Facts to Know Before You Trade