Friday, October 27, 2006

S&P Downgrades SIRI To Buy From Strong Buy

S&P Equity Research Downgrades Sirius Satellite Radio (SIRI) to Buy

S&P Equity Research downgrades Sirius Satellite Radio (Nasdaq: SIRI) from Strong Buy to Buy. Price target lowered from $8 to $5.S&P analyst, T. Amobi, says, "While mostly triggered, in our view, by legal/regulatory woes at rival XM (Nasdaq: XMSR), investor sentiment has weighed on the satellite radio sector for much of '06, giving us some pause. Still, we see SIRI gaining on XMSR in retail and automotive OEM channels. After what we saw as strong pre-announced Q3 net adds (ahead of 11/8 release), and with SIRI's self-funding model, we see positive free cash by late '07/early '08 and positive '09 earnings." ...read more: here