Sunday, December 10, 2006

Barron's Research Reports: Signal Hill Comments On Sirius

Research Reports, Barron's, Dec 11
How Analysts Size Up Companies
Edited by ANITA PELTONEN

Sirius Satellite Radio - SIRI-NNMBuy - Price 4.17 on Dec. 4, by Signal Hill

Sirius lowered its 2006 year-end subscriber guidance from 6.3 million to a range of 5.9 million to 6.1 million, as the pace of sales following Black Friday has been lower than anticipated. Management's new guidance range implies a 14% to 32% year-over-year decline in net new-subscriber additions in 4Q06...as the company moves away from the positive impact of Howard Stern. We expect shares of Sirius to remain volatile in the near term, but advise clients to buy on weakness as the company progresses toward sustainable free-cash-flow generation. We are lowering our 2006 subscriber estimate to 5.9 million, from 6.1 million. We are raising our EPS estimate to (81 cents) from (82 cents), reflecting lower...expenses in the quarter....read more: here
posted by ssg5