Thursday, February 08, 2007

Analyst Comments: Wedbush Initiates

Sirius Satellite-SIRI initiated with a Buy, tgt $5@WEDB (theflyonthewall.com 02/08 08:01:49)

XM Satellite Radio-XMSR initiated with a Hold, tgt $15@WEDB (theflyonthewall.com 02/08 08:01:38)

More details via www.briefing.com:

Early Research Calls I : Miscellaneous: Wedbush initiates Sirius Satellite (SIRI 3.68) with a Buy and sets a $5 tgt, based on retail market share gains that suggest Sirius possesses a sustainable content advantage, the expectation of consistent OEM growth in '07 with acceleration in '08 and beyond and Sirius' fast pace towards being FCF positive points to favorable OEM economics, considering the co has fewer subs, higher per-sub content costs, and higher subscription acquisition costs than XM... Wedbush initiates XM Satellite (XMSR 13.86) with a Hold and sets a $15 tgt, as they expect in the short-term the next few quarters will be difficult due in large part to the combination of its sagging market share coupled with retail softness and over the long-term XM must re-cut its GM agreement ultimately in order to get out form under its onerous cost structure...

Labels: analyst, sirius, xm