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XMSR Analysis & Videos »
XMSR: Bull or Bear?
Cramer on BloggingStocks: Despite FCC Nod, Merger between Sirius and XM is far from complete
XMSR
Filed under: Deals, Google (GOOG), Yahoo! (YHOO), XM Satellite Radio (XMSR), Sirius Satellite Radio (SIRI), Market matters, CBS Corp 'B' (CBS), Clear Channel Commun (CCU), Stocks to Buy, Cramer on BloggingStocks Too many parties have too much to lose to let this one go through without a fight, TheStreet.com's Jim Cramer says.
No, it is not over. If there is one thing we have learned about Sirius (NASDAQ: SIRI) (Cramer's Take)-XM (NASDAQ: XMSR) (Cramer's Take), it is that at every step of the way, people have to try to block it or at least hold it up to the point that someone goes out of b...
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Short Sellers Make a Large Bet Against Sirius
XMSR
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4/25 - "Either short sellers don't think a merger between Sirius (NASDAQ: SIRI) and XM Satellite (NASDAQ: XMSR) will happen, or they don't believe that the deal will save the two debt-laden companies. Short interest in Sirius rose 20.2 million shares for the period ending April 15 compared with March 31. Total shares sold short hit 157.9 million. Shares short in XM also pushed up 6.3 million to 22.7 million.
The bets may be smart ones. The delay in approving the deal at the FCC has probably made it less likely that the merger will get the green light."
"Subscriber growth rates at the two ...
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Sirius Opportunity in Satellite Radio
XMSR
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5/2 - "The long awaited merger of Sirius (SIRI) and XM Satellite Radio (XMSR) is near FCC approval and investors would do well to jump in while the stock is down...The deal was approved by the DOJ with no conditions attached and now awaits approval by the FCC. If BellSouth and AT&T (T) were allowed to merge back together after a painful divestiture, there is no way this deal can be blocked. It is going to happen. That is why both companies are putting off the Q1 stockholders meeting and have no intention of calling the deal off."
"The true synergies of the merger have been underestimated i...
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The Sirius-XM Hangover: Endless, Growing Competition
XMSR
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3/25 - "Congratulations, Sirius and XM! You're about to get your merger approved! The problem: You're still screwed."
As the DOJ rehashed in its review Monday, Sirius (SIRI) and XM (XMSR) compete with far more entities than each other, ranging from AM radio to Microsoft Zunes. And even if the FCC doesn't burden the merger with any restrictions, the competitive landscape is only going to get tougher going. Here's what the new company is going up against:"
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Increased User Adoption.
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The merger is now going to work to XMSR and SIRI's favor. It's a win-win and savings of potentially billisons of dollars for everybody. After years of a learning curve from consumer - most users of satellite radio were technology lovers and people of that sort - but the technology is now going to enter a rapid user adoption rate.
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Merger Rumor Gains Credibility
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According to a number of publications, XM and Sirius are set to announce their merger as soon as today. XMSR is almost certain to rise on the news (especially given that investors have to stew over it during the market holiday). I've seen analyst estimates indicating XM shares would be worth around $25 in the event of a Sirius merger. I think it could creep up to the $20 range. Satellite radio looks like a much better long-term play with just one company controlling the orbital airwaves. As a subscriber, I know that XM's product is far superior to any of its terrestrial competition. T...
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Bullish on XMSR ...
XMSR
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Looks like a pullback just found support at the double-bottom peak. Long here. Stop loss below 13.00 and target above 17.5 and possibly more.
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Bearish on XMSR ...
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Stock is down a lot and a lot of bad news is already out there. But I wouldn't be surprised to see more coming down the pike. Churn #s calculated the "official" way -- deactivations divided by subscriber base -- don't look bad. But if you look at deactivations relative to new sign-ups... a very different and much less favorable story.
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By
mhg
(-20.27% risk: aggressive)
08/11/06
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