To answer the people wishing to know why I purchased SIRI(Sirus Radio) here are my reasons:
1. I believe the merger between SIRI and XMSR will be done in the next couple weeks. This is because it’s just not an antitrust violation. Satellite radio makes up less than 5% of all radio, and neither XM nor Sirius is profitable. What sort of monopoly would that be? Current market conditions are so bad that it would be hard for the Feds to turn away this merger, especially given all the negativity and the huge decline in M&A.
If not Merger:
2. It’s adding more subscribers and is expected to grow sales faster than its rival/partner, XM, even though it has greater operating losses. It’s also better prepared to expand outside of the players built into cars, where XM leads. Both are small and unprofitable, but Sirius’ higher sales growth makes it the clear winner to myself.
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3 comments:
XMSR is the stock to own, not SIRI
I think its merger or bust, it is widely considered going bankrupt without a merger
This merger wont happen, both companies are experiencing a slow death
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