Sirius XM Radio May Be a Recession-Proof Investment

• Report this Comment On January 20, 2012, at 10:51 PM, Hellbentisback wrote:

  First off Canada SXM is only providing 30% of their revenue to SXM in the states.Sirius XM Canada is a Canadian radio broadcasting company, which operates as a Canadian affiliate of Sirius XM Radio. The company received approval from the Canadian Radio-television and Telecommunications Commission on April 11, 2011 to merge the formerly distinct XM Radio Canada and Sirius Canada services, following the merger of XM Satellite Radio and Sirius Satellite Radio in the United States. The merger was subsequently completed as of June 21st.

  John Bitove's Canadian Satellite Radio Holdings Inc., the licensee of the former XM Radio Canada, holds 30.3% and effective control of the new company. Slaight Communications and the Canadian Broadcasting Corporation, the primary shareholders in the former Sirius, each hold 20.4%, and the American parent Sirius XM holds 25%. Both Bitove and Mark Redmond, the former president and CEO of Sirius Canada, hold executive roles with the new company. None the less it's revenue.

  As for obtaining New OE installs, SXM already have them all. You are probably referring to OE penetration rate which is increasing on a yearly basis.

  Please do a little more research, It seems that SIRI is gaining the attention of bloggers and thats OK as long as they know what they're talking about.

  Debt and outstanding shares is really the only issue. FCF, along with EBITDA that is increasing monthly will soon take care of both.

• Report this Comment On January 21, 2012, at 2:29 PM, doubting wrote:

  The only thing that is correct in your post is the title. The rest is wrong, confusing or outdated. To illustrate,

  1."...Sirius XM continues to increase its revenue by continuously partnering with new car manufacturers.

  Really, I thought that 100% OEM partnerships are already in place. This may relate, although the author does not see to mean it, to the used car market.

  2. "The company added 334,000 subscribers in the third quarter of 2011, achieving a subscriber base of 21.3 million."

  This is outright old news. Siri added approximately 540K new subs in Q4, 2011 bringing the tally for the year to about 21.9M.

  3. "Sirius XM signed a deal with General Motors in June 2011, under which a Sirius XM system will be installed in all the radio-equipped used cars sold by about 1,000 GM dealers, regardless of the brand of cars."

  This is very confusing. What you are probably trying to say is that siri and GM used car dealerships (now there are about 2K that signed up) agreed on a deal where any car irrespective of the brand sold by these dealerships will come with a 3 month free subscription.

  It would be great if the author could check the facts before posting. The idea seems to be right by does not sound convincing because of the factual mess. This could be a ten times stronger piece in support of the idea that appears to be quite original if the author used correct facts that are plenty now.

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