This Week in Sirius XM Radio

Satellite radio is always on the move with Sirius XM.

Jun 14, 2014 at 10:30AM

Things never get dull for the country's lone satellite-radio provider. Shares of Sirius XM Radio (NASDAQ:SIRI) moved lower on the week, inching up 0.6% to close at $3.34. The move was in line with the Nasdaq's 0.2% dip. 

There was more going on beyond the share-price gyrations, though. Short interest on Sirius XM ballooned up to a 10-month high. On the streaming front, (NASDAQ:AMZN) finally introduced its potentially game-changing streaming music service.

Let's take a closer look.

Short people
Nasdaq publishes short interest twice a month, and its latest report was a doozy. The exchange revealed that a whopping 307.9 million shares were sold short as of the end of May. That's a dramatic spike from the 197.1 million shares shorted as of mid-May. 

You have to go all the way back to July of last year to find the last time Sirius XM had short interest this high. That's not a bad thing for those long the stock. It provides ammo for a short squeeze rally if Sirius XM delivers positive developments in the future. We'll have to wait another two weeks to see if the spike was just a fluke or part of an ongoing trend.

Prime time
Amazon's entry intro streaming music was rumored for months, and it became official on Thursday with the official unveiling of Prime Music. This is an important arrival for a few big reasons, but the thing working most in its favor is that it's an ad-free platform being made available to Amazon Prime members at no additional cost. 

Commercial-free tunes are Sirius XM's selling point over terrestrial radio, and they're also the incentive that streaming services use to snag premium signups. However, with at least 20 million Amazon Prime members out there, we now have a lot of people with streaming access to a lot of music without having an incremental cost. 

This would be problematic if it wasn't for its limitations. Not every major label is on board with the new service, and those that did sign up reportedly aren't making their newest releases available. Why give something away in a smorgasbord when there are download sales to score? This is still a potentially dangerous platform. Amazon claims to have more than a million tracks available, and a personal search found more than 1.2 million tunes on Prime Music. There are also dozens of playlists for those who prefer the traditional radio experience.

The only real surprise is that Amazon didn't wait until June 18 to introduce this service as part of its unveiling for its new device with an advanced display. Either way, tech giants are starting to take a big interest in digital music. It's not just the Beats acquisition. The New York Post reported this past weekend that Google (NASDAQ:GOOG) is in talks to buy Songza, offering $15 million to take out the curated streaming service with 5.5 million active users.

Are these moves turning tech giants into potential competitors for Sirius XM, or will it ultimately make Sirius XM, with its unique satellite-based platform that doesn't slurp data plan bandwidth, an appealing buyout candidate of its own? It wouldn't be a cheap purchase.

Leaked: Apple's next smart device (warning -- it may shock you)
Apple recently recruited a secret-development "dream team" to guarantee that its newest smart device was kept hidden from the public for as long as possible. But the secret is out, and some early viewers are even claiming that its everyday impact could trump the iPod, iPhone, and the iPad. In fact, ABI Research predicts that 485 million of these devices will be sold per year. But one small company makes this gadget possible. And its stock price has nearly unlimited room to run for early in-the-know investors. To be one of them, and to see Apple's newest smart gizmo, just click here!

Rick Munarriz has no position in any stocks mentioned. The Motley Fool recommends Apple,, and Google (A and C shares) and owns shares of Apple,, Google (A and C shares), and Sirius XM Radio. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

1 Key Step to Get Rich

Our mission at The Motley Fool is to help the world invest better. Whether that’s helping people overcome their fear of stocks all the way to offering clear and successful guidance on complicated-sounding options trades, we can help.

Feb 1, 2016 at 4:54PM

To be perfectly clear, this is not a get-rich action that my Foolish colleagues and I came up with. But we wouldn't argue with the approach.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich" rated The Motley Fool as the #1 place online to get smarter about investing.

"The Motley Fool aims to build a strong investment community, which it does by providing a variety of resources: the website, books, a newspaper column, a radio [show], and [newsletters]," wrote (the clearly insightful and talented) money reporter Kathleen Elkins. "This site has something for every type of investor, from basic lessons for beginners to investing commentary on mutual funds, stock sectors, and value for the more advanced."

Our mission at The Motley Fool is to help the world invest better, so it's nice to receive that kind of recognition. It lets us know we're doing our job.

Whether that's helping the entirely uninitiated overcome their fear of stocks all the way to offering clear and successful guidance on complicated-sounding options trades, we want to provide our readers with a boost to the next step on their journey to financial independence.

Articles and beyond

As Business Insider wrote, there are a number of resources available from the Fool for investors of all levels and styles.

In addition to the dozens of free articles we publish every day on our website, I want to highlight two must-see spots in your tour of

For the beginning investor

Investing can seem like a Big Deal to those who have yet to buy their first stock. Many investment professionals try to infuse the conversation with jargon in order to deter individual investors from tackling it on their own (and to justify their often sky-high fees).

But the individual investor can beat the market. The real secret to investing is that it doesn't take tons of money, endless hours, or super-secret formulas that only experts possess.

That's why we created a best-selling guide that walks investors-to-be through everything they need to know to get started. And because we're so dedicated to our mission, we've made that available for free.

If you're just starting out (or want to help out someone who is), go to, drop in your email address, and you'll be able to instantly access the quick-read guide ... for free.

For the listener

Whether it's on the stationary exercise bike or during my daily commute, I spend a lot of time going nowhere. But I've found a way to make that time benefit me.

The Motley Fool offers five podcasts that I refer to as "binge-worthy financial information."

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. It's also featured on several dozen radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable ... and I don't say that simply because the hosts all sit within a Nerf-gun shot of my desk. Rule Breaker Investing and Answers contain timeless advice, so you might want to go back to the beginning with those. The other three take their cues from the market, so you'll want to listen to the most recent first. All are available at

But wait, there's more

The book and the podcasts – both free ... both awesome – also come with an ongoing benefit. If you download the book, or if you enter your email address in the magical box at the podcasts page, you'll get ongoing market coverage sent straight to your inbox.

Investor Insights is valuable and enjoyable coverage of everything from macroeconomic events to investing strategies to our analyst's travels around the world to find the next big thing. Also free.

Get the book. Listen to a podcast. Sign up for Investor Insights. I'm not saying that any of those things will make you rich ... but Business Insider seems to think so.

Compare Brokers