We don't know a whole lot about the new five-year deal that Howard Stern inked with Sirius XM Radio
However, Satellite Radio Playground's Demian Russian has unearthed an interesting Stern quote in the latest Rolling Stone issue.
"Right now, my schedule is pretty much the same as it's always been," the popular morning show host told the music magazine. "And then as time rolls on I'll probably do about three shows a week."
Three shows a week? Is it time to finally short Sirius XM?
I wouldn't. As Stern gets older and wealthier there's less reason for him to put in the kind of hours he did during his early years. He had already gone from five days a week with a few weeks off a year on terrestrial radio to taking Fridays off with several more vacation weeks when he bolted to Sirius five years ago. Scaling back obviously didn't hurt his appeal in terms of subscriber acquisition then, and it won't sting Sirius XM now.
A little Stern is better than no Stern, especially if his new contract adjusts capital outlays based on how much time the radio legend spends on the air.
A little Stern is considerably better than Stern elsewhere. He had overtures from terrestrial radio last year. It would have crushed Sirius XM if Stern had retreated to CBS
Stern made the right call, and Sirius XM is the beneficiary. Would investors cheer if Stern decided to take more money to go live on Fridays? Probably not. The same rules apply the other way around.
Howard Stern has said that this is his last radio contract. What will Sirius XM need to do in five years to replace the polarizing yet ultimately magnetic icon? Share your thoughts in the comment box below.
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Longtime Fool contributor Rick Munarriz is a subscriber to both Sirius and XM. He does not own shares in any of the stocks in this article. He is also a member of the Rule Breakers analytical team, seeking out the next great growth stock early in its defiance. The Fool has a disclosure policy.