Sirius and Pandora Under StockCall Microscope: Rising Auto Sales to Benefit Sirius XM Radio
Sirius and Pandora Under StockCall Microscope: Rising Auto Sales to Benefit
Sirius XM Radio
PR Newswire
LONDON, February 11, 2013
LONDON, February 11, 2013 /PRNewswire/ --
Over the last one year, auto sales in the U.S. have improved significantly.
More importantly the momentum is likely to continue in 2013, which is
excellent news for satellite radio company Sirius XM Radio Inc. (NASDAQ:
SIRI). Meanwhile, Sirius is also expanding its Internet capabilities to
compete against Pandora Media Inc. (NYSE: P). StockCall has released full
comprehensive research on Sirius and Pandora, and these free technical
analyses can be downloaded by signing up at
http://www.stockcall.com/technicalanalysis
Auto Sales to Remain Strong
The fortune of the satellite radio industry depends heavily upon the state of
the auto industry. Last year, auto sales rose sharply, driven by pent-up
demand and cheap financing. The trend is expected to continue in 2013, which
augurs well for the satellite radio industry and the biggest satellite radio
company, Sirius XM. Free technical analysis on Sirius available by signing up
at
http://www.StockCall.com/SIRI021113.pdf
Strong Q4 and 2012 Results
Earlier last week, New York City-based Sirius reported strong fourth quarter
and full-year 2012 financial results.
For the fourth quarter of 2012, Sirius reported revenue of $892 million, up
from $784 million reported for the same period in the previous year. The
company's net income for the fourth quarter of 2012 was $156 million, or $0.02
per share, well above the $71 million, or $0.01 per share reported for the
same period in the previous year.
For 2012, Sirius reported revenue of $3.4 billion, compared to $3 billion
reported for the same period in the previous year. Net income for 2012 stood
at $3.5 billion, or $0.51 per share, compared to $427 million, or $0.07 per
share reported in 2011.
Jim Meyer, CEO of Sirius, noted that the company added more than 500,000 net
new subscribers in 2012. The growth in subscribers is expected to continue in
2013.
For 2013, Sirius expects self-pay net subscriber additions of approximately
1.6 million. The company forecasts total net subscriber additions of
approximately 1.4 million. Revenue for 2013 is expected to grow to $3.7
billion.
Satellite Vs Internet
A major trend in the radio industry has been the increasing popularity of
Internet radio. Online radio is both a threat and opportunity for companies
such as Sirius.
Internet radio company Pandora Media is only one of the three companies
serving over billion hours of digital content. However, the company could face
increasing competition from Sirius, which is expanding its Internet
capabilities. Register today and access the free research on Pandora Media at
http://www.StockCall.com/P021113.pdf
Sirius CEO Meyer this week said that the company continues to broaden its
Internet capabilities to expand the user experience and strengthen its
in-vehicle technologies. Meyer added that the company's personalized radio
feature, MySXM is currently in public beta testing and will be available to
SIRI's Internet subscribers in the near future.
Pandora's Cautious Outlook
Back in December, Pandora Media slashed its fourth quarter outlook, citing a
pullback in advertising spending due to the fiscal cliff. The company forecast
fourth quarter revenue of $120 million to $123 million.
For the third quarter of fiscal 2013, the Internet radio company reported
revenue of $120 million, up 60% over the same period in the previous year. The
increase was driven by strong mobile revenue. Pandora Media's mobile revenue
jumped 112% to $73.9 million in the third quarter.
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SOURCE StockCall.com
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