EveryoneHasAIDS
02-10-2006, 08:27 AM
Sorry if someone has already linked article.
http://www.forbes.com/markets/commodities/2006/02/09/xm-satellite-radio-0209markets13.html
My favorite part: "XM, in our opinion, is better positioned for the longer term due to OEM share, tech lead, and a more leverageable expense model," wrote the analyst in a research note Thursday. "We feel that the XM story offers investors potential upside from these levels."
Jacoby expects XM (nasdaq: XMSR - news - people ) to deliver a higher cash flow per user at maturity than Sirius, as the company isn't burdened by Sirius' programming and equity costs.
I wonder who(hoo) they're referring to here???
XM Could Offer Upside As Sirius' Stern Luster Fades
Maya Roney, 02.09.06, 3:19 PM ET
Banc of America Securities analyst Jonathan Jacoby maintained a "buy" rating on XM Satellite Radio and continued to recommend XM over Sirius Satellite Radio ahead of fourth-quarter 2005 results.
"XM, in our opinion, is better positioned for the longer term due to OEM share, tech lead, and a more leverageable expense model," wrote the analyst in a research note Thursday. "We feel that the XM story offers investors potential upside from these levels."
The arrival of Howard Stern gave Sirius (nasdaq: SIRI - news - people ) fourth-quarter 2005 and first-quarter 2006 subscriber momentum, but Jacoby says his channel checks indicate that Sirius' "Stern luster" is beginning to wear off.
"[We] feel management needs to give more transparency on churn expectations, capex plans, and true cost of Stern," said the analyst.
Jacoby expects XM (nasdaq: XMSR - news - people ) to deliver a higher cash flow per user at maturity than Sirius, as the company isn't burdened by Sirius' programming and equity costs.
Sirius and XM have pre-announced fourth-quarter net subscriber additions of 1.143 million and 898,000, respectively, ending 2005 with 3.3 million and 5.9 million subscribers.
In its coverage of radio & TV broadcasting, Banc of America's top picks are Radio One (nasdaq: ROIAK - news - people ) and Univision Communications (nyse: UVN - news - people ), both rated "buy" with respective price targets of $15 and $35. Its least favorites are Citadel Broadcasting (nyse: CDL - news - people ) and Sirius Satellite Radio, rated "neutral" and "sell," respectively, with price targets of $11 and $5.50.
XMSR stock was up $1 yesterday after the Oprah announcement and the target price is now $34 (currently selling at $26).
http://www.forbes.com/markets/commodities/2006/02/09/xm-satellite-radio-0209markets13.html
My favorite part: "XM, in our opinion, is better positioned for the longer term due to OEM share, tech lead, and a more leverageable expense model," wrote the analyst in a research note Thursday. "We feel that the XM story offers investors potential upside from these levels."
Jacoby expects XM (nasdaq: XMSR - news - people ) to deliver a higher cash flow per user at maturity than Sirius, as the company isn't burdened by Sirius' programming and equity costs.
I wonder who(hoo) they're referring to here???
XM Could Offer Upside As Sirius' Stern Luster Fades
Maya Roney, 02.09.06, 3:19 PM ET
Banc of America Securities analyst Jonathan Jacoby maintained a "buy" rating on XM Satellite Radio and continued to recommend XM over Sirius Satellite Radio ahead of fourth-quarter 2005 results.
"XM, in our opinion, is better positioned for the longer term due to OEM share, tech lead, and a more leverageable expense model," wrote the analyst in a research note Thursday. "We feel that the XM story offers investors potential upside from these levels."
The arrival of Howard Stern gave Sirius (nasdaq: SIRI - news - people ) fourth-quarter 2005 and first-quarter 2006 subscriber momentum, but Jacoby says his channel checks indicate that Sirius' "Stern luster" is beginning to wear off.
"[We] feel management needs to give more transparency on churn expectations, capex plans, and true cost of Stern," said the analyst.
Jacoby expects XM (nasdaq: XMSR - news - people ) to deliver a higher cash flow per user at maturity than Sirius, as the company isn't burdened by Sirius' programming and equity costs.
Sirius and XM have pre-announced fourth-quarter net subscriber additions of 1.143 million and 898,000, respectively, ending 2005 with 3.3 million and 5.9 million subscribers.
In its coverage of radio & TV broadcasting, Banc of America's top picks are Radio One (nasdaq: ROIAK - news - people ) and Univision Communications (nyse: UVN - news - people ), both rated "buy" with respective price targets of $15 and $35. Its least favorites are Citadel Broadcasting (nyse: CDL - news - people ) and Sirius Satellite Radio, rated "neutral" and "sell," respectively, with price targets of $11 and $5.50.
XMSR stock was up $1 yesterday after the Oprah announcement and the target price is now $34 (currently selling at $26).