Should You Buy or Sell Sirius XM Holdings Inc. (SIRI) Stock?
Sirius XM Holdings Inc. (SIRI) is a leading provider of satellite radio and online streaming services in the U.S. and Canada. The company offers a variety of music, sports, news, entertainment, and talk channels to its subscribers, as well as podcasts, video, and personalized content. SIRI also owns a stake in Pandora Media, a music streaming platform, and SiriusXM Canada, a Canadian satellite radio service.
SIRI stock has been trading on the NASDAQ stock exchange since 1994 and has a market capitalization of about $16 billion as of May 01, 2023. The stock closed at $3.78 on Monday, down 0.526% from the previous day. The stock has fallen in 6 of the last 10 days and is down by 5.26% for this period.
So, is SIRI stock a good buy or sell right now? Let’s take a look at some of the factors that may influence its performance in the near future.
Technical Analysis
According to StockInvest.us, SIRI stock holds a buy signal from the short-term moving average, but a sell signal from the long-term moving average. This indicates that the stock is in a general downtrend and may face further decline in the coming months. The stock lies in the middle of a very wide and falling trend in the short term and is expected to fall -22.21% during the next 3 months with a 90% probability of holding a price between $2.23 and $3.21 at the end of this period.
On the other hand, Zacks rates SIRI stock as a sell candidate with a Zacks Rank of 4, meaning that it is expected to underperform the market in the next few months. Zacks also gives SIRI stock a Momentum Score of F, indicating that it is not a good choice for momentum investors.
Fundamental Analysis
On the positive side, SIRI stock has some attractive valuation metrics that may appeal to value investors. The stock has a Value Score of B from Zacks, meaning that it is undervalued compared to its peers. The stock has a trailing 12-month price-to-earnings ratio of 13.67, which is lower than the industry average of 18.64 and the S&P 500 average of 28.76. The stock also has a price-to-sales ratio of 3.08, which is below the industry average of 3.54 and the S&P 500 average of 4.77.
Moreover, SIRI stock has strong growth prospects that may attract growth investors. The stock has a Growth Score of A from Zacks, meaning that it has solid earnings and revenue growth potential. The company’s earnings are expected to grow by 17.65% this year and by 14.29% next year, while its revenue is expected to grow by 6.13% this year and by 5.88% next year.
Conclusion
In conclusion, SIRI stock is a mixed bag that may suit different types of investors depending on their risk appetite and investment horizon. The stock has some favorable valuation and growth metrics that may indicate upside potential in the long run, but it also faces significant technical and momentum headwinds that may drag it down in the short term.
Therefore, investors who are looking for a bargain and are willing to hold the stock for several years may consider buying SIRI stock at its current price level, but they should also be prepared for possible volatility and losses along the way.
On the other hand, investors who are looking for quick profits and are sensitive to market fluctuations may want to avoid or sell SIRI stock at this time, as it may continue to underperform the market and lose value in the coming months.