Boston, MA 02/20/2014 (wallstreetpr) – According to a research note by TheStreet, Sirius XM Holdings Inc. (NASDAQ:SIRI) is a “Buy” with a score of B, an indication of its strengths in the market. Sirius strengths can be seen in its fourth quarter where it registered impressive revenue growths accompanied with a good cash flow from its operations. The fourth quarter also saw the company expand its profit margins with its stock price having been on an increasing pattern over the past year.
Highlights of the “Buy” rating
Sirius XM Holdings Inc. (NASDAQ:SIRI) revenue is at its top, outpacing the industry average of 3.1% when compared to the same quarter a year ago. Revenues in the fourth quarter rose by 12.1% although it did not tickle down to the company’s bottom line. The company’s net operating cash flow was on a rise increasing by 22.28 % compared to the same quarter a year ago to clock in at $358.58 million. This has also exceeded the industry average growth rate of -11.38%. Currently Sirius XM Holdings Inc. (NASDAQ:SIRI) is rated as a “Buy” by 4 analyst firms , a sale by 1 and a hold by 4.
Sirius XM Holdings Inc. (NASDAQ:SIRI) currently boosts of a solid gross profit margin of 60.37% although it is a slight decline to the impressive registered for the same period a year ago. The company managed to report a profit of $65 million for the fourth quarter which was a slump, compared to profits of $156 million for the same period a year ago.
The major concern at the moment is its declining membership subscription although revenue for the fourth quarter came in at 1 billion an increase of 12%. Its earnings per share was also negatively impacted in the fourth quarter declining by 50% a trend that has been ongoing for quite some time
Sirius XM Holdings Inc. (NASDAQ:SIRI) dropped by 0.14% in Wednesday trading session, closing the day at $3.57.
