Satellite radio and media company Sirius XM (NASDAQ:SIRI) will be reporting results tomorrow before market hours. Here’s what investors should know.
Sirius XM met analysts’ revenue expectations last quarter, reporting revenues of $2.18 billion, down 3.2% year on year. It was a good quarter for the company, with a decent beat of analysts’ earnings estimates. It reported 33.26 million sirius xm subscribers, down 2.3% year on year.
Is Sirius XM a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Sirius XM’s revenue to decline 3.6% year on year to $2.19 billion, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.75 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Sirius XM has missed Wall Street’s revenue estimates five times over the last two years.
Looking at Sirius XM’s peers in the consumer discretionary segment, some have already reported their Q3 results, giving us a hint as to what we can expect. AT&T posted flat year-on-year revenue, meeting analysts’ expectations, and Verizon reported flat revenue, in line with consensus estimates. AT&T traded up 3.2% following the results while Verizon was down 1.9%.
Read our full analysis of AT&T’s results here and Verizon’s results here.
Investors in the consumer discretionary segment have had steady hands going into earnings, with share prices up 1.4% on average over the last month. Sirius XM is up 22.2% during the same time and is heading into earnings with an average analyst price target of $29.43 (compared to the current share price of $27.70).
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