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Sirius XM (SIRI) Dips More Than Broader Markets: What You Should Know

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Sirius XM (SIRI - Free Report) closed the most recent trading day at $6.39, moving -0.31% from the previous trading session. This change lagged the S&P 500's daily loss of 0.13%. At the same time, the Dow lost 0.23%, and the tech-heavy Nasdaq gained 0.54%.

Prior to today's trading, shares of the satellite radio company had gained 3.72% over the past month. This has lagged the Consumer Discretionary sector's gain of 8.91% and outpaced the S&P 500's gain of 3.5% in that time.

Investors will be hoping for strength from SIRI as it approaches its next earnings release. The company is expected to report EPS of $0.05, unchanged from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $2.07 billion, up 0.48% from the year-ago period.

SIRI's full-year Zacks Consensus Estimates are calling for earnings of $0.24 per share and revenue of $7.92 billion. These results would represent year-over-year changes of +20% and +1.67%, respectively.

It is also important to note the recent changes to analyst estimates for SIRI. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. SIRI currently has a Zacks Rank of #3 (Hold).

Digging into valuation, SIRI currently has a Forward P/E ratio of 27.08. Its industry sports an average Forward P/E of 9.98, so we one might conclude that SIRI is trading at a premium comparatively.

Also, we should mention that SIRI has a PEG ratio of 1.84. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Broadcast Radio and Television stocks are, on average, holding a PEG ratio of 1.28 based on yesterday's closing prices.

The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This group has a Zacks Industry Rank of 102, putting it in the top 40% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.

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