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Sirius XM (SIRI) to Report Q4 Earnings: What's in the Cards?

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Sirius XM Holdings (SIRI - Free Report) is set to report fourth-quarter 2020 results on Feb 2.

The Zacks Consensus Estimate for revenues is pegged at $2.07 billion, implying growth of 0.5% from the year-ago reported figure.

Meanwhile, the Zacks Consensus Estimate for earnings stayed at 5 cents per share over the past 30 days. It is expected to remain unchanged from the year-ago reported figure.

The company’s earnings met the Zacks Consensus Estimate in two of the trailing four quarters, beat the same in one and missed in the remaining one, with an average surprise of 5.83%.

Sirius XM Holdings Inc. Price and EPS Surprise

Sirius XM Holdings Inc. Price and EPS Surprise

Sirius XM Holdings Inc. price-eps-surprise | Sirius XM Holdings Inc. Quote

Let’s see how things have shaped up for this announcement.

Solid Content Portfolio Boosts User Base

Sirius XM is expected to have benefited from its solid content portfolio and expanding partner base.

The company’s partnerships with the likes of Masters Tournament and the National Football League have been key catalysts. Moreover, the launch of the SportsGrid Radio Channel on SiriusXM radios and the Sirius XM app on Channel 204 are expected to have aided subscriber growth.

Additionally, Sirius XM’s expanding partner base of automakers including General Motors, BMW and Toyota Motors is driving the adoption of its audio entertainment services. On Dec 9, Sirius XM and Maserati announced that the latter has made SiriusXM with 360L, a standard feature across its entire model year 2021 vehicle lineup in the United States.

Sirius XM has also inked extended connected vehicle agreements with Nissan and Infiniti till 2022. Additionally, the company extended agreements with OEMs like Audi, Mazda, Land Rover, Mercedes-Benz, Jaguar and Volvo.

Further, the extended broadcasting deal with radio personality Howard Stern is in line with SiriusXM’s strategy of collaborating with artists and organizations in order to expand its content portfolio.

This is expected to have helped this Zacks Rank #3 (Hold) company compete better with music streaming providers including Spotify (SPOT - Free Report) , Amazon (AMZN - Free Report) and Apple (AAPL - Free Report) .

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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