Sirius XM Stock: Bull vs. Bear
One can arguably forgive investors for not knowing what to make of Sirius XM Holdings (NASDAQ: SIRI) stock. The satellite radio and streaming stock has struggled for years and recently initiated a 1-for-10 reverse stock split after completing its merger with Liberty Media. None of this has stopped its stock from falling nearly 60% over the last five years.
However, it has attracted interest from a notable investor, and it holds a legal monopoly in satellite radio and exclusivity deals with some popular podcasters. Are such attributes enough to keep the media stock vibrant, or should investors focus on its challenges and get out of Sirius XM?
Amid its stock price decline, the most obvious reason to buy the stock may be its valuation. Sirius XM now trades at a trailing P/E ratio of 8. This takes its earnings multiple to a multi-year low.
Source Fool.com
