Benchmark sees nil effect on SiriusXM operating results from possible Stern exit

Benchmark analyst Matthew Harrigan expects nil effect on SiriusXM operating results and share price action from a high possibility Howard Stern may depart satellite radio when his current $500M contract expires this year-end. This is as any new shorter duration contract fostering a graceful transition would have to be rightsized to appropriate current SiriusXM IP cost norms. Benchmark notes SiriusXM will always remain the fan home for the controversial ‘shock jock’ as it owns the rights to both audio and video content for The Howard Stern Show. However, any replay of new contract brinkmanship threats or renewal kabuki dances is now implausible. SiriusXM continues to feature the highest profile audio personalities within the current Zeitgeist, exemplified by its new Stephen A. Smith agreement and Alex Cooper, it adds. The firm has a Buy rating on the shares with a price target of $28.