Sirius XM Holdings (SIRI) AI Stock Analysis

• Market Cap: $7.96B
• Dividend Yield: 4.57%
• Average Volume (3M): 4.32M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.45
• Revenue Growth: -3.75%
• EPS Growth: -253.95%
• Country: US
• Employees: 5,515
• Sector: Communication Services
• Sector Strength: 87
• Industry: Entertainment
• EPS (TTM): 0.57
• Shares Outstanding: 336,740,450
• 10 Day Avg. Volume: 3,123,390
• 30 Day Avg. Volume: 4,316,246
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.30
• Enterprise Value/Revenue: 2.14
• Enterprise Value/Gross Profit: 4.50
• Enterprise Value/Ebitda: -17.91
• 1Y Price Target: $23.38
• Price Target Upside: -1.10% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 9

• Rating: 57 Neutral
• Price Target: $24.50 ▲(3.64% Upside)

Sirius XM Holdings' overall stock score is driven by financial challenges, including negative earnings and declining revenue, which weigh heavily on the score. Technical indicators suggest moderate bullish momentum, and the earnings call highlights strategic initiatives that could support future growth. However, valuation concerns due to a negative P/E ratio and financial instability remain significant risks.

Positive Factors

Customer Acquisition

In-car customer acquisition efforts supported softer decline in net adds.

Financial Performance

The dividend now yields 5.0%, indicating a strong return on investment.

Innovation

SiriusXM remains a top innovator in audio advertising technology, including a new agreement for an ad initiative with AI-generated voice replicas while maintaining human likeness control.

Negative Factors

Advertising Challenges

The company is struggling to gain advertising traction, which is affecting Pandora results.

Market Concerns

Concerns over new car affordability for low and middle-income consumers may impact SiriusXM's growth.

Revenue Risk

Advertisers are moving quickly to cut digital spend due to macroeconomic fears, which could pose a risk to revenue and AEBITDA guidance.

Sirius XM Holdings Business Overview & Revenue Model

Company Description

Sirius XM Holdings Inc. provides satellite radio services on a subscription fee basis in the United States. It broadcasts music, sports, entertainment, comedy, talk, news, traffic, and weather channels, including various music genres, such as rock, pop and hip-hop, country, dance, jazz, Latin, and classical; live play-by-play sports from various leagues and colleges; various talk and entertainment channels for a range of audiences; national, international, and financial news; and limited run channels. The company also provides streaming service that includes a range of music and non-music channels, and podcasts, as well as channels that are not available on its satellite radio service; and offers applications to allow consumers to access its streaming service on smartphones, tablets, computers, home devices, and other consumer electronic equipment, as well as connected vehicle services. In addition, it distributes satellite radios through automakers and retailers, as well as its website. Further, the company provides location-based services through two-way wireless connectivity, including safety, security, convenience, remote vehicles diagnostic, maintenance and data, and stolen or parked vehicle locator services. Additionally, it offers satellite television services, which offer music channels on the DISH Network satellite television service as a programming package; Travel Link, a suite of data services that include graphical weather, fuel prices, sports schedule and scores, and movie listings; and real-time traffic and weather services. The company was incorporated in 2013 and is headquartered in New York, New York. Sirius XM Holdings Inc. is a subsidiary of Liberty Media Corporation.

How the Company Makes Money

Sirius XM generates revenue primarily through subscription fees from its satellite radio and streaming services. The company offers various subscription plans, including individual and family options, which contribute significantly to its recurring revenue. Additionally, Sirius XM earns revenue from advertising sales on its non-premium channels, as well as through partnerships and content agreements with other media companies and brands. The company also monetizes its services by selling premium add-on features, such as enhanced music services and exclusive content packages. Strategic partnerships with automotive manufacturers to integrate its services into vehicles further bolster its subscriber base and revenue streams.

Sirius XM Holdings Financial Statement Overview

Summary

Sirius XM Holdings is facing financial pressures with declining profitability and revenue. The company maintains positive cash flows, but negative earnings and potential solvency risks due to negative equity are concerning. Stabilizing operations and improving profitability are critical.

Income Statement

Sirius XM Holdings has seen a decline in key profitability metrics. The gross profit margin remains relatively stable, but the company is experiencing significant negative net income, leading to negative net profit margins. Revenue has been decreasing, and both EBIT and EBITDA margins have turned negative in the TTM (Trailing-Twelve-Months), indicating operational challenges.

Balance Sheet

The balance sheet shows mixed signals. While the company has reduced its total debt significantly in the TTM period, its equity ratio is low, and it has a negative stockholders' equity in some periods, reflecting balance sheet instability. The debt-to-equity ratio is not meaningful due to negative equity, suggesting high financial leverage risks.

Cash Flow

The cash flow metrics reveal some strength, with positive operating cash flow and free cash flow. However, there is a decline in free cash flow growth, and the company is reliant on its operating cash flow to sustain net income, as indicated by the operating cash flow to net income ratio.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.56B	8.70B	8.95B	9.00B	8.70B	8.04B
Gross Profit	4.07B	4.20B	4.38B	4.52B	4.40B	4.10B
EBITDA	-1.02B	-747.00M	2.54B	2.61B	2.52B	1.39B
Net Income	-1.76B	-1.67B	1.26B	1.21B	1.31B	131.00M
Balance Sheet
Total Assets	27.33B	27.52B	30.06B	10.02B	10.27B	10.33B
Cash, Cash Equivalents and Short-Term Investments	92.00M	162.00M	306.00M	57.00M	191.00M	71.00M
Total Debt	10.20B	10.38B	11.49B	9.82B	9.24B	8.97B
Total Liabilities	16.00B	16.45B	16.95B	13.37B	12.90B	12.62B
Stockholders Equity	11.33B	11.07B	10.08B	-3.35B	-2.63B	-2.29B
Cash Flow
Free Cash Flow	999.00M	1.01B	1.20B	1.55B	1.61B	1.67B
Operating Cash Flow	1.73B	1.74B	1.85B	1.98B	2.00B	2.02B
Investing Cash Flow	-810.00M	-970.00M	-686.00M	-548.00M	-200.00M	-741.00M
Financing Cash Flow	-996.00M	-916.00M	-1.00B	-1.56B	-1.68B	-1.31B

Sirius XM Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 23.64
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SIRI, the sentiment is Positive. The current price of 23.64 is above the 20-day moving average (MA) of 22.37, above the 50-day MA of 22.75, and above the 200-day MA of 22.59, indicating a bullish trend. The MACD of 0.28 indicates Negative momentum. The RSI at 58.02 is Neutral, neither overbought nor oversold. The STOCH value of 88.84 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SIRI.

Sirius XM Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DIS	78 Outperform	$212.84B	18.44	11.01%	0.84%	5.00%	144.65%
FOXA	78 Outperform	$25.39B	12.16	19.96%	0.90%	16.60%	57.39%
ROKU	77 Outperform	$14.23B	―	-2.47%	―	17.32%	87.79%
NWSA	69 Neutral	$17.46B	36.12	5.69%	0.68%	-11.42%	75.42%
WBD	64 Neutral	$28.82B	38.54	2.18%	―	-3.79%	―
Sector *	60 Neutral	$44.01B	4.39	-12.81%	4.08%	1.86%	-42.71%
SIRI	57 Neutral	$7.96B	―	-38.19%	4.57%	-3.75%	-253.95%

Sirius XM Holdings Corporate Events

Sirius XM Extends Credit Facility to 2030

On August 20, 2025, Sirius XM Radio LLC amended its existing credit agreement with JPMorgan Chase Bank and other lenders. This amendment extends the maturity of its revolving credit facility to August 31, 2030, and increases its principal amount to $2 billion, enhancing Sirius XM’s financial flexibility for future operations and strategic initiatives.

Sirius XM Reports Q2 2025 Financial Results

On July 31, 2025, Sirius XM Holdings announced its second quarter 2025 financial results, reporting a revenue of $2.14 billion, a 2% decrease from the previous year. The company achieved a net income of $205 million, with diluted EPS of $0.57, and an adjusted EBITDA of $668 million. Despite the revenue decline, SiriusXM maintained a healthy EBITDA margin and generated $402 million in free cash flow, reflecting disciplined cost management and strategic investments. The company also highlighted improvements in subscriber trends and content agreements, including a new deal with Stephen A. Smith, and significant growth in podcast revenue. SiriusXM returned $137 million to shareholders through dividends and share repurchases, while reaffirming its full-year 2025 financial guidance.

Sirius XM Holds 2025 Annual Stockholders Meeting

On May 28, 2025, Sirius XM Holdings Inc. held its 2025 Annual Meeting of Stockholders, where key decisions were made. Stockholders elected Eddy W. Hartenstein, Kristina M. Salen, and Jennifer C. Witz as Class I directors. Additionally, a non-binding advisory vote determined that a Say-on-Pay vote on executive compensation should occur annually, with the board’s decision on this frequency to be filed later. Furthermore, the appointment of KPMG LLP as the independent registered public accountants for 2025 was ratified by the stockholders.