In the latest close session, Sirius XM (SIRI) was down 1.37% at $20.19. The stock's performance was behind the S&P 500's daily gain of 0.41%. Meanwhile, the Dow lost 0.83%, and the Nasdaq, a tech-heavy index, added 0.91%.
Shares of the satellite radio company witnessed a gain of 0.69% over the previous month, beating the performance of the Consumer Discretionary sector with its loss of 3.34%, and the S&P 500's gain of 0.38%.
The upcoming earnings release of Sirius XM will be of great interest to investors. The company's earnings report is expected on February 5, 2026. The company is predicted to post an EPS of $0.77, indicating a 7.23% decline compared to the equivalent quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $2.18 billion, reflecting a 0.58% fall from the equivalent quarter last year.
SIRI's full-year Zacks Consensus Estimates are calling for earnings of $2.77 per share and revenue of $8.54 billion. These results would represent year-over-year changes of +55.62% and 0%, respectively.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Sirius XM. These recent revisions tend to reflect the evolving nature of short-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
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. Within the past 30 days, our consensus EPS projection remained stagnant. Right now, Sirius XM possesses a Zacks Rank of #2 (Buy).
In terms of valuation, Sirius XM is currently trading at a Forward P/E ratio of 6.64. For comparison, its industry has an average Forward P/E of 12.28, which means Sirius XM is trading at a discount to the group.
One should further note that SIRI currently holds a PEG ratio of 0.28. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. SIRI's industry had an average PEG ratio of 1.19 as of yesterday's close.
The Broadcast Radio and Television industry is part of the Consumer Discretionary sector. This industry, currently bearing a Zacks Industry Rank of 62, finds itself in the top 26% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Sirius XM Holdings Inc. (SIRI): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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