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Strategies & Market Trends : Ask Vendit Off-Topic Questions -- Ignore unavailable to you. Want to Upgrade?

To: Glenn Petersen who wrote (2563)	12/9/2004 3:53:13 AM
From: sandintoes	Read Replies (1) \| Respond to of 8752

His listener base may be loyal, but will he add 1,000,000 a year???

To: Glenn Petersen who wrote (2563)	12/9/2004 6:36:29 AM
From: Walkingshadow	Respond to of 8752

Hi Glenn, I don't really follow SIRI, but the rap against them is that the valuations have already more than factored in the effects of this deal. Just looking at the valuations and revenue/earnings projections, I can see their point. Also, neither SIRI nor XMSR are expected to be profitable this time next year. With a share price of $7/share, a P/E of 25 would imply earnings of about $0.28/share. In 2005, SIRI is projected to lose $0.46/share. So it seems to me that the current share price of about $7 has already discounted tremendous earnings growth well into 2006 or 2007. Just from the standpoint of metrics and earnings growth, SIRI would not appear to be cheap right now. Of course, that doesn't at all mean the stock price won't go higher. .