The following is by Karen Starich, who uses astrology to forecast events in the financial markets. Check out Astrology Traders for specific dates and in-depth analysis of future events in the various markets she covers.
Sirius XM (Nasdaq: SIRI) much like Netflix looks to be heading for the space defined as the event horizon of no return. I wouldn’t count them out completely however, because this is a soap opera and as we know soap opera’s can go on forever! The soap opera drama heated up when Mel Karmazin, CEO of Sirius, and a few favored executives received stock options and golden parachutes after a debt restructuring deal with Liberty Media in 2009.
The Liberty Media rescue, that saved the company from bankruptcy, was worth $530 million in exchange for 15% interest and 40% equity in the company. The deal did not include controversial radio personality Howard Stern, who takes credit for bringing the company from 700,000 subscribers in 2004 to 20 million today. Stern is suing, complaining he did not get his share.
Howard Stern, known for his colorful language, has taken in his words “the horse$@%!” to the airwaves. He is going to make sure everyone knows that he’s the doormat now that the company is saved and everyone at the top got paid. The whole event is not surprising since the central figure in this fiasco has a last name Karmazin, or just Karma for short.
The astrological chart for Sirius XM has some serious (pun intended) transits coming up with the planet Neptune. Neptune rules music, public opinion, the airwaves, and in Sterns case the perfect opportunity to make sure everyone knows he is the one getting the shaft. The company could become a scapegoat for Wall Street, openly punishing and admonishing Sirius XM for what they secretly feel they are guilty of.
October 2nd there will most likely be a bump up in the stock however, trouble is just over the horizon. The legal disputes will most likely intensify mid-October, followed by a return to a sharp correction the first week of November. Uranus will oppose Venus in December which could be the rip cord on the stock that pulls the company closer to that space defined as the point of no return.
For a company that is named after the fixed star Sirius, known as the brightest star in the sky, there may still be some hope. Either Sirius XM will continue to glow or it just may get scorched!
Stay tuned for part II