User 322665

Clarifying Sirius XM Reverse Split Issue

You need to realize a couple of things. First, the major institutions will not touch the stock if it is trading under $5, let alone 1$. So if Sirius starts to show some of the synergies under the merger that were so frequently advertised, the institutions might just start buying. I don't want to see a 1:50 RS either, but regarding shorting -- the reason that there is so much of it now is because there are so many shares. If they did do a 1:50 RS there would be about 60 million shares outstanding -- FAR LESS an amount of shares that would be available to borrow. Don't just think that because the price goes up it can get shorted that easily again - you need to look at the whole thing, like the # shares outstanding.

I am long SIRI but in a hold mode -- you don't know what the future will bring. Even after an RS, SIRI could forward split again or buy back shares. Everyone ticked off about this stock wants to get rich quickly. This technology has more potential than just radio -- look to the future.