Okay, I'll play along. Having already written about my personal feelings as to why Sirius XM must sign Howard Stern to a new deal, I'm going to play devil's advocate in this piece and look at the situation from the perspective of management. Pick up an object in front of you. Depending on which angle you look at, you will notice that it looks different from various angles, unless of course you picked up a ball.
Below is the video which began all the media attention of late, as Stern expressed his dissatisfaction with the way he is being treated at Sirius XM. It was also the video, which turned my support for Stern into support for management. Stern was very well paid for his work at Sirius XM. Let me say that again....Stern was very well paid for his work at Sirius XM. With all the unemployed and underemployed Americans in this country, the "poor me" drama and threats to leave at $100 million a year does not sit well with me.
Sirius XM Shares Face A Test @ $1.06
It's deja vu all over again. Sirius XM made a triple top at $1.06 today, following an alert I issued regarding a trading anomoly that should have triggered a sell off at .95. The anomoly referred to occurred last year and resulted in SIRI shares nearly doubling in price. Since the last signal, SIRI shares have climbed significantly. There is very little resistance above $1.06, yet all too often we have seen Sirius pull back ahead of options expiration. The question before us is whether the resistance met at $1.06 twice before will fall this time. Basic rules of technical analysis state that the more a point of resistance is tested, the more likely it is to give in to demand.
The End of Sirius?
....Let's face it, the retail channel is just not the producer it once was for the company. Trimming down the aftermarket offerings is great way to reduce current expenses, and this will likely be positively reflected in Sirius XM's results this quarter as costs fall sharply on this move. ....
Howard Stern & Sirius: The Answer Is As Plain As The Nose On My Face
I recently wrote an article which explained my reasons that I felt Howard Stern had long ago renewed his contract with Sirius XM. I'm never satisfied however with a single analysis of any event that may move the price of a stock that I own. Tunnel-vision is the eigth deadliest sin -- of investing...
Disclosure: Long SIRI