While the economy is on somewhat of a roller coaster ride car sales have been pacing along at a pretty even keel and analysts are still anticipating new car sales in 2012 to eclipse 14 million. In fact, Edmunds has pegged the number at 14.4 million. The first half of the year delivered just over 7.2 million in sales, and essentially analysts feel that the second half is capable of matching the first.
This is good news for SiriusXM (NASDAQ:SIRI) because the company guidance was based on estimates that had the number approaching or coming in at right about 14 million. If the sector can deliver 14.4 million it would equate to another 260,000 satellite radio equipped cars hitting the road in 2012 that might have been otherwise anticipated. This is yet another reason why it is time for the company to raise subscriber guidance.
Edmunds does see more downside risk to its 14.4 million estimate than upside potential, but even if the actual numbers come in shy of the 14.4 million, it would appear that most analysts agree that 14 million is about as close to money in the bank as you can get. August delivered great numbers, and so far September is pacing well. If have not done so yet check out the Edmunds article in the link above.