SIRI Monthly Thread April 2015

[midas360]

Deadline Approaching to File Sirius Radio Settlement Complaint

Time is running out to file a complaint for a settlement involving Sirius XM Radio.
Customers may be eligible for restitution from the settlement, which claimed the company misled customers through advertising and billing practices from July 28, 2008 to December 4, 2014.
Sirius was ordered to pay 44 states and the District of Columbia $3.8 million for restitution. Wisconsin will receive $72,801.28, according to the Department of Agriculture, Trade and Consumer Protection.
CLICK HERE to find out if you are eligible
The deadline to file a complaint in the settlement is May 3.
Here are three ways to file your complaint:

• http://datcp.wisconsin.gov
• email datcphotline@wisconsin.gov
• Call the Consumer Information Hotline toll-free at 1-800-422-7128.

Complaints that remain unresolved will be considered for restitution, but the complaint must be re-filed by the May 3 deadline. Include a statement that the complaint is unresolved.

http://wbay.com/2015/04/23/deadline-...ent-complaint/

[midas360]

By Maxim Group
April 23, 2015

Howard Stern’s contract expires at the end of this year.

Primary risk is the Stern contract. We estimate that his show costs about $100 million a year, a substantial part of the $300 million total annual content cost (pre-music royalties) for 150 channels. It is unclear how critical Stern is to Sirius XM Holdings’ (ticker: SIRI ) subscriber base 10 years into him initially driving the business.

Valuation appears attractive at 12 times 2016 estimated free cash flow per share. Our $5.00 price target is based on a 15 times multiple applied to our 33 cents free-cash-flow-per-share 2016 estimate.

We estimate first-quarter revenue of $1.13 billion (up 13.3% year-over-year) and adjusted earnings before interest, taxes, depreciation and amortization (Ebitda) of $405 million (up 21.0% year-over-year). We have lowered our first-quarter estimated Ebitda by $22 million but maintained our full-year estimates for revenue of $4.6 billion (up 10.3% year-over-year), adjusted Ebitda of $1.7 billion (up 13.1% year-over-year), and free cash flow of $1.5 billion (up 15.4% year-over-year). Sirius’s management guidance, which has historically proven conservative, anticipates revenue of $4.4 billion, Ebitda of $1.6 billion and free cash flow of $1.25 billion in 2015. Our free-cash-flow-per-share 2015 estimate assumes a 40.2% increase to 28 cents, assuming a buyback of $2.5 billion and a further 17.5% to 33 cents in 2016.

Car sales remain strong in the first quarter. Seasonally adjusted annual rate (SAAR) of 17.1 million in March is higher than our prior estimate of 16.4 million. We are forecasting net self-paid subscriber additions of 317,900 in the first quarter and further to 1.48 million in fiscal 2015, compared with conservative guidance of 1.2 million.

Sirius is continuing to grow its original equipment manufacturer (OEM) business and entered partnerships with Subaru, Jaguar Land Rover, and Nissan to provide connected vehicle services. There are about 70 million satellite-enabled vehicles in the U.S. currently, which should increase to about 100 million by 2017 and about 140 million-150 million by 2022. The doubling of this addressable market suggests sustainable long-term growth potential. Sirius has penetrated about 15,000 used-car franchise dealers out of about 18,000, and management is pursuing independent dealers.

Sirius spent $2.5 billion on repurchasing shares during 2014, and there is $1.7 billion remaining under the stock repurchase program. We anticipate Liberty Media ( LMCA ), which owns about 58% of Sirius, to continue to increase its percentage by not tendering. We anticipate Sirius converting about 84% of its adjusted Ebitda into free cash flow in 2015 and maintain its gross debt leverage at 4 times. We estimate that Sirius will spend $2.5 billion on stock buybacks at an average price of $4.00 per share, leaving outstanding shares of about 5.074 billion (about an 11%-12% shrink in equity base) by the end of 2015.

Internet music services, such as Pandora Media ( P), Spotify and Apple ( AAPL ), continue to grow. Sirius, which has been competing with the iPod for about 14 years, continues to offer “near” exclusive content, such as NFL, Howard Stern, MLB, NBA Playoffs, and Women’s World Cup matches this summer

[midas360]

Peugeot, IBM working to connect cars to shops and servicing

(Reuters) - PSA Peugeot Citroen (PEUP.PA) and IBM (IBM.N) are working together to hook cars up to the Internet, going beyond mapping and infotainment to link vehicles up to shops, service networks and urban transport grids, the companies said on Wednesday.

Financial terms of the new, seven-year partnership were not disclosed. The agreement to develop new types of valued-added services for vehicles builds on an initial partnership between the automaker and technology consultant announced a year ago.

http://www.reuter​s.com/article/2015/04/22/us-peugeot-ibm-idUSKBN0ND1D520150422

[midas360]

AT&T adds 684,000 connected cars in Q1

AT&T said it added 684,000 connected cars to its network in the first quarter as the company races to find its future growth in the Internet of things.

The telecom giant reported first quarter earnings of $3.2 billion, or 61 cents a share, on revenue of $32.6 billion, roughly flat with a year ago.

While the focus on smartphone additions and churn are the norm for wireless telecom players it's worth pondering some of the other figures that are almost throwaways. Why? That's where the growth will be.

Sure, AT&T added 1.2 million smartphones to its base in the first quarter with a churn of 1.02 percent. But 1.2 million total wireless net additions, including 684,000 connected cars is worth noting.

AT&T CFO John Stephens said:

We also saw the future of the Internet of Things, and developed platforms, such as the connected car and home automation. We now have more than 20 million connected devices on our network.

AT&T's connected device talk comes a day after Verizon reported its first quarter results. Verizon CFO Fran Shammo said:

New revenue streams from the Internet of Things and Telematics continue to emerge and grow. In the first quarter, these revenues totaled approximately $150 million, an increase of 25 percent...In particular, innovation within the transportation industry presents a great opportunity for us.

Simply put, the raise to connect cars is on.

http://www.zdnet.com/article/at-t-adds-684000-connected-cars-in-q1/

[dm_4]

In a survey of U.S. consumers, IHS asked, "What are the top 4 ways you listen to music in your vehicle?" The No. 1 choice was AM-FM radio, which was selected by 74% of respondents. Compact discs was second at 64%, followed by Sirius XM (NASDAQ:SIRI) satellite radio at 44% and music stored on a phone or other mobile device at 41%.

http://news.investors.com/042315-749...lled&ven=yahoo

[midas360]

Comcast to drop $45 billion Time Warner Cable bid — report

Read more: http://www.businessinsider.com/comca...#ixzz3YAGKtEOV

[dm_4]

Comcast May Drop TWC Bid, But Both May Seek New Deals


http://finance.yahoo.com/news/comcas...221600922.html

[dm_4]

well its official....comcast/twc deal dead.

http://finance.yahoo.com/news/comcas...123919025.html

[njbones1]

SIRI up .02 rally coming on

[midas360]

@NJBones... did you see this?

"AT&T said Wednesday that it added 1.2 million wireless connections to its network during the first quarter, including 684,000 connected cars."

Check it out ---> http://www.att.com/shop/wireless/con...ml?tgccParam=1

SIRI up .02 rally coming on