Goldman Sachs Bullish On Sirius?
Maybe…Last nights SiriusBuzz Radio show may prove to have been very enlightening. During the show a certain gentleman called in making claims that he managed a hedge fund and was calling from the Caymans.
The caller claimed that he and other hedge fund managers had received instructions yesterday by “Jonesie” of Goldman Sachs to not only cover their short positions in Sirius XM but to now take “long” positions in the equity. As the host of last nights show and having participated in several others, I can attest that this person has not called into the show previously.
Certain statements he made were in fact backed up by the price action of the stock on the 28th. Also some mention was made of positive company news expected next week from Mel & Co..
I want to caution the reader that these statements may or may not be true. Only time will offer the answer as to their validity. Buying stocks on such rumors can often lead to disaster as anyone could use the radio show to manipulate small retail investors. In fact I am writing this for the sole purpose of making that point clear as I have noticed the news of this call has now been leaked to message boards.
As one poster put it, you are either long, or you’re not. If you are long, and the information provided by the caller proves to be true, great! But beware, a rumor is not a reason to buy a stock. Fundamentals and Technicals are the only reasons. For those that missed the show, you can hear a replay at SiriusBuzz Radio. The call in question occurs at 34:30 into the show.
Position: Long SIRI, no position on GS
Thanks!
Brandon, any comments on what Mel may report or announce on the next conference call that he hasn’t already mentioned?
PM..
I really wish I had something. I think some focus may be on where the line item deductions may come from and maybe an increase in the 400 million synergy number.
As an example, the seperate companies spent about 50 million per quarter each on marketing or 400 million a year combined. Just cutting that number in half would equal a 200 million dollar annual savings. There is no need for 2 investment relations departments anymore, etc.
I see a push in the works to remove from the market most existing radios…ads are popping up everywhere on the net now. Go check Sirius.com and most are mmarked clearance.
This tells me the company believes that the new offerings will be in stores in time and we just may get new product announcements.
Thanks Brandon. On another post, Will commented that you should make Mel Karmazin aware of some of what you cover. Despite Will’s unnecessary chidding, I tend to agree–but with a twist. It may be that the company, in its planning and post-merger plan execution, may not be aware of some beneficial insights and ideas covered in SiriusBuzz threads and on your weekly program. Might be a good idea to do a search for the “best of the best” and compile them, if you are of a mind to do so. You could list insights that Sirius may not be aware of but should consider that come from this community. You could run the input by relmor, cos1000, egiscodr, and the rest of us first, get feedback within a set time limit, say a week or two from today, edit and then send the input to Mel for consideration. OK, I’m reaching, but upward communication matters and who knows, maybe SiriusBuzz can make a collective contribution that will result in a tick or two or more up, or at least give Sirius XM executives input that could spin in otherwise beneficial directions and actions. And while I’m at it, how about inviting Mel to one of your weekly shows. Or if he is unavailble how about his CFO or COO? This could do a couple of things: 1) give you a first-hand opportunity to interview him/one of the other officers for us, and 2) if marketed even at a penny-pinching level by Sirius XM, increase the already good relevance of SiriusBuzz. Just thinking “out loud” again.
good suggestions pm. do they watch these blog’s? some very inteligent posts here….compile clips from the best & send to r&d/marketing dept.