The good news over the weekend should translate to a nice run in Sirius XM Satellite Radio (NASDAQ:SIRI) stock. The company is set to report their Q2 earnings Tuesday, and given the number of cars that sold in the quarter we should see the company report decent numbers across the board. Combine that with an anticipated increase in guidance and the resolution to the debt ceiling issues, and there is a recipe for a nice run in the stock.
Last week I published my projections for where I think the company will be on Tuesday morning. The highlights include NET subscriber additions of about 460,000, increased subscriber and EBITDA guidance, and higher revenues. Look for Sirius XM to trade up simply based on the solution to the debt crisis and add an additional leg up on the merits of their operating performance for the second quarter. A new 52 week high over the next couple of weeks is not out of the question.
Position - Long Sirius XM Radio