Did not expect to see this
http://finance.yahoo.com/news/sirius...180000246.html
SIRIUS XM SATELLITE RADIO FORUM
Did not expect to see this
http://finance.yahoo.com/news/sirius...180000246.html
Good find Raptor. Thanks!
Originally Posted by Raptor
I WIN. GAME OVER. CHECK MATE. I CONTROL YOUR EVERY MOVE. WATCH WHAT HAPPENS NEXT
Nice find Raptor. I guess they figure that (1) they can spend the cash they have on hand which is prolly earning next to nuthin and save paying almost 6% and/or(2) they can pay this off and borrow the same amount for at 1/2 that interest rate.
Either way it's a good thing.
not until October 1 or the first day of the 4th quarter and not doing anything for the 3rd quarter - does that mean anything or am I just reading something into it that is not there?
Not completely 100% sure J56D, but I think that moneys earmarked for that redemption are sort of treated like declared dividends...it doesn't matter when the dividends are actually paid out, the value is removed from the market cap on the ex-div date. So from that perspective I don't think the actual date of the redemption is material....I could be wrong but that's how I understood it to work.
Edit: Also not sure that it really matters from a balance sheet perspective just a cash flow perspective. They are taking $$$ from cash on hand as well as from their revolving credit line (one would think at an interest rate that is less than the 5.875% they are paying on the notes being redeemed). So it's like if I paid off high interest credit card with mostly savings and transferred a small balance to another credit card with a lower rate. my net worth doesn't change but my cash flow does because I don't have to pay that high interest credit card payment every month.
Last edited by user34615145; 08-26-2016 at 06:59 AM.
Sorry, do not know how to link material. However, Jim Cramer on Mad Money tonight highly supports and gives reasons for Apple to purchase SiriusXm. Please go to CNBC website and listen.
Here you go Garcar: http://www.cnbc.com/2016/08/25/crame...-it-again.html
Calls SIRI "under-appreciated"
I remember when he called it a "lottery ticket"
How times change.
I don't think this is new for Cramer to say this. I think he was beating a similar drum back in 2011 or 2014. It was fun to watch.
Last edited by midas360; 08-26-2016 at 07:51 AM.
I WIN. GAME OVER. CHECK MATE. I CONTROL YOUR EVERY MOVE. WATCH WHAT HAPPENS NEXT
Interesting article in this week's Barrons with an interview of BTIG's Rich Greenfield titled "Sell Disney, Buy Viacom and Netflix" I have to hand it to the editors at Barrons; With a title like that I gotta take a read. Some excerpts:
"Look, 50% of Disney’s operating income comes from cable networks, which are struggling to grow. The film success is unprecedented and hard to continue. Most importantly, Disney’s core is ESPN. As cord-cutting accelerates, ESPN is the most significant loser, having overspent on sports rights when subscribers are declining 2%. As contracts come up for renewal it will be harder to drive rates. Meanwhile, their costs are significant and fixed into the next decade. If they lose subscribers at a 3% or 4% pace they have a real problem. The consensus earnings estimate for FY17, which has come down to $6.10 a share, is still too high. We have a $90 price target, or 15 times our FY17 earnings forecast of $5.90 a share. It’s at $96 now. When it gets to $90, we’ll re-evaluate."
and
"Certainly Netflix didn’t grow this year as robustly as we thought. But they are still adding about four million subscribers this year and next, after adding over five million the last few years, and they were able to raise the price by 25% on half their subscription base. Initially they wanted to be HBO. Now they want to be Comcast, HBO, Showtime, FX, CBS, and ABC. Netflix says “Let’s give you direct access to the content you want without commercials and remove the bundle of channels.” There are 100 million multichannel subscribers in the country. Netflix is at half that today and looking globally. With Netflix there are fits and starts. They will add 15 million globally this year and more than that next year. We have $130 price target with the current price at $97, or 25 times our 2017 enterprise value to Ebitda forecast.
Hmmm. Hard to argue with the facts, but I'm not sure I would necessarily agree with his supposition. What say you Muscle? You were touting DIS as a buy last December ahead of Starwars and a bevy of other movie releases coming out when this guy was saying "sell". Seems like he was the one that got it right then. How about now?
Reply With Quote