This Week in Sirius XM Radio Inc (SIRI)

Sirius XM Radio Inc (NASDAQ:SIRI)Things never get dull for the country’s lone satellite-radio provider. Shares of Sirius XM Radio Inc (NASDAQ:SIRI) moved sharply higher on the week, climbing 10% to close at $3.72. The media darling’s gain was well ahead of the general market.

There was more going on beyond the share-price gyrations, though. Sirius XM Radio Inc (NASDAQ:SIRI) preannounced a healthy subscriber tally for the second quarter, sending the stock to a fresh five-year high. Pandora Media Inc (NYSE:P) went the other way, warning of a large sequential decline in usage between tMay and June.

Let’s take a closer look.

25 million reasons to remain bullish
Sirius XM Radio Inc (NASDAQ:SIRI) has occasionally delivered strong subscriber numbers early, waiting a week or so after the end of a quarter to put out a press release bragging about its magnetism during the three prior months.

It happened this time. The satellite-radio star closed out the second quarter with 715,000 net new subscribers, crossing the mark of 25 million accounts along the way.

Tack on the first quarter’s numbersm and Sirius XM already has 1.168 million net new subscribers through the first half of the year. Its earlier forecast for 1.4 million net additions for all of 2013 seems silly now, and Sirius XM is actually only raising that target to 1.5 million.

Don’t worry. Sirius XM Radio Inc (NASDAQ:SIRI) will probably gain more than 332,000 net new subs for the balance of this year. Mel Karmazin is gone, but Sirius XM is continuing his practice of offering conservative outlooks. Sirius XM bumped its subscriber guidance higher four times last year. There should be more of the same in three months.

Boxing Pandora
As good news at Sirius XM Radio Inc (NASDAQ:SIRI) sent those shares to a fresh five-year high of $3.73 on Friday, Pandora Media Inc (NYSE:P) went the other way after announcing problematic metrics for the month of June.

Pandora Media Inc (NYSE:P) served up 1.25 billion hours of audio last month, less than the 1.35 billion it delivered in May. There are seasonal considerations here, but the sequential dip — when it has happened — has never been this bad.

Whether it’s heavy users recoiling after February’s move to cap mobile ad-supported usage or the growing realm of rival streaming applications, Pandora is going to have to prove that it can make more money serving up less content.

A Sirius future
It was an interesting week for Sirius XM Radio Inc (NASDAQ:SIRI). The new week isn’t likely to be dull.

The article This Week in Sirius XM Radio originally appeared on Fool.com and is written by Rick Munarriz.

Longtime Fool contributor Rick Munarriz has no position in any stocks mentioned. The Motley Fool recommends Pandora Media (NYSE:P).

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Comments
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months. Our beta is only 1.2 (don't click this link if beating the market isn't important to you).

Lists

The 10 Most Expensive iPhone Apps

The 9 Most Expensive Designer Shoes in the World

The 10 Most Expensive Cigarette Brands

The 10 Most Expensive Law Schools in the US

The 10 Best Wall Street Movies

The 10 Most Expensive Golf Clubs Ever Sold

The 10 Most Expensive Golf Memberships

The 10 Best Disney Characters Ever Created

The 8 Best Foods for Gaining Weight

The 10 Most Expensive Colleges in the World

The 7 Most Memorable Ad Campaigns of All Time

The 7 Most Expensive High Schools in the World

The 10 Electric Vehicles with the Longest Range

The 10 Cities with the Worst Drivers in the World

The 10 Most Expensive Dresses Ever Created

10 Islands to Visit Before You Die

10 Famous Celebrities Who Needed Rehab

The 15 Countries with the Largest Oil Reserves

The 10 Most Overused Excuses in the World

The 5 Best iOS Apps You Can’t Get on Android

5 Companies Damaged By Social Media Blunders

The 10 Most Legendary Blues Songs

The 10 Most Lawless Places in the World

4 Reasons China is a Threat to the US

The 17 Most Sugary Drinks in the World

The 10 Most Ruthless Rulers in History

The 10 Greatest Generals in History

Top 8 Travel Destinations for 2015

The 10 Safest Dog Breeds for Children

The 10 Most Stolen Vehicles in the US

The 7 Most Expensive Celebrity Weddings

The 10 Best LoL Teams in the World

Top 10 Worst Marketing Campaigns Ever Produced

Top 5 Diets that Help You Lose Weight

The 10 Best Ways to Stay Awake

7 Artists That Switched Musical Genres

The 10 Most Expensive Cities to Live in New Jersey

The 10 Best High Schools in New York

The 10 Countries With the Least Gender Inequality

The 6 Biggest Musician-Manager Feuds

The 10 Countries with the Cheapest Gas Prices

The 7 Most Theatrical Bands of All Time

The 8 Worst Band Breakups of All Time

The 10 Most Important South American Leaders

The 7 Most Successful Casting Show Winners

The 10 Most Peaceful Countries in the World

5 Big Reasons Communism Failed

The 15 Most Famous Carl Icahn Quotes

10 Scary Animals that are Actually Harmless

The 8 Most Famous Singer-Actors in Entertainment

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!