Market Talk with Piranha is currently moving to its new home at The new site is up and running but many of the posts need editing as the images and stock charts did not transfer successfully (thanks blogger). I will post all new entries to both blogs – Thank you for your patience while I make this change!

Wednesday, January 18, 2006

Sirius Satellite (SIRI) Update

I wrote a quick entry about Sirius Satellite Radio (SIRI) last November and spoke about the main reasons why I was staying away from buying the stock, even after the huge speculation placed on the company from the Howard Stern announcement. As we all know, the stock moved from $3 to $9 intraday before getting smacked back down in 2005.

Reading my original post from 11/23/04,
Sirius Satellite Radio (SIRI), you will see that I wasn’t very fond of the stock due to the fact that it was continually losing money. I specifically stated:

“You won't see SIRI on our weekly screens because of the fundamentals”

“I did not buy the stock for 2 reasons:
1. I don't buy companies that don't show a profit.
2. I currently have established positions in other stocks.”

Sirius (SIRI) closed at $6.71 on 11/23/04 and is currently trading at $6.14 at 2:15pm today (1/18/06). It reached an intraday peak of $7.98 recently but has not lived up to the hype and speculation that everyone anticipated after the $500 million signing of Howard Stern. It moved briefly from $3 to $9 on the speculation but all stocks come back to what they are worth. In this case, (SIRI) is only worth $6. Buying in late November of 2004 would currently give you a slight loss and would have your money tied up in a dead stock with a media whirlwind. I’ll skip the media speculation and continue buying companies with increasing earnings, sales and profits. If I bought (SIRI), I would have missed:
and others.

I think you get the point.



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