Sirius: Risks Outweigh Rewards
By Ry Frank:Although Sirius XM Radio (SIRI) is still the satellite radio giant in today's media, a combination of mounting competition and the possibility of a change in ownership lead me to believe Sirius XM Radio is a stock to stay away from. While the price per share of Sirius XM Radio's stock had been up as high as $2.40, it recently fell below $2 for the first time since early January. With the recent increase in competition and a possible change in ownership stakes, it is hard to tell how Sirius will fare in the future.Earlier in May, the Federal Communications Commission rejected Liberty Media's (LMCA) bid to take over control of Sirius XM Radio. Initially, Liberty Media urged Sirius to conduct a share buy back program that would leave Liberty Media the majority shareholder of common stock. With no luck, Liberty Media, which is already the major shareholder ofComplete Story »
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