Sirius (SIRI) Remains a Gamble

I remember in the early part of 2011 when some young and clueless investors in Sirius XM Radio (Nasdaq: SIRI) said when the satellite radio company supassed the $2.00 a share mark it would never fall below $2.00 again. That was a failed assertion, as it has struggled to regain the $2.00 mark after plummeting to under $1.50 a share in October, 2011.

It has only recently finally climbed above $2.00 a share on some positive news, but whether or not it can sustain such numbers is highly questionable, and more than likely improbable, as it relies too much on the failure or success of the car industry at a time when numerous competitors are assaulting Sirius.

Some are already announcing that because of three quarters of profits Sirius has moved out of being a speculative company to invest in. That's far too premature of an announcement to make, especially in the weak economic environment under the Obama administration.

Sirius recently boosted prices at a time when most consumers are still jittery over the volatility and unpredictability of the economy.

Competition and the economy are the major factors to consider with Sirius, as most people are no longer loyal to a mode of delivery for their entertainment content, and Sirius has struggled to differentiate with talent and original programming in order to justify the costs of using its service.

If for some reason subscribers don't balk at the increase put in place by Sirius, and competition isn't able to make major inroads into the base, Sirius may have a decent 2012. That's a big if, and the share price is sure to remain volatile until there is more clarity in that regard.

Sirius (SIRI) (ESV) (FLOW) (FRX) (HGSI) (OAS) (POM) Upgraded

Sirius XM Radio Inc. (NASDAQ: SIRI), ENSCO PLC (NYSE: ESV), Flow (NASDAQ: FLOW), Forest Laboratories, Inc. (NYSE: FRX), Human Genome Sciences (NASDAQ: HGSI), Oasis Petroleum Inc. (NYSE: OAS) and Potomac Electric Power (NYSE: POM) were upgraded by analysts.

Sirius XM Radio Inc. (SIRI) was upgraded by Zacks Investment Research from a “Neutral” rating to an “Outperform” rating.

ENSCO PLC (ESV) was upgraded by Citigroup (NYSE:C) from a “Neutral” rating to a “Buy” rating.

Flow (FLOW) was upgraded by Northland Securities from a “Market Perform” rating to an “Outperform” rating. They have a price target of $4.00 on the company, up from $3.50.

Forest Laboratories, Inc. (FRX) was upgraded by Zacks Investment Research from an “Underperform” rating to a “Neutral” rating.

Human Genome Sciences (HGSI) was upgraded by Zacks Investment Research from an “Underperform” rating to a “Neutral” rating.

Oasis Petroleum Inc. (OAS) was upgraded by Caris & Co. to an “Above Average” rating.

Potomac Electric Power (POM) was upgraded by Credit Suisse (NYSE:CS) from a “Neutral” rating to an “Outperform” rating. They have a price target of $23.00 on the company.

Sirius (SIRI) (SHLD) (SI) (CIEN) (COST) (CRH) Ratings, Price Targets

Sirius XM Radio Inc. (SIRI), Sears Holdings Corp. (SHLD), Siemens (SI), Ciena Corp. (CIEN), Costco (COST) and CRH PLC (CRH) ratings and price targets.

Imperial Capital initiated coverage on Sears Holdings Corp. (SHLD). They placed an “Underperform” rating on the company.

JPMorgan Chase & Co. (NYSE:JPM) downgraded Siemens (SI) from an “Overweight” rating to a “Neutral” rating.

Citigroup (NYSE:C) initiated coverage on Sirius XM Radio Inc. (SIRI). They placed a “Buy” rating and a price target of $2.20 on the company.

JPMorgan Chase & Co. lowered its price target on Ciena Corp. (CIEN) to $12.00.

Jefferies (NYSE:JEF) raised its price target on Costco (COST) to $77.00.

Goldman Sachs (NYSE:GS) downgraded CRH PLC (CRH) from a “Buy” rating to a “Neutral” rating.

Sirius (SIRI) (SSL) (STJ) (CIEN) (CMN) (COO) Ratings, Price Targets

Sirius XM Radio Inc. (SIRI), Sasol Level II (SSL), St. Jude Medical, Inc. (STJ), Ciena Corp. (CIEN), Cantel Medical (CMN) and The Cooper Companies, Inc. (COO) ratings and price targets.

Zacks Investment Research upgraded Sirius XM Radio Inc. (SIRI) from a “Neutral” rating to an “Outperform” rating.

HSBC (NYSE:HBC) initiated coverage on Sasol Level II (SSL). They placed an “Underweight” rating on the company.

JPMorgan Chase & Co. (NYSE:JPM) lowered its price target on St. Jude Medical, Inc. (STJ) to $48.00.

Citigroup (NYSE:C) lowered its price target on Ciena Corp. (CIEN) to $18.00. They have a “Buy” rating on the company.

Needham & Company reiterated its “Buy” rating on Cantel Medical (CMN).

Jefferies (NYSE:JEF) lowered its price target on The Cooper Companies, Inc. (COO) to $70.00.

Sirius (SIRI) (SPRD) (AMLN) (AMZN) (AAV) (ACHN) (PCRX) Ratings, Price Targets

Sirius XM Radio Inc. (SIRI), Spreadtrum (SPRD), Amylin Pharma (AMLN), Amazon.com, Inc. (AMZN), Advantage Oil & Gas Ltd. (AAV), Achillion Pharmaceuticals Inc. (ACHN) and Pacira Pharmaceuticals Inc. (PCRX) ratings and price targets.

Barrington Research reiterated its “Outperform” rating on Sirius XM Radio Inc. (SIRI). They have a price target of $2.40 on the company.

RBS downgraded Spreadtrum (SPRD) to a “Hold” rating.

National Bank initiated coverage on Advantage Oil & Gas Ltd. (AAV). They placed an “Outperform” rating on the company.

Citigroup (NYSE:C) placed a price target of $12.00 Amylin Pharma (AMLN). They have a “Neutral” rating on the company.

Morgan Stanley (NYSE:MS) placed a price target of $260.00 Amazon.com, Inc. (AMZN). They have an “Overweight” rating on the company.

Wells Fargo & Co. (NYSE:WFC) initiated coverage on Achillion Pharmaceuticals Inc. (ACHN). They placed an “Outperform” rating on the company.

Piper Jaffray (NYSE:PJC) lowered its price target on Pacira Pharmaceuticals Inc. (PCRX) to $11.00.

Sirius (SIRI) (WGL) (AN) (BPZ) (DLB) (DLTR) (GILD) Upgraded

Sirius XM Radio Inc. (NASDAQ: SIRI), WGL Holdings, Inc. (NYSE: WGL), Autonation Inc. (NYSE: AN), BPZ Resources, Inc. (NYSE: BPZ), Dolby Labs (NYSE: DLB), Dollar Tree Inc. (NASDAQ: DLTR) and Gilead Sciences, Inc. (NASDAQ: GILD) were upgraded by analysts.

Sirius XM Radio Inc. (SIRI) was upgraded by Miller Tabak from a “Neutral” rating to a “Buy” rating. They have a price target of $2.25 on the company.

WGL Holdings, Inc. (WGL) was upgraded by Brean Murray from a “Hold” rating to a “Buy” rating. They have a price target of $48.00 on the company.

Autonation Inc. (AN) was upgraded by Goldman Sachs (NYSE:GS) from a “Sell” rating to a “Neutral” rating.

BPZ Resources, Inc. (BPZ) was upgraded by SunTrust (NYSE:STI) from a “Reduce” rating to a “Neutral” rating.

Dolby Labs (DLB) was upgraded by Barrington Research from a “Market Perform” rating to an “Outperform” rating. They have a price target of $43.00 on the company.

Dollar Tree Inc. (DLTR) was upgraded by Buckingham Research to a “Buy” rating.

Gilead Sciences, Inc. (GILD) was upgraded by Bank of America (NYSE:BAC) from a “Neutral” rating to a “Buy” rating. They have a price target of $55.00 on the company.

Sirius (SIRI) (SMP) (SMTC) (CTSH) (DAL) (DAN) Ratings, Price Targets

Sirius XM Radio Inc. (SIRI), Standard Motor (SMP), Semtech (SMTC), Cognizant (CTSH), Delta Air Lines (DAL) and Dana Holding Co. (DAN) ratings and price targets.

Miller Tabak upgraded Sirius XM Radio Inc. (SIRI) from a “Neutral” rating to a “Buy” rating.

Goldman Sachs (NYSE:GS) downgraded Standard Motor (SMP) from a “Neutral” rating to a “Sell” rating. They have a price target of $17.00 on the company.

Morgan Keegan lowered its price target on Semtech (SMTC) to $30.00.

Jefferies (NYSE:JEF) reiterated its “Buy” on Cognizant (CTSH). They have a price target of $87.00 on the company.

Raymond James (NYSE:RJF) initiated coverage on Delta Air Lines (DAL). They placed an “Outperform” rating on the company.

UBS AG (NYSE:UBS) initiated coverage on Dana Holding Co. (DAN). They placed a “Buy” rating on the company.

Sirius (SIRI) (PLCE) (SANM) (SCVL) (SF) (SHLD) Ratings, Price Targets

Sirius XM Radio Inc. (SIRI), Children’s Place Retail Stores, Inc. (PLCE), Sanmina-SCI Co. (SANM), Shoe Carnival (SCVL), Stifel Financial Corp. (SF) and Sears Holdings Corp (SHLD) ratings and price targets.

Lazard Capital upgraded Sirius XM Radio Inc. (SIRI) from a “Neutral” rating to a “Buy” rating. They have a price target of $2.25 on the company.

Goldman Sachs (NYSE:GS) raised its earnings per share (EPS) estimates on Children’s Place Retail Stores, Inc. (PLCE). They have a “Buy” rating and a price target of $58.00 on the company.

Needham & Company reiterated its “Buy” on Sanmina-SCI Co. (SANM).

Avondale Partners lowered its price target on Shoe Carnival (SCVL) from $31.00 to $29.00. They have an “Outperform” rating on the company.

Bank of America (NYSE:BAC) reiterated its “Neutral” on Stifel Financial Corp. (SF). They have a price target of $37.00 on the company.

Goldman Sachs lowered its price target on Sears Holdings Corp. (SHLD) to $43.00. They have a “Sell” rating on the company.

Sirius (SIRI) (PLCE) (SFD) (BBY) (BCSI) (CTAS) Upgraded

Sirius XM Radio Inc. (NASDAQ: SIRI), Children’s Place Retail Stores, Inc. (NASDAQ: PLCE), Smithfield Foods, Inc. (NYSE: SFD), Best Buy Co., Inc. (NYSE: BBY), Blue Coat (NASDAQ: BCSI) and Cintas (NASDAQ: CTAS) were upgraded by analysts.

Sirius XM Radio Inc. (SIRI) was upgraded by Lazard Capital from a “Neutral” rating to a “Buy” rating. They have a price target of $2.25 on the company.

Children’s Place Retail Stores, Inc. (PLCE) was upgraded by Caris & Company from an “Above Average” rating to a “Buy” rating. They have a price target of $63.00 on the company.

Smithfield Foods, Inc. (SFD) was upgraded by Credit Suisse (NYSE:CS) from a “Neutral” rating to an “Outperform” rating. They have a price target of $29.00 on the company.

Best Buy Co., Inc. (BBY) was upgraded by TheStreet to a “Buy” rating.

Blue Coat (BCSI) was upgraded by Sterne Agee to a “Neutral” rating.

Cintas (CTAS) was upgraded by Citigroup (NYSE:C) from a “Neutral” rating to a “Buy” rating. They have a price target of $35.00 on the company.

Sirius (SIRI) (CLH) (SM) (SOHU) (CHSI) (CL) EPS Changes

Sirius XM Radio Inc. (NASDAQ: SIRI), Clean Harbors, Inc. (NYSE: CLH), SM Energy (NYSE: SM), Sohu.Com Inc. (NASDAQ: SOHU), Catalyst Health Solutions, Inc. (NASDAQ: CHSI) and Colgate-Palmolive Company (NYSE: CL) had their EPS estimates adjusted by analysts.

Sirius XM Radio Inc. (SIRI) had its EPS estimates raised by Morgan Stanley (NYSE:MS). They have an “Overweight” rating and a price target of $2.00 on the company.

Clean Harbors, Inc. (CLH) had its EPS estimates raised by Goldman Sachs (NYSE:GS). They have a “Neutral” rating and a price target of $57.00 on the company.

SM Energy (SM) had its EPS estimates cut by Jefferies (NYSE:JEF). They have a “Buy” rating and a price target of $110.00 on the company.

Sohu.Com Inc. (SOHU) had its EPS estimates cut by Oppenheimer. They have a “Market Perform” rating on the company.

Catalyst Health Solutions, Inc. (CHSI) had its EPS estimates cut by Credit Suisse (NYSE:CS). They have an “Outperform” rating and a price target of $62.00 on the company.

Colgate-Palmolive Company (CL) had its EPS estimates cut by Jefferies. They have a “Hold” rating and a price target of $92.00 on the company.

Sirius (SIRI) (PCS) (SM) (CBB) (CLH) (CSOD) Ratings Reiterated

Sirius XM Radio Inc. (NASDAQ: SIRI), MetroPCS (NYSE: PCS), SM Energy (NYSE: SM), Cincinnati Bell Inc. (NYSE: CBB), Clean Harbors, Inc. (NYSE: CLH) and Cornerstone OnDemand (NASDAQ: CSOD) had ratings on them reiterated by analysts.

Morgan Stanley (NYSE:MS) reiterated its "Overweight" rating on Sirius XM Radio Inc. (SIRI).

Deutsche Bank (NYSE:DB) reiterated its "Overweight" rating on MetroPCS (PCS). They have a price target of $20.00 on the company.

Oppenheimer reiterated its "Outperform" rating on SM Energy (SM). They have a price target of $92.00 on the company.

Morgan Stanley reiterated its "Equal Weight" rating on Cincinnati Bell Inc. (CBB).

Wedbush reiterated its "Outperform" rating on Clean Harbors, Inc. (CLH).

Piper Jaffray (NYSE:PJC) reiterated its "Overweight" rating on Cornerstone OnDemand (CSOD).

Sirius (SIRI) (DEST) (SASR) (DIOD) (SINA) (DLTR) Price Targets Changed

Sirius XM Radio Inc. (NASDAQ: SIRI), Destination Maternity Corp. (NASDAQ: DEST), Sandy Spring Bancorp Inc. (NASDAQ: SASR), Diodes (NASDAQ: DIOD), Sina (NASDAQ: SINA) and Dollar Tree Inc. (NASDAQ: DLTR) had their price targets adjusted by analysts.

Sirius XM Radio Inc. (SIRI) had its price target lowered by Morgan Stanley (NYSE:MS) to $2.00. They have an “Overweight” rating on the company.

Destination Maternity Corp. (DEST) had its price target lowered by Needham & Company from $27.00 to $24.00. They have a “Strong Buy” rating on the company.

Sandy Spring Bancorp Inc. (SASR) had its price target lowered by Robert W. Baird from $18.00 to $16.00. They have a “Neutral” rating on the company.

Diodes (DIOD) had its price target lowered by Collins Stewart from $25.00 to $22.00. They have a “Buy” rating on the company.

Sina (NASDAQ: SINA) had its price target lowered by Stifel Nicolaus from $140.00 to $115.00. They have a “Buy” rating on the company.

Dollar Tree Inc. (DLTR) had its price target lowered by Goldman Sachs (NYSE:GS) to $73.00.

Sirius (SIRI) (AFCE) (STZ) (ASNA) (EW) (WEC) Ratings Reiterated

Sirius XM Radio Inc. (NASDAQ: SIRI), AFC Enterprises, Inc. (NASDAQ: AFCE), Constellation Brands, Inc. (NYSE: STZ), Ascena Retail Group Inc (NASDAQ: ASNA), Edwards Lifesciences (NYSE: EW) and Wisconsin Energy (NYSE: WEC) had their ratings on them reiterated by analysts.

Wunderlich reiterated its "Hold" rating on Sirius XM Radio Inc. (SIRI). They have a price target of $2.00 on the company.

BGB Securities reiterated its "Buy" rating on AFC Enterprises, Inc. (AFCE). They have a price target of $21.00 on the company.

Morgan Stanley (NYSE:MS) reiterated its "Equal Weight" rating on Constellation Brands, Inc. (STZ).

JPMorgan Chase & Co. (NYSE:JPM) reiterated its "Neutral" rating on Ascena Retail Group Inc. (ASNA).

Goldman Sachs (NYSE:GS) reiterated its "Buy" rating on Edwards Lifesciences (EW). They have a price target of $93.00 on the company.

Ladenburg Thalmann reiterated its "Neutral" rating on Wisconsin Energy (WEC). They have a price target of $33.00 on the company.

Sirius (SIRI) Gets Massive Inflow from SAC Capital

Giant hedge fund SAC Capital revealed in its required quarterly filing with the SEC that they invested a huge sum in Sirius XM (NASDAQ:SIRI) last quarter, boosting the shares they held from 280,901 to 7,668,172, as of March 1, 2011.

Shares of Sirius are trading down today as investors digest the discrepency between the promise of Sirius CEO Mel Karmazin to boost prices some time in the latter part of 2011 and the recent settlement of a lawsuit which included the agreement for Sirius not to raise prices until 2012.

The recent jump in share price was the result of Karmazin's assertion of a price increase in 2011.

Most of the movement of the stock will probably be more related to vehicle sales and the health of the auto industry than anything else.

Sirius was trading at $2.12, down $0.06, or 2.52 percent, as of 2:10 PM EDT.

Sirius' (SIRI) Prices Won't be Raised

Per a settlement over a lawsuit alleging Sirius XM (NASDAQ:SIRI) had raised prices significantly after Sirius and XM has merged in 2008, the company agreed not to raise prices through December 31.

In a filing with the SEC, Sirius said they won't raise prices on their basic satellite radio service, other programming packages or its Internet streaming services through that date.

Current customers will also be allowed to renew without having to endure a price increase as well.

Sirius said in a statement Monday that it made the decision to settle the lawsuit “despite our belief that the claims asserted by the plaintiffs were untrue," adding it was “in the best interest of our stockholders to avoid further legal expense and inconvenience and eliminate the distraction of this protracted litigation.”

Sirius was trading at $2.20, down $0.04, or 1.79 percent, as of 11:00 AM EDT.

Price Targets on (SIRI) (NVDA) (PCP) (TPCG) Updated

Price targets on shares of NVIDIA (NASDAQ: NVDA), Precision Castparts (NYSE: PCP), Sirius XM Radio Inc. (NASDAQ: SIRI) and TPC Group, Inc. (NASDAQ: TPCG) were updated by analysts.

Brean Murray cut their price target on NVIDIA (NVDA) from $30.00 to $26.00.

JPMorgan Chase & Co. (NYSE:JPM) raised their price target on Precision Castparts (PCP) from $161.00 to $164.00. They have an “overweight” rating on the company.

Wunderlich raised their price target on Sirius XM Radio Inc. (SIRI). They have a “hold” rating on the company.

Oppenheimer raised their price target on TPC Group, Inc. (TPCG) to $49.00. They have an “outperform” rating on the company.

Sirius (SIRI) Settlement Could Crush Stock

After a nice recent run, the share price of Sirius XM (NASDAQ:SIRI) could come under some heavy pressure after the terms of the settlement of a class action lawsuit against them was made public.

The settlement of the class action lawsuit wasn't a surprise, that was almost a given, but the terms will have implications for the rest of 2011, undermining expectations of shareholders which had helped drive the share price of the satellite radio company up.

Terms of the settlement were valued at about $180 million, but it won't be paid in cash, rather it will be paid in the freezing of prices to the class, which is the majority of those using the service.

As the market digests the information, it's probable the stock will take a significant hit as shareholders realize there will be no increase in price for the service in the latter part of 2011, something CEO Mel Karmazin spoke of in a conference call.

Apparently new subscribers will be able to have prices for the service increased, but the existing shareholders won't. That means little benefit for shareholders from that perspective will happen until sometime in 2012 at earliest.

It must be understood that this is a proposed settlement which the FCC will have to rule on.

That brings up another possible negative scenario for Sirius, as Federal Communications commissioner Meredith Attwell will be stepping down, which could delay the decision on the settlement concerning the price freeze.

This could cast a shadow over Sirius for the rest of the year, and possibly deep into 2012, depending on the situation with the FCC. Either way, this isn't a positive for the company or its shareholders.

Price Targets On (SIRI) (PLT) (QSFT) (RTI) (SMG) Updated by Analysts

Analysts have updated their price targets on Sirius XM Radio Inc. (NASDAQ: SIRI), Plantronics (NYSE: PLT), Quest Software, Inc. (NASDAQ: QSFT), RTI International Metals, Inc. (NYSE: RTI) and Scotts Miracle-Gro (NYSE: SMG).

Northland Securities raised their price target on Plantronics (PLT) from $41.00 to $44.00. They have an “outperform” rating on the company.

Stifel Nicolaus cut their price target on Quest Software, Inc. (QSFT) from $30.00 to $27.00. They have a “buy” rating on the company.

FBR Capital raised their price target on RTI International Metals, Inc. (RTI) from $36.00 to $42.00. They have an “outperform” rating on the company.

Maxim Group raised their price target on Sirius XM Radio Inc. (SIRI) to $2.50.

Longbow Research raised their price target on Scotts Miracle-Gro (SMG) from $59.00 to $63.00. They have a “buy” rating on the company.

Most Active (CSCO) (DELL) (INTC) (MU) (MSFT) (NVDA) (YHOO) (SIRI) (FITB) (LVLT) NASDAQ Stocks Today

The most active stocks trading on NASDAQ today are Cisco (CSCO), Dell (NASDAQ:DELL), Fifth Third BanCorp (NASDAQ:FITB), Intel Corp. (NASDAQ:INTC), Level 3 Communications Inc. (NASDAQ:LVLT), Micron Technology Inc. (NASDAQ:MU), Microsoft Corp. (NASDAQ:MSFT), Nvidia Corporation (NASDAQ:NVDA), Sirius XM Radio Inc. (NASDAQ:SIRI) and Yahoo (NASDAQ:YHOO).

Trading in positive territory were Dell, Fifth Third BanCorp, Intel, Level 3 Communications and Sirius. The rest were trading down.

Sirius was by far the volume leader of the stocks mentioned here, with volume over 197 million. Intel was next with volume at right about 90 million.

Cisco was next with trading volume reaching about 44 million; all of these as of 2:48PM EDT.

Sirius XM Radio (SIRI) Earnings Meet Expectations

Earnings from Sirius XM Radio Inc. (NASDAQ:SIRI) managed to meet analysts' expectations, as the company had net income of $78.1 million or one cent a share, against $41.6 million, or one cent a share in the same quarter last year. That was an increase of 87.8 percent over last year in the same period.

Revenue for the quarter jumped to $723.8 million, a 9 percent improvement over last year in the same quarter.

Sirius said, “SiriusXM’s first quarter results have put us on track to attain our full year goals for subscriber, revenue, and adjusted EBITDA growth. Significantly, we are now in a position to raise our free cash flow estimate for the year,” said Mel Karmazin, Chief Executive Officer, SiriusXM. “Consumers are buying cars again and demand for our product is strong. Were it not for the OEM supply chain uncertainty resulting from the tragedy in Japan, we would be in a position to raise our subscriber guidance today.”

Major competitors of Sirius include Westwood One, Inc. (NASDAQ:WWON), Entercom Communications Corp. (NYSE:ETM), Cumulus Media Inc. (NASDAQ:CMLS), Saga Communications, Inc. (AMEX:SGA), Emmis Communications Corp. (NASDAQ:EMMS), Radio One, Inc. (NASDAQ:ROIAK), CBS Corporation (NYSE:CBS), Disney (NYSE:DIS), Time Warner (NYSE:TWX), Grupo Radio Centro SAB de CV (NYSE:RC) and Salem Communications Corp (NASDAQ:SALM).

Shares of Sirius soared to $2.08, gaining $0.17, or 8.64 percent, as of 1:35 PM EDT.