SIRIUS XM HOLDINGS INC (SIRI) Stock Fundamental Analysis
NASDAQ:SIRI - US8299331004 - Common Stock
23.445 USD
+1.18 (+5.32%)
23.35 USD
-0.09 (-0.41%)
Overall SIRI gets a fundamental rating of 4 out of 10. We evaluated SIRI against 99 industry peers in the Media industry. SIRI has a medium profitability rating, but doesn't score so well on its financial health evaluation. SIRI is cheap, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
SIRI had positive earnings in the past year.
In the past year SIRI had a positive cash flow from operations.
Of the past 5 years SIRI 4 years were profitable.
Each year in the past 5 years SIRI had a positive operating cash flow.
1.2 Ratios
SIRI's Return On Assets of -8.28% is on the low side compared to the rest of the industry. SIRI is outperformed by 63.27% of its industry peers.
With a Return On Equity value of -19.97%, SIRI perfoms like the industry average, outperforming 41.84% of the companies in the same industry.
SIRI has a better Return On Invested Capital (6.40%) than 68.37% of its industry peers.
The Average Return On Invested Capital over the past 3 years for SIRI is above the industry average of 7.61%.
The 3 year average ROIC (12.54%) for SIRI is well above the current ROIC(6.40%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.28% | ||
| ROE | -19.97% | ||
| ROIC | 6.4% |
ROA(3y)2.92%
ROA(5y)4.56%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.54%
ROIC(5y)16.46%
1.3 Margins
With an excellent Operating Margin value of 22.31%, SIRI belongs to the best of the industry, outperforming 91.84% of the companies in the same industry.
In the last couple of years the Operating Margin of SIRI has remained more or less at the same level.
SIRI has a Gross Margin of 52.11%. This is in the better half of the industry: SIRI outperforms 61.22% of its industry peers.
SIRI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.31% | ||
| PM (TTM) | N/A | ||
| GM | 52.11% |
OM growth 3Y-1.66%
OM growth 5Y0.04%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.14%
GM growth 5Y-1.28%
2. Health
2.1 Basic Checks
SIRI has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for SIRI has been increased compared to 1 year ago.
The number of shares outstanding for SIRI has been reduced compared to 5 years ago.
Compared to 1 year ago, SIRI has a worse debt to assets ratio.
2.2 Solvency
SIRI has an Altman-Z score of 1.36. This is a bad value and indicates that SIRI is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.36, SIRI is in line with its industry, outperforming 58.16% of the companies in the same industry.
SIRI has a debt to FCF ratio of 10.28. This is a negative value and a sign of low solvency as SIRI would need 10.28 years to pay back of all of its debts.
The Debt to FCF ratio of SIRI (10.28) is comparable to the rest of the industry.
SIRI has a Debt/Equity ratio of 0.89. This is a neutral value indicating SIRI is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.89, SIRI perfoms like the industry average, outperforming 42.86% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 10.28 | ||
| Altman-Z | 1.36 |
ROIC/WACC0.95
WACC6.7%
2.3 Liquidity
SIRI has a Current Ratio of 0.41. This is a bad value and indicates that SIRI is not financially healthy enough and could expect problems in meeting its short term obligations.
SIRI has a worse Current ratio (0.41) than 86.73% of its industry peers.
A Quick Ratio of 0.41 indicates that SIRI may have some problems paying its short term obligations.
With a Quick ratio value of 0.41, SIRI is not doing good in the industry: 86.73% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
The earnings per share for SIRI have decreased by -3.64% in the last year.
SIRI shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 10.88% yearly.
SIRI shows a decrease in Revenue. In the last year, the revenue decreased by -3.75%.
Measured over the past years, SIRI shows a small growth in Revenue. The Revenue has been growing by 2.22% on average per year.
EPS 1Y (TTM)-3.64%
EPS 3Y3.23%
EPS 5Y10.88%
EPS Q2Q%-28.75%
Revenue 1Y (TTM)-3.75%
Revenue growth 3Y0.01%
Revenue growth 5Y2.22%
Sales Q2Q%-1.84%
3.2 Future
SIRI is expected to show a very negative growth in Earnings Per Share. In the coming years, the EPS will decrease by -42.02% yearly.
The Revenue is expected to grow by 1.21% on average over the next years.
EPS Next Y-21.23%
EPS Next 2Y-6.25%
EPS Next 3Y-3.1%
EPS Next 5Y-42.02%
Revenue Next Year-1.92%
Revenue Next 2Y-1%
Revenue Next 3Y-0.59%
Revenue Next 5Y1.21%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.37 indicates a rather cheap valuation of SIRI.
SIRI's Price/Earnings ratio is rather cheap when compared to the industry. SIRI is cheaper than 88.78% of the companies in the same industry.
SIRI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.24.
SIRI is valuated cheaply with a Price/Forward Earnings ratio of 7.58.
80.61% of the companies in the same industry are more expensive than SIRI, based on the Price/Forward Earnings ratio.
Compared to an average S&P500 Price/Forward Earnings ratio of 35.82, SIRI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.37 | ||
| Fwd PE | 7.58 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SIRI indicates a somewhat cheap valuation: SIRI is cheaper than 71.43% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, SIRI is valued cheaply inside the industry as 81.63% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.96 | ||
| EV/EBITDA | 7.07 |
4.3 Compensation for Growth
SIRI has a very decent profitability rating, which may justify a higher PE ratio.
A cheap valuation may be justified as SIRI's earnings are expected to decrease with -3.10% in the coming years.
PEG (NY)N/A
PEG (5Y)0.68
EPS Next 2Y-6.25%
EPS Next 3Y-3.1%
5. Dividend
5.1 Amount
SIRI has a Yearly Dividend Yield of 4.78%, which is a nice return.
SIRI's Dividend Yield is rather good when compared to the industry average which is at 4.93. SIRI pays more dividend than 88.78% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.32, SIRI pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
5.2 History
On average, the dividend of SIRI grows each year by 77.68%, which is quite nice.
SIRI has paid a dividend for at least 10 years, which is a reliable track record.
The dividend of SIRI decreased recently.
Dividend Growth(5Y)77.68%
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
The earnings of SIRI are negative and hence is the payout ratio. SIRI will probably not be able to sustain this dividend level.
DP-5.35%
EPS Next 2Y-6.25%
EPS Next 3Y-3.1%
23.445
+1.18 (+5.32%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryMedia
Earnings (Last)
Earnings (Next)
Inst Owners38.73%
Inst Owner Change-0.57%
Ins Owners1.85%
Ins Owner Change0.13%
Market Cap7.89B
Analysts54
Price Target24.25 (3.43%)
Short Float %13.41%
Short Ratio6.59
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.78% |
Yearly Dividend0.91
Dividend Growth(5Y)77.68%
DP-5.35%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-18.86%
Min EPS beat(2)-24.99%
Max EPS beat(2)-12.73%
EPS beat(4)2
Avg EPS beat(4)10.58%
Min EPS beat(4)-24.99%
Max EPS beat(4)50.81%
EPS beat(8)6
Avg EPS beat(8)8.95%
EPS beat(12)8
Avg EPS beat(12)4.12%
EPS beat(16)10
Avg EPS beat(16)4.8%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-2.45%
Max Revenue beat(2)-1.47%
Revenue beat(4)0
Avg Revenue beat(4)-1.95%
Min Revenue beat(4)-2.78%
Max Revenue beat(4)-1.08%
Revenue beat(8)0
Avg Revenue beat(8)-1.95%
Revenue beat(12)0
Avg Revenue beat(12)-2.1%
Revenue beat(16)0
Avg Revenue beat(16)-1.75%
PT rev (1m)0.54%
PT rev (3m)3.22%
EPS NQ rev (1m)1.68%
EPS NQ rev (3m)-3.25%
EPS NY rev (1m)-4.96%
EPS NY rev (3m)-5.06%
Revenue NQ rev (1m)0.14%
Revenue NQ rev (3m)0.14%
Revenue NY rev (1m)0.16%
Revenue NY rev (3m)0.16%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.37 | ||
| Fwd PE | 7.58 | ||
| P/S | 0.92 | ||
| P/FCF | 7.96 | ||
| P/OCF | 4.62 | ||
| P/B | 0.7 | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.07 |
EPS(TTM)3.18
EY13.56%
EPS(NY)3.09
Fwd EY13.2%
FCF(TTM)2.95
FCFY12.57%
OCF(TTM)5.07
OCFY21.62%
SpS25.44
BVpS33.64
TBVpS-33.22
PEG (NY)N/A
PEG (5Y)0.68
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -8.28% | ||
| ROE | -19.97% | ||
| ROCE | 7.72% | ||
| ROIC | 6.4% | ||
| ROICexc | 6.42% | ||
| ROICexgc | 73.76% | ||
| OM | 22.31% | ||
| PM (TTM) | N/A | ||
| GM | 52.11% | ||
| FCFM | 11.58% |
ROA(3y)2.92%
ROA(5y)4.56%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)12.54%
ROIC(5y)16.46%
ROICexc(3y)12.64%
ROICexc(5y)16.68%
ROICexgc(3y)262.2%
ROICexgc(5y)250.11%
ROCE(3y)15.13%
ROCE(5y)19.86%
ROICexcg growth 3Y-29.15%
ROICexcg growth 5Y-24.82%
ROICexc growth 3Y-35.02%
ROICexc growth 5Y-18.85%
OM growth 3Y-1.66%
OM growth 5Y0.04%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.14%
GM growth 5Y-1.28%
F-Score4
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.89 | ||
| Debt/FCF | 10.28 | ||
| Debt/EBITDA | 3.98 | ||
| Cap/Depr | 112.6% | ||
| Cap/Sales | 8.35% | ||
| Interest Coverage | 3.8 | ||
| Cash Conversion | 67.05% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.41 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 1.36 |
F-Score4
WACC6.7%
ROIC/WACC0.95
Cap/Depr(3y)97.89%
Cap/Depr(5y)87.13%
Cap/Sales(3y)6.79%
Cap/Sales(5y)5.84%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-3.64%
EPS 3Y3.23%
EPS 5Y10.88%
EPS Q2Q%-28.75%
EPS Next Y-21.23%
EPS Next 2Y-6.25%
EPS Next 3Y-3.1%
EPS Next 5Y-42.02%
Revenue 1Y (TTM)-3.75%
Revenue growth 3Y0.01%
Revenue growth 5Y2.22%
Sales Q2Q%-1.84%
Revenue Next Year-1.92%
Revenue Next 2Y-1%
Revenue Next 3Y-0.59%
Revenue Next 5Y1.21%
EBIT growth 1Y-3.63%
EBIT growth 3Y-1.65%
EBIT growth 5Y2.26%
EBIT Next Year557.09%
EBIT Next 3Y88.34%
EBIT Next 5Y51.2%
FCF growth 1Y-25.19%
FCF growth 3Y-14.31%
FCF growth 5Y-9.34%
OCF growth 1Y-9.63%
OCF growth 3Y-4.49%
OCF growth 5Y-2.9%