Sirius XM (NASDAQ:SIRI) Announces Earnings Results

Sirius XM (NASDAQ:SIRI) posted its quarterly earnings data on Thursday. The company reported $0.70 earnings per share for the quarter, missing the consensus estimate of $0.78 by ($0.08), FiscalAI reports. The business had revenue of $2.16 billion for the quarter, compared to the consensus estimate of $2.14 billion. Sirius XM had a net margin of 9.86% and a return on equity of 9.19%. The business’s revenue for the quarter was up 1.0% on a year-over-year basis. During the same quarter last year, the business posted $0.57 EPS.

Here are the key takeaways from Sirius XM’s conference call:

• Full-year 2026 guidance was raised by $25 million for revenue, adjusted EBITDA, and free cash flow, now targeting approximately $8.525 billion, $2.625 billion, and $1.375 billion, respectively.
• SiriusXM returned to positive self-pay net additions with 22,000 in Q2, while ARPU rose 1% to $15.32 and churn reached a company-record low of approximately 1.4%; management nonetheless expects modestly lower full-year net additions as promotional activity is reduced and favorable continuous-service comparisons fade.
• Advertising revenue grew 5% to $454 million, led by approximately 30% podcasting growth, stronger programmatic advertising, and technology fees. Management expects broader commercialization of YouTube Audio later this year, though it does not anticipate a meaningful financial contribution until the second half of 2027.
• Cost discipline expanded adjusted EBITDA 3% to $691 million and lifted margins to 32%, while free cash flow surged 48% to $593 million. The company has captured $74 million of its targeted $100 million in 2026 gross cost savings.
• SiriusXM reached its target leverage range at 3.4 times adjusted EBITDA, allowing share repurchases to become a larger use of excess cash, with nearly $1 billion remaining under authorization. Management continues to evaluate partnerships to monetize its 35 MHz spectrum portfolio while preserving service flexibility, but provided no timing or transaction details.

Sirius XM Trading Down 5.0%

Shares of SIRI traded down $1.62 during midday trading on Thursday, hitting $30.97. The stock had a trading volume of 7,774,712 shares, compared to its average volume of 3,528,533. Sirius XM has a fifty-two week low of $19.76 and a fifty-two week high of $32.66. The business has a 50-day simple moving average of $29.34 and a two-hundred day simple moving average of $25.30. The firm has a market cap of $10.43 billion, a P/E ratio of 13.07, a price-to-earnings-growth ratio of 0.70 and a beta of 0.95. The company has a current ratio of 0.44, a quick ratio of 0.44 and a debt-to-equity ratio of 0.83.

Sirius XM Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, August 26th. Shareholders of record on Monday, August 10th will be paid a dividend of $0.27 per share. The ex-dividend date of this dividend is Monday, August 10th. This represents a $1.08 dividend on an annualized basis and a yield of 3.5%. Sirius XM’s dividend payout ratio is currently 45.57%.

Insider Activity

In other news, insider Scott Andrew Greenstein sold 20,744 shares of the business’s stock in a transaction that occurred on Wednesday, May 27th. The shares were sold at an average price of $29.83, for a total transaction of $618,793.52. Following the sale, the insider owned 20,163 shares in the company, valued at $601,462.29. The trade was a 50.71% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 3.27% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Sirius XM

Several institutional investors and hedge funds have recently added to or reduced their stakes in SIRI. Brighton Jones LLC purchased a new stake in shares of Sirius XM in the fourth quarter valued at $622,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in Sirius XM by 11.1% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 925,313 shares of the company’s stock valued at $20,861,000 after buying an additional 92,111 shares during the period. Focus Partners Wealth raised its position in Sirius XM by 5.2% during the first quarter. Focus Partners Wealth now owns 16,273 shares of the company’s stock valued at $367,000 after buying an additional 800 shares during the period. Geneos Wealth Management Inc. lifted its stake in Sirius XM by 36.7% in the 1st quarter. Geneos Wealth Management Inc. now owns 1,836 shares of the company’s stock worth $41,000 after acquiring an additional 493 shares in the last quarter. Finally, Sivia Capital Partners LLC purchased a new stake in Sirius XM in the 2nd quarter worth about $208,000. 10.69% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several analysts recently commented on the stock. Barrington Research increased their target price on shares of Sirius XM from $28.00 to $32.00 and gave the company an “outperform” rating in a research note on Monday, May 4th. Citigroup restated a “sell” rating and issued a $22.00 price target (up from $19.00) on shares of Sirius XM in a research report on Monday, May 4th. Benchmark reaffirmed a “buy” rating on shares of Sirius XM in a report on Wednesday. Weiss Ratings upgraded Sirius XM from a “hold (c)” rating to a “hold (c+)” rating in a research report on Thursday, July 9th. Finally, UBS Group set a $30.00 price objective on Sirius XM in a research note on Wednesday. Four analysts have rated the stock with a Buy rating, five have assigned a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and an average price target of $29.64.

Sirius XM News Summary

Here are the key news stories impacting Sirius XM this week:

• Positive Sentiment: Sirius XM returned to positive net subscriber growth, adding 22,000 subscribers, while reporting record-low churn. Management also highlighted strong advertising performance and free cash flow. Sirius XM Q2 2026 earnings call highlights
• Positive Sentiment: Management raised its 2026 outlook, targeting approximately $8.525 billion in revenue and $1.375 billion in free cash flow, with the revenue outlook reportedly increased by $25 million. SiriusXM outlines 2026 targets
• Positive Sentiment: The company announced a $5-per-month Sports Pass featuring sports audio and content including WWE Radio, creating a potentially attractive low-cost offering to broaden engagement and subscriber monetization. SiriusXM sports plan
• Positive Sentiment: Wells Fargo upgraded Sirius XM, while Rosenblatt Securities reiterated a Buy rating, providing additional analyst support. Wells Fargo upgrade
• Neutral Sentiment: Revenue increased 1% year over year to $2.16 billion, exceeding the $2.14 billion consensus estimate, but growth remained limited. Sirius XM Q2 sales results
• Negative Sentiment: Adjusted earnings of $0.70 per share fell short of the $0.78 analyst consensus, an earnings surprise of roughly negative 10%, making the profit miss the primary pressure on the stock. Sirius XM misses Q2 earnings estimates
• Negative Sentiment: Chief Operating Officer Wayne Thorsen is departing amid a restructuring, introducing leadership-transition uncertainty as Sirius XM works to improve operating performance. Sirius XM COO departure

Sirius XM Company Profile

Sirius XM Holdings Inc is a leading audio entertainment company specializing in subscription-based satellite and streaming radio services. Formed in 2008 through the merger of Sirius Satellite Radio and XM Satellite Radio, the company delivers a broad range of programming across music, sports, news, talk and comedy channels. Sirius XM’s offerings include exclusive live sports play-by-play, artist-curated music channels, news coverage from major networks and original talk and entertainment series.

Headquartered in New York City, Sirius XM serves listeners throughout the United States and Canada, reaching tens of millions of subscribers.