Sirius XM(SIRI) Forbes·2024-12-17 12:00Company Performance - Sirius XM Holdings stock (NASDAQ: SIRI) is down 53% year-to-date, significantly underperforming the S&P 500, which grew 28% [1] - The company has experienced three consecutive years of poor stock performance, with returns of 0% in 2021, -8% in 2022, and -6% in 2023 [3] - Revenue growth fell 4% year-over-year in Q3 2024 to 2.19 billion [4] - Net income for Q3 2024 was -8.74, down from 8.675 billion but revised its 2025 revenue projection downward to 693 million, driven by softer subscriber revenue [4] - For full-year 2024, the company expects adjusted EBITDA of approximately 1 billion [6] - Revenue per share is forecasted at 27 per share based on a 1.1x P/S multiple [5] Subscriber and Revenue Trends - Total subscribers declined 2% year-over-year in Q3 2024, totaling 33.2 million, including paid promotional subscribers [2] - Subscriber revenue dropped 5% to 450 million in Q3 2024 [4] - The self-pay monthly churn rate remained stable at 1.6% for the quarter, indicating consistent retention of existing subscribers [2] Industry and Competitive Challenges - The company faces challenges from a sluggish recovery in the automotive industry and adverse advertising trends [2] - Pandora, a subsidiary, continues to struggle with stabilizing monthly active users and listening hours [2] - Sirius XM Holdings completed its merger with Liberty Sirius XM Group in September 2024 and conducted a 1-for-10 reverse stock split [6] Peer Comparison - Apple, a peer, has seen its stock rise 29% year-to-date, significantly outperforming Sirius XM [1] - The Trefis High Quality Portfolio, consisting of 30 stocks, has outperformed the S&P 500 each year over the same period, providing better returns with less risk [4]