Company Performance - Sirius XM Holdings' share price collapsed by more than 50% in 2024, wiping out roughly 900 million in free cash flow in 2024 despite a down year [3] - Sirius XM posted a surprise loss last quarter but maintains a solid free-cash-flow position [4] Dividend Strategy - Sirius XM is now a serious dividend stock, paying a 360 million annually [3] - The company's dividend yield has soared to nearly 5% due to the collapsing share price, with a 48 in annual dividends [4] - Historically, Sirius XM did not issue a dividend due to heavy spending on infrastructure and marketing, as well as financial struggles from 2005 through 2010 [2] Investor Activity - Warren Buffett's holding company now owns $2.4 billion in Sirius XM shares, adding to its position as recently as December [1] - The company has spent hundreds of millions of dollars recently on share buybacks, and pausing that program could free up more cash to maintain the dividend yield [4] Historical Context - Sirius XM consistently posted positive profits and free cash flow for a decade straight beginning in 2015 [3] - The merger of Sirius and XM in the late 2000s significantly improved the combined company's financial prospects [2]
How Much Will Sirius XM Holdings Pay Out in Dividends in 2025?