Q4 Earnings Estimates are Exceeded by Sirius XM (SIRI)

Sirius XM (SIRI) exceeded the Zacks Consensus Estimate of $0.07 per share with quarterly profits of $0.09. This compared to $0.09 per share last year. Adjusted for non-recurring items.

Its quarterly earnings surprise is 28.57%. This satellite radio firm surprised 12.50% by posting $0.09 per share earnings a quarter ago. Two times in the previous four quarters, the firm exceeded consensus EPS projections.

Zacks Broadcast Radio and Television sector member Sirius XM missed the Zacks Consensus Estimate by 0.42% with $2.29 billion in quarterly revenues for December 2023. Revenues were $2.28 billion last year. Recently, the firm has failed to beat consensus revenue projections for four quarters.

Management's earnings call commentary will determine whether the stock's quick price movement based on recently published figures and future earnings estimates will last. Since January, Sirius XM shares have fallen 7% while the S&P 500 has gained 1.6%.  Investors wonder what's next for Sirius XM, which has underperformed the market this year.

The company's profits projections can assist investors answer this important issue, but there are no easy solutions. This includes current consensus earnings predictions for the coming quarter(s) and their recent changes.

Near-term market fluctuations and earnings estimate revisions are strongly correlated, according to empirical studies. Investors may follow earnings estimate revisions themselves or use the Zacks Rank, which has a proven track record of doing so.

Sirius XM estimate revisions are negative before this earnings announcement. After the company's earnings announcement, estimate revisions may alter, but the stock has a Zacks Rank #4 (Sell). Therefore, the shares are projected to underperform the market soon. See all today's Zacks #1 Rank (Strong Buy) stocks here.

It will be fascinating to observe how quarter and fiscal year projections adjust. The average EPS forecast for the approaching quarter is $0.06 on $2.18 billion in revenues and $0.32 on $9.16 billion for the current fiscal year. Investors should be aware that industry outlook might affect stock performance. Broadcast Radio and Television ranks 29% under the 250+ Zacks industries. Our analysis reveals that the top 50% of Zacks-ranked sectors beat the bottom 50% by more than 2 to 1.

Another industry stock, fuboTV Inc. (FUBO), has not reported results for the quarter ending December 2023. This firm is predicted to report a $0.25 per share quarterly loss, up 47.9% year-over-year. Over the past 30 days, the consensus quarter EPS estimate has dropped 1.3%.

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