3 Reasons Why Sirius XM Stock Fell Despite a Blowout Quarter
Sirius XM Holdings (NASDAQ: SIRI) delivered a knockout financial performance at first glance. Revenue in the third quarter clocked in at $1.38 billion, a mere 8% advance but just ahead of the 7% that analysts were targeting. Diluted earnings per share soared 49% to $0.06, well ahead of the flat showing that Wall Street was forecasting.
The satellite radio provider also boosted its guidance for revenue, adjusted EBITDA, and free cash flow for all of 2017. The market's response was lukewarm. Sirius XM stock opened lower and was trading nearly 5% lower a couple of hours into Wednesday's session. Let's dive into the reasons why Wall Street isn't impressed.
Image source: SiriusXM Radio.
Source: Fool.com