As Sirius Launches Video, Stock Hits 52-Week Low

Posted: March 30, 2007 at 11:53 am

The S&P is flat for the year. Sirius (SIRI) is not. Down about 7%, it hit a 52-week low today at $3.18. The stock actually has not been that low since 2004.

Sirius announced live rear-seat video with Chrysler (DCX). It would appear to be a popular service. Rear-seat DVD players sell well. After paying for the SIRI hardware, the first year of service is free.

Wall St. does not seem to care. The focus continues to be on the slow progress that the company is making on its proposed merger with XM (XMSR) and concerns that the company could run low on money if subscription growth slows at all. SIRI already has $1 billion in debt.

Maybe if the stock keeps falling, Chrysler can just buy the company. That is, one Chrysler is sold.

Douglas A. McIntyre

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