Sirius XM Holdings Inc. (NASDAQ:SIRI) Announces $0.27 Quarterly Dividend

Key Points

• Sirius XM declared a quarterly dividend of $0.27 per share, payable on August 26 to shareholders of record on August 10. The dividend implies an annualized yield of about 3.6%.
• The company has raised its dividend every year for the past 7 years, and its payout ratio of 36.1% suggests the dividend is covered by earnings. Analysts expect Sirius XM to earn enough next year to keep supporting the current annual dividend.
• Shares were noted as trading down 1.5% around the announcement, while Wall Street’s overall view remains Hold with a consensus price target of $28. Sirius XM also recently reported quarterly earnings of $0.72 per share, topping estimates.

Sirius XM Holdings Inc. (NASDAQ:SIRI - Get Free Report) announced a quarterly dividend on Wednesday, July 22nd. Stockholders of record on Monday, August 10th will be given a dividend of 0.27 per share on Wednesday, August 26th. This represents a c) annualized dividend and a dividend yield of 3.6%. The ex-dividend date is Monday, August 10th.

Sirius XM has raised its dividend by an average of 0.1%per year over the last three years and has raised its dividend every year for the last 7 years. Sirius XM has a payout ratio of 36.1% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Sirius XM to earn $3.36 per share next year, which means the company should continue to be able to cover its $1.08 annual dividend with an expected future payout ratio of 32.1%.

Sirius XM Trading Down 1.5%

Shares of Sirius XM stock opened at $29.83 on Thursday. The firm's 50-day moving average price is $28.83 and its two-hundred day moving average price is $24.89. The company has a market capitalization of $10.04 billion, a price-to-earnings ratio of 12.59, a PEG ratio of 0.65 and a beta of 0.95. The company has a quick ratio of 0.44, a current ratio of 0.44 and a debt-to-equity ratio of 0.83. Sirius XM has a 12-month low of $19.76 and a 12-month high of $31.42.

Sirius XM (NASDAQ:SIRI - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The company reported $0.72 EPS for the quarter, beating the consensus estimate of $0.70 by $0.02. Sirius XM had a net margin of 9.86% and a return on equity of 9.19%. The business had revenue of $2.09 billion during the quarter, compared to the consensus estimate of $2.07 billion. During the same period in the previous year, the business earned $0.59 earnings per share. The company's revenue was up 1.1% on a year-over-year basis. On average, analysts forecast that Sirius XM will post 3.1 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

A number of equities analysts recently issued reports on the stock. JPMorgan Chase & Co. upped their price objective on shares of Sirius XM from $24.00 to $26.00 and gave the stock a "neutral" rating in a research report on Friday, May 1st. Barrington Research raised their price objective on Sirius XM from $28.00 to $32.00 and gave the stock an "outperform" rating in a research report on Monday, May 4th. Evercore set a $28.00 price objective on shares of Sirius XM in a research report on Friday, May 1st. Weiss Ratings raised shares of Sirius XM from a "hold (c)" rating to a "hold (c+)" rating in a research note on Thursday, July 9th. Finally, Morgan Stanley boosted their price target on Sirius XM from $24.00 to $28.00 and gave the company an "underweight" rating in a research note on Tuesday. Four equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and three have assigned a Sell rating to the company. According to MarketBeat, the stock presently has an average rating of "Hold" and a consensus target price of $28.00.

Sirius XM Company Profile

Sirius XM Holdings Inc is a leading audio entertainment company specializing in subscription-based satellite and streaming radio services. Formed in 2008 through the merger of Sirius Satellite Radio and XM Satellite Radio, the company delivers a broad range of programming across music, sports, news, talk and comedy channels. Sirius XM's offerings include exclusive live sports play-by-play, artist-curated music channels, news coverage from major networks and original talk and entertainment series.

Headquartered in New York City, Sirius XM serves listeners throughout the United States and Canada, reaching tens of millions of subscribers.

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