Profitability Margin Analysis Delights Active Investors: Sirius XM Holdings Inc. (NASDAQ:SIRI)

Sirius XM Holdings Inc. (NASDAQ:SIRI) share price swings at $5.19 with percentage change of 0.78% in most recent trading session.

Pool Consensus

Lets us look over what analysts have to say about performance of the SIRI. Starting with EPS for the final quarter of this year. EPS is usually the indicator of profitability for the company. According to WSJ analysis, the Q4 2016 current estimates trends were for $0.04 as compared to the next year Q1 current trend of $0.04. While on annual basis the current EPS estimates trend for FY 2017 came in for $0.22 as compared to three months ago $0.15.

The stock prices target chart showed high target of 6 kept by analysts at WSJ while the average price target was for 5.18 as compared to current price of 5.19. Somehow, the stock managed to gain BUY ratings by 9 analysts in current tenure as 2 analyst having overweight ratings, 9 recommend as HOLD. Overall, the consensus ratings were for Overweight by the pool of analysts.

Profitability Valuation

The profit margin can answer significantly to find consistent trends in a firm’s earnings, Sirius XM Holdings Inc. (NASDAQ:SIRI) has positive 14.90% profit margin that indicates every dollar of sales a firm actually keeps in earnings, and the larger number indicates improving and vise worse. The firm has gross profit margin of 60.30% and operating profit margin calculated as 28.10%. Moving toward returns ratio, SIRI has returns on investment of 21.00% which indicates firm’s investment efficiency or to compare the efficiency of a number of different investments.

While returns on assets calculated as 9.20% that gives an idea about how efficient management is at using its assets to generate earnings. Sirius XM Holdings Inc. (NASDAQ:SIRI) has returns on equity of -113.10%, which is measuring a corporation’s profitability by revealing how much profit generates by SIRI with the shareholders’ money. The firm attains analyst recommendation of 2.20 on scale of 1-5 with week’s performance of 1.57%.

Effective Investment Valuation

To persist focus on investment valuation, Sirius XM Holdings Inc. (NASDAQ:SIRI) also have significant role in eyes of active investors, it has price to earnings growth of 1.01, which is a valuation metric for determining relative trade-off among price of a stock.

SIRI has price to earnings growth ratio of 1.01, it is adding factors in a stock’s estimated earnings growth into its current valuation that showed 34.14 by price to earning ration. Furthermore, it has price to sale ratio of 4.84 that signifies the value placed on each dollar of a firm’s sales or incomes. Forward Price to Earnings ratio of SIRI attains value of 23.27 that is projecting or estimating EPS for the next 12-months and its follow by traders who believe on anticipates of a firm’s future rather than past performance.

To have technical views, liquidity ratio of Sirius XM Holdings Inc. (NASDAQ:SIRI) calculated as 0.20. The float short ration was 18.32%; as compared to Short Ratio were 12.32. The firm has institutional ownership of 23.50%, while insider ownership included 0.20%.

 

About Gerard Bergeron

Gerard Bergeron covers Bio-pharmacy or healthcare sector Press Releases news updates. He has extensive three year of experience in content writing as freelance writer. He performs analysis of Healthcare Companies and provides worthy information for investor community. He is an experienced writer with a precise grasp of the English language and a clear, compelling writing style.

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