Stockchase Opinions

David Baskin XM Satellite Radio Holdings Inc. XMSR-Q DON'T BUY Mar 29, 2005

Opinions are all over the map. In competition with Sirius Satellite (SIRI-Q). Both have satelittes operating and are each other to attract individual users/ car makers (installations on new cars). Subscriber base is not being built as fast as many had hoped. Sirius will be cash flow negative for at least 1/2 years and has a lot of shares outstanding. Speculative.
$30.950

Stock price when the opinion was issued

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TOP PICK
Loves the satellite radio business. Going to be a home run.
TOP PICK
DON'T BUY
This and Sirius are very exciting growth plays in the US market, but there are no earnings. It's all blue sky. There's no doubt that these radios will be installed into cars. Have gone up, but would prefer them to have some earnings. Fairly speculative.
DON'T BUY
Not a buy for him as it has over $1 billion in debt. It's growing quickly, but to put a value on it he would need a little bit more to play with. Still a lot of challlenges ahead.