Norges Bank has made a significant investment in Sirius XM Holdings Inc., acquiring a stake worth approximately $43.15 million. This acquisition occurred during the second quarter of 2023, as detailed in the bank’s latest filing with the U.S. Securities and Exchange Commission (SEC). The institutional investor purchased 1,878,630 shares of Sirius XM, representing about 0.56% of the company’s total shares outstanding.
The move highlights a growing trend among institutional investors in the audio entertainment sector. Other hedge funds have also increased their stakes in Sirius XM recently. For instance, Quaker Wealth Management LLC expanded its position by an impressive 214.7% during the same quarter, now holding 1,603 shares valued at $37,000. True Wealth Design LLC also boosted its holdings by 47.8%, acquiring an additional 523 shares to reach a total of 1,616 shares, valued at $37,000.
In addition to these changes, Geneos Wealth Management Inc. increased its stake by 36.7% in the first quarter, now owning 1,836 shares worth $41,000 after purchasing 493 shares more. Itau Unibanco Holding S.A. and Mid American Wealth Advisory Group Inc. also made new investments in Sirius XM, valued at $44,000 and $48,000, respectively. Overall, institutional investors now control 10.69% of Sirius XM’s stock.
Recent Insider Transactions and Earnings Report
In related news, Sirius XM’s Director, Kristina Salen, sold 1,845 shares of the company’s stock on November 3, 2023, at an average price of $21.64, totaling approximately $39,926. Following this transaction, Salen holds 19,969 shares valued at about $432,129. This sale represents an 8.46% decrease in her position. Currently, insiders own 3.32% of the company’s stock.
Sirius XM reported its quarterly earnings on October 30, 2023, showing a 2.1% increase in stock value following the announcement. The company achieved earnings of $0.84 per share, surpassing analysts’ expectations of $0.79 by $0.05. Despite this positive outcome, revenue for the quarter was $2.16 billion, slightly below the anticipated $2.14 billion and down 0.6% compared to the same quarter last year.
Dividend Announcement and Analysts’ Ratings
Sirius XM has also declared a quarterly dividend of $0.27 per share, which was paid on November 21, 2023, to shareholders recorded as of November 5, 2023. This annualizes to $1.08 per share, reflecting a yield of 4.9%. The company’s dividend payout ratio currently stands at 38.16%.
Various research firms have shared their outlook on Sirius XM’s stock. Weiss Ratings has maintained a “hold (C-)” rating, while Benchmark has upgraded its target price to $30.00 from $28.00, affirming a “buy” rating. Additionally, Barrington Research has a target price of $28.00 with an “outperform” rating. Conversely, JPMorgan Chase & Co. adjusted its price objective from $19.00 to $20.00, giving the stock an “underweight” rating.
Overall, one investment analyst has rated Sirius XM with a “strong buy,” three have given it a “buy” rating, while three have issued a “hold” recommendation, and three have rated it as a “sell.” According to MarketBeat, the company has an average rating of “hold” with a target price of $24.29.
Sirius XM Holdings Inc. continues to operate as a leading audio entertainment provider in North America, delivering a wide range of music, sports, and talk content through its Sirius XM and Pandora platforms.
