Sirius XM (NASDAQ:SIRI) Issues Quarterly Earnings Results, Beats Estimates By $0.01 EPS

Sirius XM (NASDAQ:SIRI) posted its quarterly earnings data on Thursday. The company reported $0.78 earnings per share for the quarter, topping analysts’ consensus estimates of $0.77 by $0.01, FiscalAI reports. The company had revenue of $2.15 billion for the quarter, compared to analyst estimates of $2.16 billion. Sirius XM had a net margin of 10.23% and a return on equity of 9.37%. The firm’s revenue for the quarter was down .4% on a year-over-year basis. During the same period in the prior year, the company posted $0.84 EPS.

Here are the key takeaways from Sirius XM’s conference call:

• Sirius XM raised its 2026 guidance for the third consecutive time, now targeting approximately $8.55 billion in revenue, $2.65 billion in adjusted EBITDA, and $1.4 billion in free cash flow. EBITDA rose 3% and free cash flow increased 14% in the third quarter.
• The subscription business showed signs of stabilization, with 5,000 positive self-pay net additions, improved churn of approximately 1.5%, stable ARPU of $15.18, and average listening time up 5% year over year. Companion plans and extended-duration dealer programs helped offset weaker conversion rates, though management is prioritizing subscriber lifetime value over aggressive volume growth.
• Advertising momentum is strongest in podcasting and programmatic, which grew 20% and 21%, respectively, in the Pandora and Off Platform segment. The YouTube Audio relationship expands SiriusXM Media’s reach to approximately 255 million monthly listeners, although management expects the partnership’s more meaningful financial contribution primarily in the second half of 2027 and beyond.
• Cost discipline and lower capital spending are strengthening cash generation: the company has realized $96 million of its planned $100 million in 2026 gross cost savings and reduced net leverage to 3.3 times adjusted EBITDA. Management said this financial flexibility could support a meaningful increase in share repurchases in 2027 while maintaining the dividend.
• Fourth-quarter trends are expected to be more challenging, as Continuous Service benefits anniversary, conversion pressures persist, and promotional acquisition becomes more disciplined. Elevated memory-chip costs will continue to weigh on equipment revenue and margins, while targeted increases in marketing spending and other investments may contribute to fourth-quarter margin contraction.

Sirius XM Price Performance

Shares of SIRI stock traded up $0.87 during trading hours on Thursday, hitting $28.19. 3,398,143 shares of the company’s stock were exchanged, compared to its average volume of 4,773,733. Sirius XM has a fifty-two week low of $19.76 and a fifty-two week high of $32.66. The firm has a market cap of $9.50 billion, a P/E ratio of 11.28, a P/E/G ratio of 0.50 and a beta of 0.98. The company has a quick ratio of 0.46, a current ratio of 0.46 and a debt-to-equity ratio of 0.79. The firm has a 50 day moving average of $27.51 and a two-hundred day moving average of $26.09.

Sirius XM Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, November 23rd. Stockholders of record on Friday, November 6th will be paid a dividend of $0.27 per share. This represents a $1.08 annualized dividend and a dividend yield of 3.8%. The ex-dividend date of this dividend is Friday, November 6th. Sirius XM’s dividend payout ratio is presently 43.20%.

Analysts Set New Price Targets

A number of brokerages have recently commented on SIRI. Guggenheim reaffirmed a “buy” rating and set a $37.00 target price (up from $35.00) on shares of Sirius XM in a research report on Thursday, September 17th. Wolfe Research began coverage on shares of Sirius XM in a report on Wednesday, September 2nd. They set an “outperform” rating on the stock. Scotiabank began coverage on Sirius XM in a research report on Wednesday, September 2nd. They set an “outperform” rating for the company. JPMorgan Chase & Co. upped their price target on shares of Sirius XM from $26.00 to $34.00 and gave the company a “neutral” rating in a report on Friday, July 31st. Finally, Wells Fargo & Company reaffirmed a “hold” rating on shares of Sirius XM in a research report on Friday, October 2nd. Eight analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat, Sirius XM has a consensus rating of “Hold” and a consensus target price of $32.15.

Key Sirius XM News

Here are the key news stories impacting Sirius XM this week:

• Positive Sentiment: Adjusted earnings beat estimates: Sirius XM reported quarterly earnings of $0.78 per share, ahead of the $0.76–$0.77 analyst consensus, although earnings declined from $0.84 a year earlier. Sirius XM Tops Q3 Earnings Estimates
• Positive Sentiment: Improved outlook: Sirius XM raised its 2026 outlook following the quarter, signaling management’s confidence in operating performance and cash generation. Sirius XM Raises 2026 Outlook on Strong Q3 Results
• Neutral Sentiment: Stable subscriber base: The company’s subscriber count held steady at approximately 33 million, suggesting limited near-term customer attrition but little evidence of meaningful subscriber growth. SiriusXM Q3 Revenue Edges Down, Subscriber Count Holds Steady
• Negative Sentiment: Revenue remained soft: Quarterly revenue was approximately $2.15 billion, slightly below the $2.16 billion consensus and down about 0.4% year over year. The reported full-year revenue outlook of $8.55 billion at the midpoint was also modestly below analyst expectations. Sirius XM Reports Q3 Results In Line With Expectations

Insider Transactions at Sirius XM

In other Sirius XM news, Director Jonelle Procope sold 16,672 shares of the company’s stock in a transaction on Thursday, August 6th. The shares were sold at an average price of $29.97, for a total transaction of $499,659.84. Following the completion of the transaction, the director directly owned 18,354 shares in the company, valued at approximately $550,069.38. This represents a 47.60% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Corporate insiders own 3.27% of the company’s stock.

About Sirius XM

Sirius XM Holdings Inc is a media and entertainment company that provides subscription-based audio programming through its SiriusXM service. The company delivers a broad range of commercial-free music, live sports, news, talk and entertainment programming, including exclusive channels, original shows and coverage of major events.

SiriusXM content is distributed primarily through satellite radio and internet streaming. Subscribers can access the service in vehicles, through the SiriusXM mobile app and website, and on supported connected devices.