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Sirius XM (SIRI) to Report Q1 Earnings: What's in the Cards?

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Sirius XM Holdings (SIRI - Free Report) is set to report first-quarter 2021 results on Apr 28.

The Zacks Consensus Estimate for revenues is pegged at $2 billion, implying growth of 2.35% from the year-ago reported figure.

Meanwhile, the Zacks Consensus Estimate for earnings stayed at 6 cents per share over the past 30 days, indicating a decline of 14.2% from the year-ago reported figure.

The company’s earnings met the Zacks Consensus Estimate in two of the trailing four quarters, while beating the same in the remaining two quarters, the average surprise being 20%.

Let’s see how things have shaped up for this announcement.

Sirius XM Holdings Inc. Price and EPS Surprise

Sirius XM Holdings Inc. Price and EPS Surprise

Sirius XM Holdings Inc. price-eps-surprise | Sirius XM Holdings Inc. Quote

Solid Content Portfolio to Boost User Base

Sirius XM is expected to have benefited from its solid content portfolio and an expanding partner base in the to-be-reported quarter.

The company’s partnerships with the likes of Masters Tournament and the National Football League have been key catalysts.

On Jan 8, 2021 Sirius XM announced expansion of its multi-year agreement with The National Basketball Association (NBA), which is expected to have aided subscriber growth. Per the deal, SiriusXM subscribers with the SiriusXM Premier Streaming Package have gained access to live audio broadcasts for every NBA game, starting with the 2020-21 NBA season.

Moreover, SiriusXM collaborated with T-Mobile (TMUS - Free Report) to provide the latter’s wireless customers exclusive access to a free, first-of-its-kind Pandora streaming experience with unprecedented listener benefits, including ad-free radio weekends in the to-be-reported quarter.

Further, Sirius XM’s expanding partner base of automakers including General Motors, BMW and Toyota Motors is driving the adoption of its audio entertainment services.

Sirius XM has also inked extended connected vehicle agreements with Nissan and Infiniti till 2022. Additionally, the company extended agreements with OEMs like Audi, Mazda, Land Rover, Mercedes-Benz, Jaguar and Volvo.

Meanwhile, the extended broadcasting deal with radio personality Howard Stern is in line with SiriusXM’s strategy of collaborating with artists and organizations in order to expand its content portfolio.

Moreover, during the first quarter of 2021, SiriusXM launched Disney Hits, a brand-new, first-of-its-kind music channel, which is expected to have attracted subscribers especially kids. The channel showcases songs from classics such as The Lion King, Beauty and the Beast, and Toy Story to newer favourites such as Frozen 2, Moana, High School Musical: The Musical: The Series, Descendants 2 and many more.

This is expected to have helped this Zacks Rank #2 (Buy) company compete better with music streaming providers including Spotify (SPOT - Free Report) , Amazon (AMZN - Free Report) and Apple.

You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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