SIRI stock goes into the toilet.

[TheForce]

Today, SIRI stock dipped below a dollar a share.

What will happen if it remains low? Loss of stock exchange trading? Will it become an over the counter stock? I don't know but was just curious.

Scott- where are you on Satellite Radio news? Maybe you need to pay closer attention to this because something smells like a move is in the works. It;s the only satellite radio we have after the merger.

 

[meStevo]

Sirius XM Having Trouble Paying Off Debt

Same old stuff, different company.

 

[paja]

Today, SIRI stock dipped below a dollar a share.

What will happen if it remains low? Loss of stock exchange trading? Will it become an over the counter stock? I don't know but was just curious.

Scott- where are you on Satellite Radio news? Maybe you need to pay closer attention to this because something smells like a move is in the works. It;s the only satellite radio we have after the merger.

Could be the beginning of the end for satrad . Maybe a hostile takeover. Certainly a service that will become more cookie cutter, less innovative, and generally worse.

 

[AllieVi]

Today, SIRI stock dipped below a dollar a share.

What will happen if it remains low? Loss of stock exchange trading? Will it become an over the counter stock? I don't know but was just curious. …

I wouldn’t worry about a delisting any time soon. What could happen is a reverse-split to bring the price up if it becomes a real problem.

One thing doesn’t make any sense to me. How could this stock have dropped so much since I don’t own any?

 

[AllieVi]

I got 1000 shares today at 88 cents each and sold the January 2015 $2.50 call for 20 cents/share, so I’m out-of-pocket 68 cents/sh. Just a lark, but we’ll see what happens.

 

[BobMurdoch]

I'm stuck with 700 shares I bought in various quantities between $2.20 and $3.50 a share 4 years ago.

Sigh. How could a product so good, with such lousy competitors in broadcast radio be having such a problem making money with 18 million subscribers.....?

Ah yes, the FCC, which cost them a billion by dragging things out.....

 

[Scott Greczkowski]

Damn should have got some Sirius earlier in the week, its up to a buck now.

 

[VinceT3]

it takes 6 months below a buck to be delisted.. though it can be sooner.. it's up to the stock exchange..

 

[dangue]

I bought a bunch of stock earlier in the week when it was at 79 cents a share. I really wanted to jump the day before when I saw it at 68 cents, but my broker requires an extra day before money is cleared for the purchase of stock listed at under $1. Oh well, still a lot more upside than downside (based on analysts' target prices that I've seen), just a bit annoying that I wasn't able to move on it when I wanted.

 

[AllieVi]

… my broker requires an extra day before money is cleared for the purchase of stock listed at under $1.

I’m not familiar with that requirement or why it would affect your ability to execute an order. Who is your broker?

By the way, in my prior post I made an error – the $2.50 option I sold expires in 2010, not 2015. I can’t edit that post to make the correction (editing ability expires after a certain period?).

 

[dangue]

Charles Schwab.

I called about it because I was annoyed and I got some song and dance about increased volatility of stocks that are priced at under a dollar and this being a banking standard they adhere to. It seems to me that if this is the case, their purchase fee should be reduced since their are greater limitations on my ability to transact.

Not a big deal, just a minor inconvenience. Here's hoping that buying into a down market works like it should. That not working out long term would be the real inconvenience.

 

[AllieVi]

Damn should have got some Sirius earlier in the week, its up to a buck now.

It's back down to 85 cents again. I'm getting some more.

 

[Stargazer]

Up down and all around. If the stock market keeps acting this crazy one could figure out when it was low then sell it a week or less later and make a nice profit.

 

[Ramy]

It's back down to .79

 

[philhu]

I'm stuck with 700 shares I bought in various quantities between $2.20 and $3.50 a share 4 years ago.

Sigh. How could a product so good, with such lousy competitors in broadcast radio be having such a problem making money with 18 million subscribers.....?

Ah yes, the FCC, which cost them a billion by dragging things out.....

Give $300 million contracts to idiots like Stern

 

[charper1]

Time to buy it for me; the nervousness of stocks in general, but especially fad or luxury items such as satellite radio are just not things people are into, and there are FAR too many non-serious investors in the market these days, but I would buy this up en mass.

 

[AllieVi]

I made three 1000-share purchases recently @ 90, 88 and 78 cents. Each time I sold the Jan 2010 $2.50 call option for 20 cents a share. With commissions and after option proceeds, my overall outlay is $2,030.47, or 68 cents a share.

The option bid/ask quotes have remained surprisingly stable with the stock price fluctuations. They’ve been 20 cents bid/25 cents asked while the stock has ranged from about 75 cents to a dollar.

 

[AllieVi]

SIRI dropped to 60 cents this morning - I got more and sold more options.

The option activity is a bit unusual. Lots of January 2010 call options at an exercise price of $2.50 are trading and the bid price has remained at 20 cents while the stock has traded from a dollar to this point. The $5 option is also seeing a lot of activity.

I would expect a stock that trades in SIRI’s range to have these options priced in the 5-10 cent range, but more likely not even trade at all.

 

[Neutron]

Down to 32 cents a share now.

 

[Ramy]

I am thinking of buying some now.