This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Sirius XM Stock Again Flirts With $1 -- Why?

(Sirius story updated with stock price changes.)
NEW YORK (TheStreet) -- Since April 14, Sirius XM (SIRI) stock has almost consistently closed above $1 (aside from small dips below the dollar on the 20th and the 25th of May).

Then suddenly, on Wednesday, Sirius XM stock plunged 10.3%, ending the trading session at 88 cents; the dip was far more pronounced than any recent declines, triggering flashbacks to the days where Sirius XM faced delisting threats from the NASDAQ.

Was the drop through any fault of Sirius XM -- or just a stock caught in the sweeping tide of a tumbling market?

Note that the stock has taken back losses Thursday morning, jumping 15.4% to $1.02.

"The de-listing overhang will likely continue to linger for investors, so long as the shares continue to exhibit their characteristic day-to-day volatility -- which has been particularly magnified around the sentimental $1 threshold -- perhaps understandably," S&P analyst Tuna Amobi said.

Still, what has happened recently, explained Amobi, is simply that "the overall market volatility has had a fairly pronounced adverse impact on Sirius XM."

Otherwise, Amobi hasn't made any changes in his hold recommendation on shares of Sirius XM.

David Joyce of Miller Tabak agrees that there's not much he can interpret from the closing share price figure Wednesday, and dismissed the decline as insignificant.

"It's just above and below it [$1] by a few pennies," he said.

Still, David Trainer, the president of New Constructs, felt that the Sirius XM had suffered a beat-down that was well-deserved.

More on Sirius XM
Sirius XM: 3 Biggest Risks

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,979.13 +59.54 0.35%
S&P 500 1,986.51 +4.91 0.25%
NASDAQ 4,526.4820 -1.0320 -0.02%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs