(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.
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"The reality of the Sirius's business model is beginning to be recognized by the market," he said.

Trainer -- a serious bear regarding Sirius XM -- warns that there's an aberration between the accounting that Sirius XM publishes and what their actual cash flows are. How long companies like Sirius XM, which Trainer has a dangerous rating on, can continue to get away with these aberrations through strong investment banking relationships and a good public relations team remains to be seen, Trainer said.

"The combination of neutral economic EPS with a rich stock valuation drives a risk, reward rating of dangerous for SIRI," Trainer wrote in an investor note dated May 25.

Trainer, for his part, believes that economic earnings figures provide a truer measure of profitability and shareholder value creation than offered by GAAP earnings figures.

-- Reported by Andrea Tse in New York

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