NEW YORK (TheStreet) -- Sirius XM (SIRI) shares are up 1.2% to $3.62 on Wednesday after the company increased its 2014 net subscribers growth to 1.45 million from its previous estimates of 1.25 million.
The pay satellite radio company also reaffirmed its full year revenue guidance of $4.1 billion.
Analysts at Wunderlich Securities reiterated their "hold" rating and $3.50 price target on the company's shares today in response to the improved guidance.
"The increase is not surprising given strong U.S. auto sales and benefit for paid promotional subscriber activity, complemented by Sirius XM's emphasis on volume activity vs. pricing," said the firm.
TheStreet Ratings team rates SIRIUS XM HOLDINGS INC as a Buy with a ratings score of B-. TheStreet Ratings Team has this to say about their recommendation:
"We rate SIRIUS XM HOLDINGS INC (SIRI) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, good cash flow from operations and expanding profit margins. We feel these strengths outweigh the fact that the company has had lackluster performance in the stock itself."