-- CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:
SIRI delivered encouraging Q1 results with revenue growing to $2.09B (+1% Y/Y) and self-pay subscriber net additions improving significantly to -111k vs -303k in the prior year, achieving the lowest first-quarter churn rate in company history at 1.5%. Profitability metrics showed strong expansion with adjusted EBITDA growing 6% Y/Y to $666M and margins expanding 140 bps to 32%, while free cash flow more than tripled to $171M. Management reaffirmed 2026 guidance targeting revenue of $8.5B, adjusted EBITDA of $2.6B, and free cash flow of $1.35B. The company announced a landmark partnership with YouTube as exclusive U.S. advertising representative for YouTube's audio inventory, expanding reach to 255M monthly listeners. We believe the improved subscriber retention metrics and strong free cash flow generation demonstrate progress in stabilizing the core business, and we expect management's target of $1.5B free cash flow by 2027 and $100M in additional cost savings to drive further value creation.