Ahead of Earnings, Wunderlich 'Skeptical that SIRIUS XM Management Will Raise Guidance' (SIRI)

With earnings season in full-swing, Wunderlich Securities remains "skeptical that [Sirius XM SIRI] management will raise guidance" ahead of its earnings announcement. The company is scheduled to release 1Q11 earnings on the morning of May 3. Sirius XM Radio Inc. is engaged in broadcasting music, sports, news, talk, entertainment, traffic and weather channels in the United States on a subscription fee basis through its two satellite radio systems. Wunderlich "estimate[s] that SIRI gained 275K customers in 1Q11, with some benefit from slowing retail channel erosion. We have sales up 9.6% to $735.2 million, with adjusted income from operations up 11.8% to $176.3 million." Notably, Matthew Harrigan of Wunderlich Equity Research: "SIRIUS's implementation of its smart phone streaming apps is improving but we expect competitors such as Apple (AAPL-NR) to be increasingly aggressive in fostering consumption of content such as iTunes across devices, particularly in the car." Wunderlich forecasts that SIRI EPS will come in at $0.01. Shares of SIRI closed higher by a penny Wednesday, to $1.98.