Berkshire Hathaway, led by Warren Buffett (Trades, Portfolio), has continued to increase its holding in Sirius XM (SIRI, Financial), a satellite radio company. According to a regulatory filing, Berkshire acquired an additional $60.7 million worth of Sirius XM shares over three days, bringing its ownership to 33.2% of the total shares. Sirius XM also owns Pandora, a music streaming platform.
Last month, Berkshire became the largest investor in Sirius XM after Liberty Media, led by John Malone, divested 83% of its Sirius XM shares. The separated shares were merged with another portion of Sirius XM's tracking stock, of which Berkshire was already the largest holder.
Following a significant sale of Bank of America shares, Berkshire Hathaway made a substantial investment in Sirius XM. A mid-October regulatory filing revealed that the conglomerate purchased $86.73 million worth of Sirius XM stock over three days, increasing its total holdings to 108.72 million shares. Berkshire has since continued to acquire additional shares, buying over 1.5 million more.
Sirius XM's stock price has declined by over half this year. Analysts suggest Berkshire's multiple investments in Sirius XM indicate a strategic move to bolster its media and technology asset portfolio.
Sirius XM, formed from the merger of Sirius Satellite Radio and XM Satellite Radio in 2008, is a North American radio entertainment company. It provides live and curated content, including music, sports, theater, talk, and news, primarily relying on in-car scenarios for steady profits. The company also acquired Pandora, a former leader in music streaming.
According to its website, Sirius XM's revenue for fiscal year 2023 reached $8.95 billion, with earnings before interest and taxes (EBIT) of $2.79 billion and net income of $1.26 billion. The company boasts a listenership of 150 million and approximately 34 million subscribers.
