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No. of Recommendations: 8
I've read through a lot of post on this message board and it seems to me unfair that some people are recommending a company without making any reference to the historical behavior of the stock SIRI. SIRI the company is a good investment if you can take a 60% hit on your investment. Encouraging someone to buy a company based on hype is very unethical.

There are so many bargains in the stock market it is not worth your money pursuing a stock like SIRI.

In Jan, 2004 sirius promised to reach a million subscribers by year end. We were not informed that it will take about $250 million and an additional 600 million by way of contracts with NFL and Howard Stern to achieve the 1 million mark. Even if Sirius gets 2 million subscribers by year end it still does not justify the current price of 6.25.

All the action you see now are due to short cover. You cannot compare SIRI to TASR, TZOO, ERES, GOOG, CSCO, or MFST as some will want you to believe. The diffence between SIRI and the companies mentioned above is that they were all making money and had no debt during their run up days. SIRI management already sold out the shares on the shareholders so that any potential benefits that the shareholders would have reaped from the company has been discounted by way of stock options. Currently, there are still about 300 million stock options outstanding.

If you made 40% in a stock under one month that is (40 x 12) 480% pa on your investment. Get out! Don't be GREEDY!

My strategy:
1) Bearish - Buy a Jan put, wait for a major price dip then write a Dec put and buy a Jan call at same time (ThreeLegFOOL).

2) Bullish - Buy 20,000 shares of SIRI @ $6.75 wait for $9.5 and sell a Jan call.

If my first strategy fails I'll lose about $3,000 dollars. On the other hand, if my second strategy fails I'll lose about $40,000. Choose one?
I call my first strategy the ThreeLegFool.


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