Sirius XM Satellite Radio could very well be headed to profitability, but just how soon in the future? Traders seem to be holding down Sirius XM’s stock ( Nasdaq: SIRI ) at .42. SIRI has been sitting at or below .42 for almost a whole month. This could be exactly where SIRI is valued, or people are waiting for the quarterly results. Sirius Radio should be presenting the results in early August. The current quarter, and the last quarter, will provide a key indication on where the stock could be heading.

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The company has struggled with debt, but largely cleared that up in the second quarter. The stock has seemed to suffer more than the company itself, as it has been completely trounced by naked short selling. There has been restrictions, finally, set in place that will keep SIRI at at least its current levels.

Estimation that revenue will grow from last quarter as Sirius has finally targeted the home market again, after realizing that new car sales are abysmal. This is where Sirius had to be all along, excessively after the introduction of the a’ la carte pricing and radios. Finally, the homeowner can justify having Sirius Radio in the house. Many people have no need to have Sirius in their car, and spend most of the time at home… $14.99 is too much to add to a $100 cable bill. $6.99 is affordable. When a company already has 20 million subscribers, it takes a lot to reach new ones. Sirius XM is picking away with offers like the iphone app and the a’ la carte radios; neither of the offerings will bring in millions of subscribers but it will help push the company into profitability.

Prediction: 2nd Quarter Results good, 3rd Quarter Results very good (profitability).

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