Sirius XM Satellite Radio’s (Nasdaq:SIRI) stock has floundered lately. In addition to low volume car sales, news of executive stock selling has devalued the market value. SIRI is currently sitting right above .50, in danger of being delisted. This leaves many questions to potential investors. This leaves many questions to current investors. Sirius, for the time being, has been saved from bankrupts but the fear still looms over the minds of investors.

Sirius will not be desisted as shareholders have already approved a significant reverse stock-split. Reverse splits rarely have the effect that they are meant to. The latest companies who have tried this tactic saw no increased value to their stock, in fact in most cases it lowered value. Sirius can be looked at differently however, as the company will only move on the reverse-split if it cannot get above 1.00 in the months prior to the de-listing date.

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Sirius is a stock that people love to hate. The amount of good the company does is always outweighed by the amount of bad the stock goes through. If the economy looked like it would rebound this year, the stock would be significantly undervalued. Sirius XM’s real problem is not the lack of car sales but the lack of an end to this economic downturn. Instead of looking at the economy congress is looking at healthcare. Instead of looking toward long term economic goals congress is looking at short-term, waste of money stimulus. Regardless, Sirius XM is posed to see an increase in subscribers 3rd quarter as the affects of Cash for Clunkers ( incredibly stupid program,) has yet to be realized. Sirius very well could have a good Christmas, as this will truly be the first of the merged companies. While the merger took place mid 2008, merger of the two services on the retail end was nonexistent. Expect to see one Sirius XM display this Christmas instead of seeing one Sirius display and one XM display.