Even though Sirius Satellite Radio reported revenue growth of 45 percent over this time last year, the company failed to hit analyst estimates of $244.7, causing Sirius stock to plummet 8.9 percent. The news put an even bigger dent in XM Radio's stock price, which fell 11 percent.
This may seem like bad news for both companies, but the shortfall and stock drops could help them convince the FCC to approve their merger, which they claim is necessary in order to compete with internet-based music services, iPods, and other sources of music.
(One big Sirius stockholder, Howard Stern, filed to sell all of hisSirius shares -- originally valued at $200 million -- early last year,
just three days after he signed his contract with the company, but I can't find any record of him having sold the stock.)
