Top Buzzing Stocks: Sirius XM Radio and MGM Climb Higher, Fossil SURGES 30%
Shares of Sirius XM Radio (NASDAQ:SIRI) jumped 4 percent this morning. The company reported net income of $3.13 billion (48 cents per share) for the second quarter, compared to $173.3 million (3 cents per share) a year earlier. Revenue also increased 12.5 percent to $837.5 million. “Sirius XM continued its exceptional performance in the second quarter, adding over 600,000 subscribers, which represents a post-merger record, despite the mixed macroeconomic trends. We also attained a record-level free cash flow of $230 million – the highest single quarterly free cash flow figure in Sirius XM’s history,” explained Mel Karmazin, chief executive officer. Pandora (NYSE:P) shares also increased more than 4.3 percent.
MGM Resorts International (NYSE:MGM) popped more than 6 percent this morning, despite reporting a loss for the second quarter. The casino holding company announced a loss of $145.5 million, compared to a net gain of $3.44 billion a year earlier. However, revenue surged 28.7 percent to $2.32 billion and MGM expects to refinance debt at lower rates.
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Fossil (NASDAQ:FOSL) shares surged 31.85 percent this morning after announcing better-than-expected financial results for the second quarter. Net income increased 11.6 percent to $57.3 million (92 cents per share), compared to $51.4 million (80 cents per share) a year earlier. Fossil reported adjusted net income of 93 cents per share. By that measure, the company beat the mean estimate of 79 cents per share. “Our better-than-expected Second Quarter performance resulted in double-digit increases in sales and earnings, representing another record performance for the Company and highlighted several noteworthy accomplishments toward our near and long term goals,” stated Mike Kovar, executive vice president and chief financial officer.
Chesapeake Energy (NYSE:CHK) shares gained 10.29 percent this morning. The natural gas giant announced that net income in the second quarter surged 90.6 percent to $972 million ($1.29 per share), compared to $510 million (68 cents per share) a year earlier. Aubrey K. McClendon, Chesapeake’s Chief Executive Officer, said, “We are taking aggressive and focused actions to increase cash flow and net asset value per share while also reducing long-term debt as we continue our ongoing transformation to a more balanced asset base between higher-margin liquids and lower-margin natural gas. We are prudently deploying our capital as we focus on developing and harvesting the 10 core plays in which Chesapeake has built a number one or two position.”
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