The Howard Stern effect

Stern Well, the big day for Howard Stern (don’t even think about looking at his website!) is coming this Monday as he goes on Sirius uncut and uncencored…. though I have a feeling the FCC will figure a way to cencor him by years end.

What I like about Sirius, and why I am still a stock holder even after Jim Cramer told me to sell last week is that it is clear "the Stern factor" will greatly change satelite radio. And the numbers are backing this up. They said they’d likely have 3 million subscribers by New Year’s and they had 3.3 million.

But I like that they took a massive risk and it has so far paid off. As for Jim Craimer’s comments about Sirius being oversold, I understand that too… but this is a long position for me.

Stern1 The flipside of Howard Stern is David Stern, the NBA’s commisioner. He is conservative and if it weren’t for the NBA draft no one would know who the guy was or what he looked like. When I think about David Stern, I think "safe play" and little profit. When I think of Howard Stern I think big risk and maximum potential for payout.


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