Goodbye Sirius and Texas Roadhouse

Today I sold some stocks. There were a couple of dogs in my otherwise solid performing portfolio.

I had been a huge fan of Sirius and backed up my personal enthusiasm with investments from my IRA. After a couple of years of listening to the promises of long awaited profit and the ever present merger with XM Satellite I have decided we’ve waited long enough. While satellite radio is cool for those who travel a lot my guy tells me that the satellite radio fad is quickly fading. And unless they unleash low-cost TV and internet, there doesn’t seem to be any hope of explosive growth without undergoing much more R&D and launching more satellites… meaning they’d have to go into more debt!

We also had been fans of Texas Roadhouse. We like the food. We like the prices. My issue is that the business model doesn’t seem to represent who I am.  While they are a nice chain I’m just not seeing enough out of them to want to keep investing in them. And apparently with recent performance on the markets, my feelings are not unique.

This market is all about value.  And a satellite radio company mired in debt and a not-so-unique food chain represent two things, to me, which consumers will easily cut out of their family budgets. So I’ll be investing the proceeds from these sales into companies who better represent my own convictions for profiting in a value-driven economy. After all, it’s not like people stopped spending money.


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2 responses to “Goodbye Sirius and Texas Roadhouse”

  1. William Hartz Avatar

    I had to leave a comment on this one because of something I just saw. I subscribe here via Google Reader in addition to a bunch of other feeds. Well, I read this post, scrolled down about 3 and read the following:

    “XM and Sirius Merger APPROVED!”

    here’s the link: http://www.engadget.com/2008/03/24/xm-sirius-merger-approved/

  2. adam mclane Avatar

    I did see that. It cost me about 8 cents per share. My opinion is that the stock isn’t going to rebound the $4-5 share I lost on it. I think that even combined they are going bankrupt. But that is just me.

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