I am a Sirius XM stock holder, and I’m curious what would happen to my stock if the company filed for bankruptcy.
I am a Sirius XM stock holder, and I’m curious what would happen to my stock if the company filed for bankruptcy.
8 Jun
10:33 pm on June 8th, 2010
99.44% of the time it becomes worthless. This will most likely be the case with Sirius.
10:49 pm on June 8th, 2010
The common shares to “money heaven.” They are worthless. I guess you could keep the paper stock certificate as a collector’s item like some people keep newspaper articles. Some of my ancestor’s had a stock certificate of a Cuban based company which had no value after the Castro revolution.
11:03 pm on June 8th, 2010
As shareholders receive a share of the profits of a company, if there are no profits, the shareholder gets nothing. And if the company goes bankrupt, it is wound down and any assets are liquidated and paid to the creditors. If there is anything left it will be distributed to shareholders. However, that is extremely unlikely – companies usually only file bankruptcy if liabilities exceed assets.
12:00 am on June 9th, 2010
it is going to be ” 0″ if there is no company ermerge ( or buy ) it. but there is great opportunity if there is company to buy it!
suggestions: do not be greedy in stock market! run asa you get your target profit!
i am from china with 18 years trading experiences . i would like to share it with you if u need in future.
good luck!
12:37 am on June 9th, 2010
I recently sold my shares of siri for .12.. if they dont do a r/s (reverse split) or issue more shares to cover their debt, they will most likely file. Although bankruptcy is not necessarily a bad thing (depending on what chapter they file), in the eyes of the common shareholder its a bad sign and they panic and will well hence a very rapid drop in pps.
1:02 am on June 9th, 2010
I have written and warned about avoiding this on or about the fall of 2007 and thereafter.
The answer is the stock will go to zero.
The debt exceeds the assets of the (combined) company. Therefore shareholder value will be wiped out when any bankruptcy is filed then complete.
Don’t kid yourself, there is no opportunity here, unless you are looking for deliberate tax losses.
Sold XMSR around $12 or so on or about Dec’ish 2007. Avoided since.
last post on this subject:
“What do you think about SIRI, satelite radio stock?”
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