JPMorgan analyst Sebastiano Petti upgraded Sirius XM Holdings (SIRI) to Overweight from Neutral ahead of the close of the company's Pandora Media (P) acquisition. The analyst raised his price target for the shares to $7 from $6. Sirius XM shares are attractively following the 25% pullback from the 2018 highs, Petti tells investors in a research note. He looks for the company's "strong results year-to-date to persist" in Q4 and 2019 and believes the Pandora acquisition "can augment growth in new and existing segments."

Citi upgraded Sirius XM (SIRI) to Neutral from Sell with a price target of $3.30, down from $4.10. Over the last few months, the net asset value discount between Liberty SiriusXM (LSXMA) and Sirius XM has narrowed from 40% to 2%. To Citi's surprise, this occurred via a decline in Sirius XM's equity without appreciation in Liberty SiriusXM's value. The firm now finds the risk/reward in both securities as relatively balanced. As such, Citi upgraded Sirius XM from Sell to Neutral and downgraded Liberty SiriusXM from Buy to Neutral.

Pivotal Research upgraded Sirius XM (SIRI) to Buy from Hold with a price target of $4.90, down from $5.05. The magnitude of the decline in Sirius XM's valuation has been surprising, exacerbated by a current lack of institutional ownership and the fact most investors owned parent Liberty Sirius XM (LSXMK) to play the narrowing of the net asset value gap rather than as a way to invest in Sirius, the analyst tells investors in a research note. The firm says this has created an attractive investment opportunity, highlighted by the 55% upside to its new target price. It views Sirius as a free cash flow acceleration story.