UPDATE: Wunderlich Securities Upgrades Sirius XM on Reactivated Radio Funnel From Non-Cyborg Cars

In a report published Friday, Wunderlich Securities analyst Matthew Harrigan upgraded the rating on

from Hold to Buy, but lowered the price target from $4.50 to $4.20. In the report, Wunderlich Securities noted, “We are raising our rating on Sirius XM Radio (SIRI) to Buy from Hold while (Scroogishly) moderating our price target to $4.20 from $4.50, arrived at through a discounted cash flow approach that values SIRI relative to the S&P 500. This follows a 17% sell-off from the 12-month high, which we attribute largely to concerns over smart dashboard alternatives in the vehicle, perhaps even exacerbated by the attention that Google (GOOG-NR), Volvo, Tesla (TSLA-NR) and others are getting for self-driving vehicles that afford more ‘Jetsons latitude' for video viewing. (All long-term variables have to be assessed in a forecast that extends to 2020.) Sirius XM is extremely attentive to all competition and is looking to enhance its product suite for telematics via the Agero acquisition.” Sirius XM closed on Thursday at $3.43.