Sirius XM Holdings Inc. (NASDAQ:SIRI) continues its amazing run. Investors left Sirius XM stock for dead in the financial crisis, with shares trading in the pennies and investors who bought in big then have made a lot of money. And the fun hasn’t stopped. Sirius XM stock is having another fine year, with shares up 28% year-to-date.

But is the music about to fade? Spotify is said to be ready to make its long-awaited entrance into the public stock market. With the rise of Spotify and other streaming services, including Apple Inc (NASDAQ:AAPL) and its Apple Music platform, the good times may wind down for Sirius XM stock. On top of that, bears say Sirius XM stock is simply too expensive.

Let’s look at the various pro and con arguments for SIRI stock:

SIRI Stock Cons

Streaming Competition: Sirius XM has long competed traditionally against terrestrial radio. That form of radio has done a poor job of going digital, giving Sirius XM a huge first-mover advantage for its premium service.

However, on-demand streaming may eclipse traditional radio as we know it — at least among millennials and other more tech-savvy users. It’s true that Sirius XM has a strong niche with its exclusive content and strong talk radio offerings. However, how relevant will this be in a decade, as fewer and fewer folks own their cars and alternatives such as Spotify are increasingly built into dashboards too? Sirius has a great business now, but I’m not sure it will still be able to grow in the coming years.

Small Dividend: The SIRI stock dividend is deeply unimpressive. Sirius stock currently pays a paltry 4.4 cents a year in dividends. That adds up to an annual yield of just 0.77%.

Now, to be fair to Sirius, they did just increase the annual dividend by 10%. But on a base that small, it’s still chump change. Then again, with earnings of just 17 cents per share last year, even a 4 1/2-cent dividend represents a meaningful portion of earnings. SIRI is never going to be a big cash cow dividend-payer, as many investors expect from their media holdings.

Expensive Stock: On that note, Sirius isn’t earning enough to justify its market cap. It trades at a 36 price-to-trailing-earnings ratio, which would be pricey even for a high-flying growth stock. Analysts think earnings will jump sharply next year, taking the forward P/E ratio to a more modest 25.

Even that seems ambitious though. Sirius has a negative book value, as it has more liabilities than assets. Shareholders can claim its brand value is a “hidden asset,” but in a world of increasing demand from more ambitious on-demand competitors, how long will that brand hold value? At this price, investors are betting on this company to grow heavily in the future, despite its modest past growth rate and so-so industry outlook.

SIRI Stock Pros

Better Positioned Than Terrestrial Radio: While there is good reason to be skeptical of radio in general in coming years, Sirius does have one big advantage in that it relies on subscribers rather than advertising.

Over at Sirius, just three percent of revenues come from advertising, with the lion’s share coming from subscriber revenue. This gives Sirius a far more stable business than traditional over-the-air radio, which has no subscription revenue and must, instead, rely on fickle local advertisers to pay the bulk of the bills. During the next recession, Sirius is likely to fare particularly well against its closest traditional rivals.

Better Positioned Than Spotify: This one is less clearly evident than the previous point, but bulls make the argument that Sirius XM has the better business model, despite having the older and less exciting technology. And it’s a good argument.

Spotify is bleeding money. It is forced to pay too much to license songs from the labels and, because of this, it seems to lose more money the more users it attracts. Traditional radio services, by contrast, are exempt from the performance licensing fees that have caused Spotify and Pandora Media Inc (NYSE:P) to bleed money. Sirius XM, free of that obligation, has grown profits proportionally as its business grows. Spotify and other streaming peers have been offering more promotional pricing to attract more subscribers. That’s in stark contrast to Sirius, which has a more stable user base at an already-profitable price point.

Steady Growth: While Sirius XM isn’t growing at a spectacular pace, it is steadily putting up better numbers. While revenues have only doubled since 2009 –quite slow for a company with a 35 P/E ratio — revenues have risen sequentially every single year. There is value in consistent increases. Earnings per share have also grown each or been flat each of the past four years.

Most impressively, the company has built up a powerful stream of free cash flow. It only became positive on that metric in 2009, producing $200 million in FCF that year. This rose to $400 million by 2011, $700 million in 2012 and has continued jumping higher — up to $1.5 billion over the last year. Sirius is now putting that capital to work via the dividend increase, stock buyback programs and potential investments in other firms.

Verdict on Sirius XM Stock

SIRI stock news has come in favorably lately. The increased stock dividend is helpful. Ongoing share buybacks also drive the bull case. And last quarter’s earnings beat expectations.

That said, it seems like Sirius XM stock has already priced in the upside. At 36x earnings and 25x forward earnings (if optimistic analyst estimates are achieved), this is an expensive stock. You can make an argument that the risk from Spotify and Apple Music is overblown, but you better be sure that you’re right.

Otherwise, Sirius XM stock seems significantly overpriced.

At the time of this writing, Ian Bezek held no positions in any of the aforementioned securities. You can reach him on Twitter at @irbezek.