Sirius XM Holdings Inc. (SIRI) saw its stock soar by 5.05% in pre-market trading on Friday, riding a wave of investor enthusiasm following Warren Buffett's recent acquisition of additional shares in the satellite radio and audio streaming company.

The surge in Sirius XM's stock price comes after filings with the Securities and Exchange Commission revealed that Buffett's Berkshire Hathaway Inc. (BRKa.N) had increased its stake in the company to 34.6% by purchasing approximately 5 million shares worth $107 million over the past three days. This move follows Berkshire's acquisition of around 2.2 million Sirius XM shares last month, further solidifying Buffett's interest in the audio entertainment provider.

While Sirius XM operates in a competitive landscape with major streaming services like Spotify and Apple Music, the company has carved out a unique position through its satellite radio offerings and agreements with automakers to install receivers in vehicles. This differentiated approach, combined with its recent split-off and merger with Liberty Media, has seemingly captured the attention of the Oracle of Omaha, who is renowned for his value investing strategies.