Latest news with #IRBT
Globe and Mail
12-03-2025
- Business
- Globe and Mail
iRobot (NASDAQ:IRBT) Sounds Alarm Over Status as Going Concern
It was not so long ago that household robot maker iRobot (IRBT), the people who brought us the Roomba, was on top of the world. A potential buyout target from Amazon (AMZN), the leader in autonomous cleaning robots, and more made iRobot a household name. But times have changed, and now, iRobot is warning that it may not be a 'going concern' much longer. Shares cratered, down nearly 34% in Wednesday afternoon's trading. Light Up your Portfolio with Spark: Easily identify stocks' risks and opportunities. Discover stocks' market position with detailed competitor analyses. In order to address this very serious problem that could ultimately take iRobot out of the market, it has begun a 'strategic review' of its operations. After posting fourth quarter earnings that featured not only revenue that was lower than expected, but also a bigger overall loss than expected, it became clear that iRobot was going to have a tough time just paying its bills. It was expecting to grow its sales as it rolled out new products, but even iRobot seems to doubt just how far that will go. A recent filing noted: 'Given these uncertainties and the implication they may have on the company's financials, there is substantial doubt about the Company's ability to continue as a going concern for a period of at least 12 months.' How About More New Products? Even as iRobot faces concern about whether or not it can remain a concern, it is still trying, to the last, to win the market over with new products. In fact, it just rolled out fully eight new models, including one that offers—for an automated housecleaning robot, anyway—a major new feature: a dust compactor. Reports note that the new Roombas will all offer better suction, improved navigation, and even bagless options for storing all the dust they pick up off the floor. But these new models will not come without some drawbacks: the Combo Essential model is out the door, replaced with the Roomba 105 and 205. The I and J series Roombas, meanwhile, will be thrown over for the Roomba Plus 405 and 505. Roombas will run between $299 and $899, reports note. Is iRobot a Good Stock to Buy? Turning to Wall Street, analysts have a Hold consensus rating on IRBT stock based on one Buy assigned in the past three months from Needham analyst James Ricchiuti, as indicated by the graphic below. Despite a 57% loss in its share price over the past year, Ricchiuti has no price target on the stock. See more IRBT analyst ratings Disclosure Questions or Comments about the article? Write to editor@
Yahoo
12-03-2025
- Business
- Yahoo
iRobot Exhibits Strong Prospects Despite Persisting Headwinds
iRobot Corporation IRBT is poised to gain from innovation capabilities, expansionary vision, operational initiatives, manufacturing in China and Malaysia and expanding direct-to-consumer sales. The company's partnership with various major electronics retailers in EMEA and Japan is likely to expand its customer base. Also, IRBT continues to invest in higher-value robotics, computer vision, machine learning and complex mechanical design to improve the core functionality of the robots, which is expected to be beneficial in the quarters diverse product portfolio has been a key driver of its success over time. Its diversified product portfolio has been benefiting it over time. The company noted that revenues generated from selling premium and mid-tier robots represented 78% of the first three quarter's total robot revenues. iRobot remains focused on introducing new products into the market and innovating the existing ones. Some of its recent product innovations include the enhanced version of the Genius Home Intelligence platform, Roomba Combo 10 Max, Roomba Essential robots, iRobot H1 handheld vacuum and Roomba j7+ robot company is focused on expanding its recurring revenue sources, direct-to-consumer sales channel and business from the online platform. In addition, investments to build brand awareness via campaigning through traditional retail partners on its app and website and online retailers are likely to significantly boost product demand in the quarters the past year, this Zacks Rank #3 (Hold) company's shares have gained 11.2%, in line with the industry. Image Source: Zacks Investment Research Increasing promotional activities and higher losses related to purchase commitments with the contract manufacturers are affecting the company's operating margin performance. In the first nine months of 2024, iRobot recorded an operating loss of $41.9 million. The operating margin was (8.2%). In 2024, the company expects to incur an operating loss in the range of $84-$75 international presence keeps it exposed to the risk of adverse currency fluctuations. This is because a strengthening U.S. dollar may require it to either raise prices or contract profit margins in locations outside the United States. Thus, adverse currency movements are a worry for the company. Some better-ranked companies are discussed Bearings Incorporated RBC currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks delivered a trailing four-quarter average earnings surprise of 4.9%. In the past 60 days, the Zacks Consensus Estimate for RBC's fiscal 2025 earnings has increased 1.2%.Enersys ENS presently sports a Zacks Rank of 1. The company delivered a trailing four-quarter average earnings surprise of 2.2%.In the past 60 days, the consensus estimate for ENS' fiscal 2025 earnings has increased 10%.Applied Industrial Technologies AIT presently carries a Zacks Rank #2 (Buy). AIT delivered a trailing four-quarter average earnings surprise of 5.3%.In the past 60 days, the consensus estimate for AIT's fiscal 2025 earnings has inched up 1.1%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report RBC Bearings Incorporated (RBC) : Free Stock Analysis Report Applied Industrial Technologies, Inc. (AIT) : Free Stock Analysis Report iRobot Corporation (IRBT) : Free Stock Analysis Report Enersys (ENS) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
