iRobot Stock Has Fallen 11% since April



iRobot’s returns

iRobot (IRBT) stock has fallen close to 11% since the start of April, and it’s up 1.3% in May. The stock is currently trading at $104.88, which is 76% above its 52-week low of $59.75 and 21% below its 52-week high of $132.88.

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Tepid revenue growth in the first quarter

iRobot announced its first-quarter earnings results on April 24, 2019, and reported sales of $237.7 million, a rise of just 9.5% YoY (year-over-year). Its EPS rose 9.9% to $0.78. Analysts had expected the company to post sales of $251.4 million and EPS of $0.59 in the first quarter.

Though IRBT managed to easily beat earnings estimates, its revenue miss resulted in a fall of 21.8% in its stock on April 24.

iRobot’s growth is expected to be higher for the rest of 2019

Though iRobot’s sales grew less than 10% in the last quarter, analysts expect the company’s sales to rise 18.4% in the second quarter and 17.8% in 2019. While iRobot expects sales of between $1.28 billion and $1.31 billion in 2019, analysts’ average estimates stands at $1.29 billion.

iRobot’s sales grew from $654 million in 2016 to $876 million in 2017 and to $1.09 billion in 2018. Its earnings rose from $1.41 in 2016 to $2.70 in 2018, and they’re expected to reach $3.25 in 2019.


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