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IRobot (IRBT) Dips More Than Broader Markets: What You Should Know

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iRobot (IRBT - Free Report) closed at $114.70 in the latest trading session, marking a -1.48% move from the prior day. This change lagged the S&P 500's daily loss of 0.41%.

Heading into today, shares of the robotics technology company had lost 9.01% over the past month, lagging the Industrial Products sector's gain of 0.38% and the S&P 500's gain of 5.07% in that time.

Wall Street will be looking for positivity from IRBT as it approaches its next earnings report date. The company is expected to report EPS of $0.07, up 110.94% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $261.57 million, up 35.85% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.13 per share and revenue of $1.64 billion, which would represent changes of -24.4% and +14.87%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for IRBT. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. IRBT currently has a Zacks Rank of #3 (Hold).

Digging into valuation, IRBT currently has a Forward P/E ratio of 37.15. This represents a premium compared to its industry's average Forward P/E of 32.91.

It is also worth noting that IRBT currently has a PEG ratio of 2.97. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. IRBT's industry had an average PEG ratio of 2.89 as of yesterday's close.

The Industrial Automation and Robotics industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 235, putting it in the bottom 8% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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