iRobot (IRBT) AI Stock Analysis

• Market Cap: $70.02M
• Dividend Yield: N/A
• Average Volume (3M): 4.49M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.39
• Revenue Growth: -31.70%
• EPS Growth: -44.97%
• Country: US
• Employees: 1,372
• Sector: Consumer Cyclical
• Sector Strength: 84
• Industry: Furnishings, Fixtures & Appliances
• EPS (TTM): -0.23
• Shares Outstanding: 31,826,202
• 10 Day Avg. Volume: 5,087,895
• 30 Day Avg. Volume: 4,491,264
• PEG Ratio: 0.03
• Price to Book (P/B): 3.84
• Price to Sales (P/S): 0.35
• P/FCF Ratio: -7.06
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 38 Underperform
• Price Target: $2.00 ▼(-53.92% Downside)

iRobot's overall stock score is heavily impacted by its poor financial performance and valuation metrics. The technical analysis also indicates a bearish trend, further weighing down the score. The lack of earnings call insights and corporate events means these areas do not offset the negative outlook.

Positive Factors

Cash Flow Improvement

Improvement in free cash flow suggests better cash management, which can support operational needs and strategic investments over time.

Subscription Services

Subscription services provide a stable revenue stream and enhance customer retention, supporting long-term growth and market presence.

Strategic Partnerships

Partnerships expand market reach and distribution, potentially increasing sales and strengthening competitive positioning in the industry.

Negative Factors

Declining Revenues

Declining revenues reflect challenges in maintaining market share and demand, which could impact long-term financial health and growth prospects.

High Leverage

High leverage increases financial risk and limits flexibility, potentially affecting the company's ability to invest in growth and innovation.

Negative Profitability

Negative profitability indicates operational inefficiencies and cost management issues, which could hinder long-term sustainability and competitiveness.

iRobot Business Overview & Revenue Model

Company Description

iRobot Corporation designs, builds, and sells robots and home innovation products in the United States, Europe, the Middle East, Africa, Japan, and internationally. The company offers floor care products, including Roomba floor vacuuming robots; Roomba accessories and consumables, such as the Clean Base Automatic Dirt Disposal, replacement dirt disposal bags for the Clean Base, filters, brushes, and batteries; Braava family of automatic floor mopping robots; and Braava accessories and consumables, which include cleaning solution, washable and disposable mopping pads, replacement tanks, and batteries, as well as subscription services. It also provides H1 Handheld Vacuum, a portable vacuum; H1 Handheld Vacuum accessories comprising filters, chargers, batteries, and an extension kit that converts the H1 Handheld Vacuum into a stick vacuum; air purifiers under the Aeris brand; Root robots to help children learn how to code; and Create 2, a mobile robot platform that offers an opportunity for educators, developers, and high-school and college students to program behaviors, sounds, movements, and add additional electronics, as well as sells filters and fabric covers. The company sells its products through chain stores and other national retailers, distributors, and resellers, as well as through its website and app, and e-commerce websites. iRobot Corporation was incorporated in 1990 and is headquartered in Bedford, Massachusetts.

How the Company Makes Money

iRobot generates revenue primarily through the sale of its robotic vacuum cleaners and related home cleaning products. The company follows a direct-to-consumer sales model via its website and through retail partnerships with major retailers, which allows it to reach a broad customer base. Additionally, iRobot generates recurring revenue through subscription services, such as the iRobot Home app that offers advanced features and connectivity. Key revenue streams include the sales of hardware (robotic vacuums and mops) and accessories (replacement parts, cleaning supplies), as well as potential growth from software and subscription services. Strategic partnerships with retailers and technology companies also contribute to its earnings, enhancing its distribution capabilities and expanding its market reach.

iRobot Financial Statement Overview

Summary

iRobot is facing significant financial challenges, including declining revenues, negative profitability, and high leverage. The income statement, balance sheet, and cash flow analysis all indicate financial instability and operational inefficiencies that need strategic intervention.

Income Statement

iRobot's income statement shows a declining trend in revenue and profitability. The TTM data indicates a negative revenue growth rate of -6.02%, with a net profit margin of -32.52%, reflecting significant losses. Gross profit margin has decreased over time, indicating pressure on cost management. The EBIT and EBITDA margins are also negative, highlighting operational challenges.

Balance Sheet

The balance sheet reveals financial instability, with a negative stockholders' equity in the TTM period, leading to an unsustainable debt-to-equity ratio of -29.50. The return on equity is negative, indicating that the company is not generating returns for shareholders. The equity ratio is low, suggesting high leverage and potential financial risk.

Cash Flow

Cash flow analysis shows a slight improvement in free cash flow growth at 13.89% in the TTM period, but operating cash flow remains negative. The operating cash flow to net income ratio is negative, indicating cash flow challenges. The free cash flow to net income ratio is 1.0, suggesting that free cash flow is aligned with net income, albeit both are negative.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2019	Dec 2018
Income Statement
Total Revenue	374.96M	681.85M	890.58M	1.18B	1.21B	1.09B
Gross Profit	103.86M	142.36M	196.20M	350.09M	543.93M	555.43M
EBITDA	-113.30M	-101.99M	-231.29M	-211.94M	123.78M	142.40M
Net Income	-131.61M	-145.52M	-304.71M	-286.30M	85.30M	87.99M
Balance Sheet
Total Assets	481.57M	516.14M	733.70M	835.44M	920.75M	766.96M
Cash, Cash Equivalents and Short-Term Investments	24.83M	134.30M	185.12M	117.95M	256.42M	161.98M
Total Debt	17.76M	227.10M	234.33M	38.66M	54.93M	0.00
Total Liabilities	27.58M	454.90M	537.21M	359.73M	268.68M	231.64M
Stockholders Equity	-26.89M	61.24M	196.49M	475.72M	652.07M	535.32M
Cash Flow
Free Cash Flow	-104.20M	-33.34M	-117.66M	-102.35M	94.72M	39.26M
Operating Cash Flow	-104.20M	-33.22M	-114.79M	-90.02M	130.05M	71.69M
Investing Cash Flow	580.00K	-254.00K	-3.10M	2.25M	-20.92M	-26.37M
Financing Cash Flow	-4.37M	-16.74M	185.37M	2.94M	-130.00K	-43.17M

iRobot Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 4.34
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IRBT, the sentiment is Negative. The current price of 4.34 is above the 20-day moving average (MA) of 3.77, above the 50-day MA of 3.75, and above the 200-day MA of 4.15, indicating a bearish trend. The MACD of -0.43 indicates Positive momentum. The RSI at 34.11 is Neutral, neither overbought nor oversold. The STOCH value of 7.05 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IRBT.

iRobot Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SN	76 Outperform	$13.05B	22.82	27.36%	―	18.87%	58.76%
MBC	64 Neutral	$1.40B	17.25	6.19%	―	1.77%	-44.11%
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
HBB	61 Neutral	$186.59M	5.94	20.32%	3.39%	-6.24%	24.18%
WHR	51 Neutral	$3.84B	―	-6.68%	8.25%	-11.36%	-133.01%
VIOT	49 Neutral	$201.11M	23.45	―	2.47%	-8.42%	―
IRBT	38 Underperform	$70.02M	―	-273.81%	―	-31.70%	-44.97%

iRobot Corporate Events

iRobot Corporation Faces Revenue Decline in Q3 2025

iRobot Corporation is a global consumer robot company known for designing and building intelligent home innovations, including the popular Roomba robot vacuum, aimed at making life easier and homes healthier. In its latest earnings report for the third quarter of 2025, iRobot Corporation revealed a significant decline in revenue, falling short of internal expectations due to market headwinds, production delays, and shipping disruptions. This has resulted in increased cash usage and pressured profitability.

iRobot Secures Waivers to Avoid Financial Default

iRobot Corporation has been granted a series of waivers by its lenders, extending the period during which it is not required to meet certain financial covenants until December 1, 2025. This extension provides temporary relief from potential default under its credit agreement, which could have led to severe financial consequences, including bankruptcy. Despite these extensions, iRobot’s financial condition is precarious, with declining cash reserves and a failed attempt to secure a strategic sale, leaving the company dependent on further waivers or additional capital to continue operations.

The most recent analyst rating on (IRBT) stock is a Hold with a $5.50 price target. To see the full list of analyst forecasts on iRobot stock, see the IRBT Stock Forecast page.

iRobot Extends Waiver Period Amid Financial Challenges

iRobot Corporation announced several amendments to its Credit Agreement with TCG Senior Funding L.L.C., extending the waiver period for certain covenant obligations until October 24, 2025. This extension is crucial for iRobot as it faces financial challenges, including doubts about its ability to continue as a going concern, which could lead to default and potential bankruptcy if not resolved. The company is also undergoing a strategic review process to explore potential sales or strategic transactions, but the uncertainty surrounding this process has negatively impacted its stock price and could further affect its operations and financial condition.

The most recent analyst rating on (IRBT) stock is a Hold with a $4.00 price target. To see the full list of analyst forecasts on iRobot stock, see the IRBT Stock Forecast page.

iRobot Corporation Reports Q2 2025 Financial Results

iRobot Corporation, a prominent player in the consumer robotics industry, is known for its innovative home cleaning robots, including the popular Roomba vacuum series. The company focuses on designing intelligent home solutions that make life easier and healthier for consumers worldwide.

iRobot Faces Revenue Decline Amid Market Challenges

iRobot Corporation announced its second-quarter 2025 financial results, revealing a decline in revenue due to market headwinds and production delays. Despite improvements in gross margin and operating expenses, the company’s cash position weakened, posing challenges to liquidity. The company continues to explore strategic alternatives, including potential sales or refinancing, while suspending its earnings call and financial guidance.