iRobot (IRBTQ) AI Stock Analysis

• Market Cap: $4.98M
• Dividend Yield: N/A
• Average Volume (3M): 29.58M
• Price to Earnings (P/E): ―
• Beta (1Y): 2.53
• 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: 1,719,368
• 30 Day Avg. Volume: 29,579,324
• 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: 64.16
• Enterprise Value/Revenue: 0.58
• Enterprise Value/Gross Profit: 2.66
• Enterprise Value/Ebitda: -1.76
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): -1.11
• Revenue Forecast (FY): $700.00M

• Rating: 40 Underperform
• Price Target: $0.15 ▼(-91.03% Downside)

The score is driven primarily by very weak financial performance (declining revenue, large losses, negative cash flow, and negative equity/solvency concerns). Technicals also weigh on the score given a pronounced downtrend versus all major moving averages and negative momentum indicators. Valuation provides limited offset because the negative P/E is loss-driven and there is no dividend yield support.

Positive Factors

Market-leading brand (Roomba)

A recognized market leader and iconic product franchise creates durable customer preference, channel leverage, and installed-base advantages. Strong brand recognition supports higher retention, accessory and service sales, and provides a structural moat versus new entrants over the medium term.

Diversified distribution (DTC + retail)

Owning both DTC e-commerce and broad retail partnerships provides resilient go-to-market reach and reduces single-channel reliance. This distribution mix supports consistent product availability, data-driven customer insights, and durable acquisition/retention pathways for recurring offerings.

Recurring revenue and partnerships

Subscription services and strategic partnerships create a structural shift toward recurring, higher-margin revenue and product stickiness. Over months, this supports more predictable cash flows, higher lifetime value, and cross-sell opportunities that can stabilize revenue volatility.

Negative Factors

Sustained revenue decline

Material multi-period revenue contraction signals weakening product demand or competitive pressure. Persistent top-line decline erodes scale, weakens bargaining power with retailers, and makes fixed-cost absorption harder, threatening long-term margin recovery and investment capacity.

Deeply negative profitability

Large negative net margins and negative operating profiles indicate the business is not generating sustainable earnings. Continued losses strain internally generated funding for R&D, marketing, and service investments, forcing reliance on external capital or operational restructuring.

Balance sheet solvency concerns

Negative shareholders' equity and negative cash flows point to elevated solvency risk and limited financial flexibility. This structural weakness can constrain borrowing, increase refinancing costs, and may necessitate asset sales, equity raises, or deleveraging actions that dilute long-term strategy.

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 Roomba Combo 10 Max robot + AutoWash Dock, a robot vacuum and mop that vacuum and mop multiple floor types while the dock automatically refills and recharges the robot, washes and dries the mopping pad, empties debris, and self-cleans; and Roomba Combo which performs both mopping and vacuuming. It also provides Roomba floor vacuuming robots; accessories and consumables, such as the Clean Base Automatic Dirt Disposal system, replacement dirt disposal bags, mop pads, floor cleaning solution, filters, brushes, and other replacement parts; and service plans for floorcare robots, including an option to cover accidental damage, as well as subscription services. The company sells its products through chain stores and other national retailers, value- added 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. On December 14, 2025, iRobot Corporation, along with its affiliates, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware.

How the Company Makes Money

iRobot generates revenue primarily through the sale of its robotic cleaning products, including vacuum cleaners and mopping devices. The company employs a direct-to-consumer sales model through its e-commerce platform, as well as retail partnerships with major electronics and home goods retailers. In addition to product sales, iRobot has developed subscription services that provide customers with additional features and support, contributing to recurring revenue. The company also invests in strategic partnerships and collaborations, enhancing its product capabilities and market reach, which can drive additional sales and customer retention.

iRobot Financial Statement Overview

Summary

Weak fundamentals: declining revenue (TTM growth -8.01%), deeply negative profitability (net margin -38.11%) and negative operating profile (negative EBIT/EBITDA margins). Cash flows are negative and the balance sheet shows negative stockholders’ equity, indicating elevated solvency risk.

Income Statement

iRobot's income statement shows significant challenges, with declining revenue and negative profit margins. The TTM data reveals a gross profit margin of 22.35% and a net profit margin of -38.11%, indicating substantial losses. Revenue has decreased consistently over the past few years, with a TTM revenue growth rate of -8.01%. The EBIT and EBITDA margins are also negative, reflecting ongoing operational inefficiencies.

Balance Sheet

The balance sheet highlights a concerning financial position, with negative stockholders' equity in the TTM period, leading to a negative debt-to-equity ratio. This indicates potential solvency issues. The return on equity is also negative, reflecting poor profitability. However, the equity ratio is not available due to negative equity, which complicates the assessment of financial stability.

Cash Flow

Cash flow analysis shows negative operating and free cash flows, with a TTM free cash flow growth rate of 53.65%, which is misleading due to prior negative values. 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 cash flow is entirely consumed by losses.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	547.00M	681.85M	890.58M	1.18B	1.56B	1.43B
Gross Profit	120.28M	142.36M	196.20M	350.09M	550.30M	670.23M
EBITDA	-181.19M	-101.99M	-231.29M	-211.94M	32.21M	181.08M
Net Income	-208.72M	-145.52M	-304.71M	-286.30M	30.39M	147.07M
Balance Sheet
Total Assets	481.57M	516.14M	733.70M	835.44M	1.18B	1.19B
Cash, Cash Equivalents and Short-Term Investments	24.83M	134.30M	185.12M	117.95M	234.50M	483.72M
Total Debt	223.05M	227.10M	234.33M	38.66M	49.68M	56.80M
Total Liabilities	508.46M	454.90M	537.21M	359.73M	467.71M	385.29M
Stockholders Equity	-26.89M	61.24M	196.49M	475.72M	716.72M	804.43M
Cash Flow
Free Cash Flow	-106.95M	-33.34M	-117.66M	-102.35M	-61.90M	200.45M
Operating Cash Flow	-106.95M	-33.22M	-114.79M	-90.02M	-31.97M	232.05M
Investing Cash Flow	500.00K	-254.00K	-3.10M	2.25M	-48.12M	-22.25M
Financing Cash Flow	-4.50M	-16.74M	185.37M	2.94M	-148.44M	-21.26M

iRobot Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 1.65
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IRBTQ, the sentiment is Negative. The current price of 1.65 is above the 20-day moving average (MA) of 0.21, above the 50-day MA of 1.48, and below the 200-day MA of 2.96, indicating a bearish trend. The MACD of -0.45 indicates Negative momentum. The RSI at 35.78 is Neutral, neither overbought nor oversold. The STOCH value of 27.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IRBTQ.

iRobot Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SN	77 Outperform	$17.93B	31.37	27.36%	―	18.87%	58.76%
HBB	68 Neutral	$255.68M	8.14	20.32%	2.99%	-6.24%	24.18%
LEG	63 Neutral	$1.70B	7.81	26.20%	1.84%	-6.03%	―
Sector *	61 Neutral	$18.38B	12.79	-2.54%	3.03%	1.52%	-15.83%
PRPL	48 Neutral	$83.56M	-1.47	-9999.00%	―	-9.47%	48.11%
ATER	47 Neutral	$7.74M	-0.48	-46.32%	―	-26.81%	40.22%
IRBTQ	40 Underperform	$4.98M	-0.02	-338.61%	―	-31.70%	-44.97%