iRobot (NASDAQ:IRBT) stock is falling on Wednesday following an update from an analyst.
This iRobot news has Raymond James analyst Brian Gesuale dropping the company from its previous rating of “Market Perform” to a new rating of “Underperform.” This comes with a warning about the company’s market share falling during the fourth quarter and into the following year.
It isn’t just a downgrade for IRBT stock that is bad iRobot news today. The update from the Raymond James analyst also includes expectations for 2020 revenue. This has the firm expecting revenue of $$1.27 billion, which is below the general consensus estimate of $1.34 billion for the year,
The current overall rating for the company from firms covering it is “Hold.” This comes from three ratings that are equivalent to “Buy”, seven ratings that are equivalent to a “Hold”, and a single “Underperform” rating, reports Seeking Alpha.
One thing worth mentioning about iRobot’s troubles is that many of its products are made in China. It also has a good bit of customers in the country as well. With the ongoing trade war between the U.S. and China, that’s only more bad iRobot news.
iRobot is a company founded back in 1990 that has a focus on creating robots for consumers. This includes various types of cleaning robots, such as the Roomba, Braava and Mirra. It is also working on a law-mowing robot that it plans to release in the future.
IRBT stock was down 4.75% as of Wednesday afternoon. It is also down 27.54% since the start of the year.
As of this writing, William White did not hold a position in any of the aforementioned securities.