The 10-second takeaway
For the quarter ended Dec. 31 (Q4), iRobot missed estimates on revenue and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased and GAAP earnings per share improved significantly.
Margins improved across the board.
iRobot recorded revenue of $130.8 million. The six analysts polled by S&P Capital IQ hoped for a top line of $134.0 million. GAAP sales were 15% higher than the prior-year quarter's $114.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.38. The two earnings estimates compiled by S&P Capital IQ averaged $0.31 per share. GAAP EPS of $0.38 for Q4 were 46% higher than the prior-year quarter's $0.26 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 42.9%, 300 basis points better than the prior-year quarter. Operating margin was 11.5%, 490 basis points better than the prior-year quarter. Net margin was 8.1%, 200 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $121.0 million. On the bottom line, the average EPS estimate is $0.28.
Next year's average estimate for revenue is $529.7 million. The average EPS estimate is $1.52.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,093 members out of 1,213 rating the stock outperform, and 120 members rating it underperform. Among 387 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 354 give iRobot a green thumbs-up, and 33 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on iRobot is outperform, with an average price target of $33.58.
Over the decades, small-cap stocks like iRobot have provided market-beating returns, provided they're value-priced and have solid businesses. Read about a pair of companies with a lock on their markets in "Too Small to Fail: Two Small Caps the Government Won't Let Go Broke." Click here for instant access to this free report.
- Add iRobot to My Watchlist.