iRobot: Bullish Or Bearish

Sep. 2.14 | About: iRobot Corporation (IRBT)

Summary

iRobot has a strong patent library and product line of consumer robots.

Growth in consumer sector compensating for slowdown in defense contracts.

Technical picture in short term looks bad for the stock.

iRobot (NASDAQ:IRBT) has established itself as the leading producer of consumer oriented robots. In an age of increased automation, the company stands to be a major beneficiary of this trend. However, the technical picture in the short term for the stock is bearish. I explain more details in the video below. Our overall outlook is wait for a bottoming out process, but the stock nonetheless is a long term buy.

Disclosure: The author has no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

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