iRobot Corporation (IRBT)

(A Top Pick Oct 14/21, Down 14.1%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with IRBT has triggered its stop at $70. To remain discplined, we recommend covering the balance of the holding at this time. When combined with the previous buy recommendation, this results in a net investment loss of 20%

Stockchase Research Editor: Michael O'Reilly We reiterate IRBT as a TOP PICK. It trades at 21x earnings compared to peers at 32x. It is growing cash reserves, despite buying back over $40 million of its shares. We would buy this with a stop loss at $70, looking to achieve $108 -- upside potential over 30%. Yield 0% (Analysts’ price target is $108.20)

Stockchase Research Editor: Michael O'Reilly IRBT is really cleaning up as it just reported a 57% increase in revenues. Direct to consumer sales were up 146% and EPS of $0.41 beat expectations by $0.62. Semi-conductor constraints were mentioned as a reason for a slight increase in costs, but this will ease soon. It trades at 18x earnings, compared to peers at over 50x. Over 95% of the shares are institutionally held, providing good staying power. We would buy this with a stop loss at $70, looking to achieve $120 -- upside potential over 28%. Yield 0% (Analysts’ price target is $119.67)