iRobot (IRBT), the maker of automated vacuum systems, is the stock to avoid. Shares lost 35.16% on Nov. 6, 2024. The company reported a non-GAAP EPS of $0.03.
On a GAAP measure, the firm lost $0.21 in EPS. The firm faces competitive pressures from Chinese technology firms.
In the fertilizer market, avoid The Scotts Miracle-Gro Company (SMG). SMG stock lost 20.52% on Wednesday after reporting Q4 non-GAAP EPS of $2.29. Despite revenue growing by 10.7% Y/Y to $414.7 million, the stock sold off post-election. Markets are expecting marijuana approval delays with the new government. This worry is irrational: when the Democrats were in power, the government did not pass any approvals that would move the cannabis market forward.
SolarEdge (SEDG) earns a strong sell rating. The stock lost 22.23% yesterday and another 22.32% in after-hours trade. The election results are one reason for sinking solar energy stocks like Enphase Energy (ENPH) and First Solar (FSLR). Yet SEDG stock has serious cash flow problems. In the third quarter, SolarEdge lost $15.30 a share (non-GAAP). Revenue fell by 64% Y/Y to $260.9 million.
In the fourth quarter, the solar firm expects a gross margin of 0% to 3%. SEDG stock may attract buyers at a $20 price zone. Expect the firm to shop for a buyer.
