Why iRobot Stock is Sinking Ahead of Black Friday

By Josh Selway / November 22, 2017 / www.schaeffersresearch.com / Article Link

U.S. stocks are mixed ahead of the Thanksgiving holiday, though the Nasdaq Composite (IXIC) carved out a new high earlier. Among those making the biggest moves are online vehicle auction services provider Copart, Inc. (NASDAQ:CPRT), bitcoin biochain expert Riot Blockchain Inc (NASDAQ:RIOT), and Roomba maker iRobot Corporation (NASDAQ:IRBT). Here's a quick look at what's moving shares of CPRT, RIOT, and IRBT.

Copart Stock Still Waiting For Bullish Analyst Attention

Copart stock is pacing for its best day in nine years, after the company blew past estimates with its fiscal first-quarter results. CPRT shares were last 11.7% higher at $41.00, earlier touching a record high of $41.13, bringing their one-year rally to 48%. Not one bull note has yet to accompany this upside move, and the equity seems long overdue for some upbeat attention from analysts. As it stands now, just one of the eight covering brokerage firms recommend buying Copart.

Riot Blockchain Stock Surges Again

Wall Street favorite Riot Blockchain is rallying again, as the price of cryptocurrency bitcoin continues to rise. RIOT was last seen 25% higher at $14.06 -- earlier peaking at a two-year high of $14.43. This is the third day in a row the equity has made a big upward move, and, for reference, it was trading below $4 a share as recently as September. This rally has caught the attention of short sellers, with these bets surging 226% in the last reporting period alone.

iRobot Slumps On Negative Roomba Buzz

iRobot stock is down 6.9% at $68.02, amid buzz of discounted prices for its Roomba vacuums ahead of Black Friday. The shares have been carving out a series of lower highs since peaking at $109.78 in July, with the 40-day moving average stifling the two most recent breakout attempts. This decline could be bad news for options traders, who were seemingly betting on a bounce. Specifically, IRBT has a 10-day call/put volume ratio of 7.04 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which is just 2 percentage points from an annual high.

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