Symbotic (NASDAQ:SYM) Posts Earnings Results, Misses Estimates By $0.04 EPS

Symbotic (NASDAQ:SYM) released its quarterly earnings results on Wednesday. The company reported $0.09 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.13 by ($0.04), FiscalAI reports. Symbotic had a return on equity of 1.53% and a net margin of 0.48%.The firm had revenue of $720.84 million for the quarter, compared to analyst estimates of $715.03 million. During the same period last year, the firm earned ($0.05) EPS. The company’s quarterly revenue was up 21.7% compared to the same quarter last year.

Here are the key takeaways from Symbotic’s conference call:

• Strong third-quarter performance: Revenue rose 22% year over year to $721 million, GAAP net income reached $55 million, and adjusted EBITDA more than doubled to $95 million. Fourth-quarter guidance calls for revenue of $760 million–$780 million and adjusted EBITDA of $100 million–$105 million.
• Symbotic started 11 new deployments during the quarter, bringing total deployments to 77 and operational systems to 56. The company’s backlog remained substantial at $22.5 billion, while software and operations-services revenue grew 57% and 49%, respectively.
• Product expansion is broadening the opportunity set, with BreakPack deployed at half of Walmart’s regional distribution centers, the first next-generation SymMicro system being installed at a Walmart store, and growing interest in perishables, dock automation, and warehouse-optimization software.
• The Walmart SymMicro opportunity appears farther out than some investors may have expected: management said the first new-version prototype will take roughly six months, with the 400-store order likely not occurring until early 2028. The next-generation storage structure’s major revenue and margin impact is expected mainly in the second half of fiscal 2027.
• Management expects fourth-quarter EBITDA margins to be broadly stable as gross margins normalize from the unusually strong third quarter and operating expenses rise modestly. Third-quarter cash declined to $1.7 billion due to project-related timing, although management expects positive fourth-quarter free cash flow.

Symbotic Stock Performance

SYM traded up $0.59 on Friday, reaching $40.20. 928,452 shares of the company’s stock were exchanged, compared to its average volume of 1,876,497. Symbotic has a twelve month low of $38.19 and a twelve month high of $87.88. The company’s 50 day moving average is $42.83 and its 200-day moving average is $50.71. The company has a market cap of $24.23 billion, a price-to-earnings ratio of 446.41, a PEG ratio of 6.86 and a beta of 1.94.

Analyst Ratings Changes

A number of research firms recently issued reports on SYM. The Goldman Sachs Group lowered their target price on shares of Symbotic from $54.00 to $45.00 and set a “sell” rating for the company in a report on Tuesday, May 26th. Needham & Company LLC reaffirmed a “buy” rating and set a $75.00 price target on shares of Symbotic in a research note on Thursday. Robert W. Baird set a $51.00 price target on shares of Symbotic in a report on Thursday. Zacks Research raised shares of Symbotic from a “strong sell” rating to a “hold” rating in a research note on Wednesday. Finally, Weiss Ratings downgraded Symbotic from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, May 11th. Seven analysts have rated the stock with a Buy rating, four have issued a Hold rating and four have assigned a Sell rating to the company’s stock. According to MarketBeat.com, Symbotic currently has an average rating of “Hold” and a consensus target price of $65.92.

Insiders Place Their Bets

In related news, CTO James Kuffner sold 18,987 shares of Symbotic stock in a transaction on Friday, July 24th. The shares were sold at an average price of $40.38, for a total transaction of $766,695.06. Following the transaction, the chief technology officer owned 214,062 shares in the company, valued at approximately $8,643,823.56. The trade was a 8.15% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Izilda P. Martins sold 27,463 shares of the company’s stock in a transaction on Monday, July 27th. The stock was sold at an average price of $40.80, for a total transaction of $1,120,490.40. Following the sale, the chief financial officer directly owned 35,171 shares of the company’s stock, valued at approximately $1,434,976.80. This trade represents a 43.85% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders have sold 143,433 shares of company stock worth $6,627,326. 8.16% of the stock is owned by company insiders.

Institutional Investors Weigh In On Symbotic

Several hedge funds have recently modified their holdings of SYM. Mercer Global Advisors Inc. ADV boosted its holdings in Symbotic by 32.2% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 8,435 shares of the company’s stock worth $502,000 after acquiring an additional 2,056 shares during the period. NewEdge Advisors LLC lifted its position in shares of Symbotic by 278.4% during the fourth quarter. NewEdge Advisors LLC now owns 9,711 shares of the company’s stock worth $578,000 after purchasing an additional 7,145 shares in the last quarter. Twinbeech Capital LP acquired a new position in shares of Symbotic during the fourth quarter worth $1,515,000. Polymer Capital Management US LLC purchased a new position in shares of Symbotic in the fourth quarter valued at $279,000. Finally, Readystate Asset Management LP purchased a new position in shares of Symbotic in the fourth quarter valued at $470,000.

Key Symbotic News

Here are the key news stories impacting Symbotic this week:

• Positive Sentiment: Symbotic reported fiscal Q3 revenue of approximately $720.8 million, up 21.7% year over year and ahead of the roughly $715 million consensus estimate. The company returned to profitability compared with a year-ago loss, while margins improved and adjusted EBITDA more than doubled. Symbotic Reports Third Quarter Fiscal Year 2026 Results
• Positive Sentiment: Management forecast fiscal Q4 revenue of $760 million to $780 million and adjusted EBITDA of $100 million to $105 million. The revenue range broadly matches the $770.7 million analyst consensus, suggesting continued demand for Symbotic’s warehouse-automation systems. Symbotic Q4 outlook
• Positive Sentiment: Needham reaffirmed its “buy” rating and assigned a $75 price target, implying substantial upside from recent trading levels. Zacks Research also upgraded Symbotic from “strong sell” to “hold,” reducing a source of negative analyst pressure.
• Positive Sentiment: Former Bain Capital co-chair Steve Pagliuca joined Symbotic’s board, potentially adding strategic and financial expertise as the company expands its AI-enabled robotics platform. Symbotic board appointment
• Neutral Sentiment: The Walmart SymMicro rollout timeline extends into early 2028. While the project represents a potentially important growth opportunity, the extended timeline may delay incremental revenue and major growth inflections until fiscal 2027 and 2028. Symbotic Walmart outlook
• Negative Sentiment: Fiscal Q3 earnings of $0.09 per share missed the approximately $0.12-$0.13 consensus. The shortfall highlights continued profitability risk, particularly given Symbotic’s elevated valuation and very high price-to-earnings ratio. Symbotic Q3 earnings miss
• Negative Sentiment: Several insiders, including the CFO and directors Todd Krasnow and Charles Kane, sold shares. The director transactions were made under pre-arranged Rule 10b5-1 plans, and the CFO’s sale covered tax obligations, limiting their bearish significance but potentially weighing modestly on sentiment.

About Symbotic

Symbotic Inc (NASDAQ: SYM) is a provider of advanced warehouse automation and robotics systems designed to improve throughput, space utilization and labor productivity in distribution centers and fulfillment operations. The company develops integrated hardware and software solutions that automate the storage, retrieval, sorting and palletizing of goods, positioning itself as a systems integrator for material handling challenges faced by large-scale retailers, wholesalers and third-party logistics providers.

Products and services typically include autonomous robotic vehicles and shuttle systems, automated storage-and-retrieval equipment, robotic picking and palletizing cells, conveyors and sortation, together with control and management software that coordinates fleet operations and inventory flow.