Jefferies sees opportunity for SharkNinja on iRobot deal termination

Jefferies keeps a Buy rating on SharkNinja (SN) with a $67 price target after Amazon.com (AMZN) abandoned its deal to acquire iRobot (IRBT), citing a lack of regulatory approval in Europe. Fallout from the termination includes a pause in iRobot’s work on products like air purifiers and lawn mowers, a reduction in research and development expense by $20M, along with closures of offices in underperforming regions, the analyst tells investors in a research note. The firm says this “opens up opportunities” for SharkNinja to expand its wholesale partnership with Amazon, reinforcing its position as a leading player in the small home appliances sector. Jefferies believes the termination of the iRobot takeover “may present a notable advantage for SharkNinja, a key partner for Amazon in the relevant product categories.”