Symbotic Inc (SYM) shares are experiencing a significant rally on December 5th, following positive remarks from TD Cowen regarding the company's recent annual report filing. The brokerage firm noted that the filing did not reveal any additional material changes, which has provided relief to investors. Key issues such as backlog confirmation and audit sign-off have been addressed, and procedures have been installed to prevent future occurrences. This update comes after Symbotic disclosed an error related to system revenue recognition last week, which had initially caused concern among investors. TD Cowen has maintained a 'Buy' rating on the stock with a $50 price target, further boosting investor confidence.
The stock's upward movement is also supported by a shift in retail sentiment, as indicated by Stocktwits, where the sentiment flipped to 'bullish' from 'neutral'. This change reflects growing optimism among retail investors about Symbotic's potential, despite the company's earlier disclosure of revenue recognition errors that impacted its financial results for fiscal year 2024. The company's revised outlook for the first quarter of fiscal year 2025, with adjusted revenue and EBITDA estimates, also seems to have been well-received by the market.
Symbotic Inc's stock is currently trading at $29.86, marking a 14.27% increase from its previous close of $26.13 and a 14.45% rise from its opening price of $26.09.