Why Symbotic Stock Slumped 21% in May And Just Hit a 2026 Low
Key Points
Symbotic is sitting on a massive backlog and recently signed a large customer.
A significant shareholder, however, sold a big chunk of Symbotic shares last month.
- 10 stocks we like better than Symbotic ›
Symbotic (NASDAQ: SYM) is automating large warehouses and distribution centers with its artificial-intelligence (AI)-powered automated robotic systems. Supply chain automation is a rapidly growing market, Symbotic's revenue is rising steadily, and it signed medical surgical products leader, Medline as its first customer from the healthcare sector in April.
Yet, Symbotic stock slumped 21.4% in May, according to data provided by S&P Global Market Intelligence. Shares have fallen further this month and touched their lowest levels in 2026, as of this writing. Should investors panic or buy the dip?
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Image source: Getty Images.
Why Symbotic stock is falling despite bumper numbers
Symbotic's revenue rose 23% year over year in Q2, and it reported a net income of $9 million versus a loss of $10 million in the year-ago quarter. That dramatic improvement in profits should have sent the stock higher, but Wall Street was fixated on the one cent in profit per share. They expected something much bigger from the company.
There's nothing to worry about here, though. Symbotic is rapidly deploying systems, moving from 46 systems as of May last year to 70 as of May 2026. Deploying these massive systems, however, comes at a cost, which is why Symbotic posted only a small net profit last quarter.
Just as the stock appeared to stabilize after mid-May, it slipped again toward the end of the month after regulatory filings revealed high-level insider selling.
On May 27, an investment vehicle owned by the SoftBank Group (OTC: SFTBF) and its affiliates dumped 5.59 million shares of Symbotic for $50.41 per share. The massive institutional sale sent Symbotic shares even lower, and it continues to reel under pressure in June so far.
Is it time to buy Symbotic stock?
Insider selling doesn't necessarily mean something is wrong with the company. Funds often rebalance their portfolios and monetize mature public holdings to recycle capital or return cash. Symbotic has been a publicly listed company for years, so large exits are normal for long-term institutional sponsors to cash out of their positions. SoftBank Group continues to own a 31.3% stake in Symbotic and has a joint venture with the company to offer warehouse-as-a-service.
Symbotic's backlog of $22.7 billion is 10 times its fiscal 2025 revenue, meaning the company has already effectively locked in revenue for several years to come. Warehouse automation is a rapidly growing business, and Symbotic already has large customers like Walmart, Target, and now Medline.
The Medline contract has expanded Symbotic's footprint from retail to healthcare, adding a strong growth vertical to its portfolio. That only solidifies the investing thesis for Symbotic, making it a stock to buy on dips.
Should you buy stock in Symbotic right now?
Before you buy stock in Symbotic, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Symbotic wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838!*
Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of June 8, 2026.
Neha Chamaria has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Medline, Symbotic, Target, and Walmart. The Motley Fool has a disclosure policy.
Recommended Articles
