The stocks of robotics and automation companies are termed robotics stocks. The companies can either be pure-play automation companies or may belong to other industries and sectors that apply process automation processes to perform their functions.
As technology becomes more prevalent in our lives, we’re seeing an increase in the use of robotics and automation in almost all industries. Due to this increase, robotics stocks have become excellent avenues for investment. According to the International Federation of Robotics, the supply of robots is expected to increase by four times over the next ten years, while, according to Zion Market Research, the industrial robotics market is expected to generate $62 billion in revenues in 2024,
|HON||Honeywell International Inc.||$193.10||-16.50%||131.4B|
|LMT||Lockheed Martin Corporation||$447.99||15.64%||119.2B|
|ISRG||Intuitive Surgical, Inc.||$223.30||-19.71%||80.2B|
|NOC||Northrop Grumman Corporation||$467.43||26.18%||72.7B|
|EMR||Emerson Electric Co.||$86.60||-9.27%||51.4B|
|ROK||Rockwell Automation, Inc.||$204.74||-22.18%||23.8B|
|ESLT||Elbit Systems Ltd.||$194.17||47.11%||8.6B|
|SAIC||Science Applications International Corporation||$85.31||-4.09%||4.8B|
|BRKS||Brooks Automation, Inc.||#N/A||#N/A||#N/A|
|OII||Oceaneering International, Inc.||$12.47||-13.28%||1.3B|
|HOLI||Hollysys Automation Technologies Ltd.||$15.02||12.76%||930.7M|
|LECO||Lincoln Electric Holdings, Inc.||$133.44||3.39%||7.8B|
Factors to Consider Before Investing in Robotics Stocks
Investors must consider that robotics is closely associated with industrial automation. Therefore, the performance of robotics stocks is bound to get impacted by slowdowns in the economy. Robotics stocks follow a cyclical pattern of ups and downs along with the movement of economic cycles. Moreover, robotics stocks have significant exposure to automotive and electronic markets and move with them.
Investors should also consider the growth potential, revenues growth, free cash flow, EBIT, and other fundamental parameters before investing in robotics stocks. The share price of robotics stocks must be compared to their intrinsic value to ascertain their value, and investors should stay away from the overvalued shares.
Which Robotics Stocks Should I Buy?
Investors can choose to invest either in pure robotics companies or the companies that use automation and robotics as the means to reach their end goals. We have compiled a list of the best robotics stocks for investors to pick from.
Robotics stocks have demonstrated bullish trends over the past couple of years due to drastic advancements in technology and the development of new software and applications. The future also looks optimistic and robotics stocks hold strong potential to generate long-term rewards for investors.