3 Robotics Stocks That Will Make Early Investors Exceedingly Wealthy
Robotics has moved far before the realm of science fiction, revolutionizing industries from manufacturing to healthcare. The robotics market is booming, and investors can benefit from the enormous potential of robotics stocks.
According to Market Research Future, the global robotics market should reach more than $286 billion by 2032, growing at 16.7% CAGR. A number of different AI technologies, including natural language processing, machine learning and edge computing will be primary growth drivers. As robotics continues to permeate various sectors, it’s essential to look deeper into the individual companies shaping this industry.
Now, let’s discover the top robotics stocks to buy to make early investors filthy rich!
Intuitive Surgical (ISRG)
Intuitive Surgical (NASDAQ:ISRG) is a pioneer and dominant player in the surgical robotics field. The company’s flagship da Vinci surgical system has revolutionized minimally invasive surgery.
Intuitive Surgical’s business model is highly successful and scalable. The company doesn’t just sell robots, it generates recurring revenues through the sale of disposable instruments and accessories. Additionally, hospital and surgical centers pay for service contracts, providing a stable and predictable income stream for the company. Over the last decade, the company has maintained steady cash flow and strong margins. Moreover, da Vinci surgical system installations have grown substantially. In its Q1 2024 financial results, revenue increased 11% year-over-year (YOY) to $1.7 billion. EPS increased 51% YOY, and its da Vinci surgical system installations increased by 14% to a record 8,887. The 2024 outlook remains strong, and investors are bullish on the recent FDA clearance of da Vinci 5, the company’s fifth-generation robotics system.
Amazon (AMZN)
Amazon (NASDAQ:AMZN) stock is a formidable force in the robotics market. The company’s massive fulfillment centers around the world are fully automated and rely heavily on robotics hardware and software.
Amazon’s robots do everything from sorting packages to transporting goods across warehouses. The company’s investments in robotics technology have significantly improved its efficiency and logistics, leading to faster shipping times. That is what separates Amazon from the competition, as CEO Jeff Bezos constantly says that the most important things for customers are low prices and fast shipping times. It also helps that the company owns Amazon Web Services (AWS), which powers robotics systems for businesses across multiple industries. In FY23, AMZN delivered solid operational results after implementing cost-cutting measures. With profitability expected to skyrocket in 2024, Amazon remains one of the best-in-class robotics stocks to buy now.
UiPath (PATH)
UiPath (NYSE:PATH) stands as a leader in robotics process automation (RPA), a software technology enabling businesses to automate repetitive, rule-based tasks. The company has hit a key inflection point and could be on the verge of a massive bull run over the next several years.
UiPath’s user-friendly and sophisticated platform allows businesses to implement and scale RPA operations with relative ease. Think of RPA as software robots that can manipulate applications, handle data and streamline workflows just as a human can do. The company’s position at the forefront of this trend bodes well for investors, as demand for AI and machine learning applications continues to disrupt industries. The company also recently teamed up with Google (NASDAQ:GOOG, NASDAQ:GOOGL) to further integrate cloud-based automation. However, the main inflection point previously discussed is the company declaring its first quarterly profit as a publicly traded company in Q4 FY24. CEO Rob Enslin doesn’t expect growth to slow down anytime soon, and the future of the RPA market remains extremely promising.
On the date of publication, Terel Miles did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
