The robotics sector has been expanding at an astounding rate, and the computer power required for these mechatronic devices is decreasing in price daily. The improved computer power and data-handling capabilities of mechatronic devices enable them to do previously inhuman behaviors. Robotics is disrupting various industries, including healthcare, logistics, and automobile industries, creating unprecedented potential. Therefore, robotics stocks are more relevant than ever for investors.
Over the next ten years, the worldwide robotics market is projected to expand at an annualized pace of 22.8%, according to a report. It will reach $214 billion by 2030 as demand for industrial robots rises and businesses improve their technological capabilities.
Consumers’ shifting demands are driving innovation in the robotics business. For instance, artificial intelligence has dramatically enhanced human-robot relations by enabling them to collaborate more effectively. The use of robotics for labor-intensive tasks is expanding, driving demand for these machines. Let’s examine seven of the top needle-movers in robotics warrant investment at current pricing.
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An Overview of the Robotics Industry
Robotics is a discipline of engineering and science that encompasses mechanical engineering, electronic engineering, information engineering, and computer science, among others. Robotics studies the design, manufacture, operation, and use of robots and the computer systems used for their control, sensory feedback, and data processing.
These technologies are utilized to create machines that can replace humans and mimic their actions. Robots can be used in a variety of settings and for a variety of objectives. However, most robots are employed in hazardous locations (such as bomb detection and defusal), manufacturing processes, and places where people cannot survive (e.g., in space). Although robots can assume any shape, some are designed to resemble humans. This is supposed to aid in the acceptability of a robot capable of replicating typical human actions. These robots imitate all human abilities, including walking, lifting, communication, and cognition. Numerous today’s robots are bio-inspired, contributing to the field of bio-inspired robotics.
The concept of building machines that can operate independently stretches back to antiquity, although study into the functionality and possible applications of robots significantly expanded in the 20th century. Throughout history, numerous researchers, inventors, engineers, and technicians have thought that robots will one day be able to imitate human behavior and perform activities in a human-like manner. As technology advancements continue, robotics is a fast-expanding field; the study, design, and construction of new robots serve a variety of home, commercial, and military uses. Numerous robots are designed to perform dangerous tasks, such as defusing explosives, locating survivors in unstable ruins, and exploring mines and ships. STEM (science, technology, engineering, and mathematics) also uses robotics as a teaching tool. Robotics is a subfield of engineering concerned with robot conception, design, production, and operation. This discipline combines electronics, computer science, artificial intelligence, mechatronics, nanotechnology, and bioengineering.
1. ReWalk Robotics Ltd. (RWLK)
Robots created by ReWalk Robotics are intended solely for use by those with physical limitations that make walking difficult. With its robotics technology, it helps people who have trouble walking due to strokes, spinal cord injuries, or other ailments.
People with these diseases may find a new lease on life with the help of severe robots. Future robots from the company ReWalk may make it easier for those with severe mobility problems to lead normal lives.
Despite ReWalk’s disappointing recent earnings report, the company’s future remains optimistic, according to industry experts. Recently, the FDA in the United States labeled one of its products a “breakthrough device.”
The announcement temporarily boosted ReWalk’s share price. The stock price of ReWalk needs to keep growing at this rate if it is to continue its upward path.
Regarding its finances, second-quarter 2022 revenue grew to $1.6 million from $1.4 million in the second quarter of 2021. The increase is due to the selling of more ReWalk Personal 6.0 devices in Europe and more distributed items in the United States.
Compared to the second quarter of 2021, when the gross margin was 51%, it decreased to 48% in the second quarter of 2022. The primary cause of the decrease is the rise in freight and service-related costs.
Currently, ReWalk Robotics’ balance sheet appears to be relatively healthy. It has had positive cash flow for the past few quarters and no debt.
ReWalk must continue to increase its top line if it wishes to maintain a positive stock price trend. However, considering its solid financial position and recent FDA certification, ReWalk is a robotics penny stock worth keeping an eye on.
2. Microbot Medical Inc
Microbot Medical, Inc. is a pre-clinical medical device research and development company that focuses on micro-robotics-assisted medical solutions for minimally invasive surgery.
With its ViRob, TipCAT, and CardioSert micro-robotic technologies, the company is developing a Self-Cleaning Shunt to treat hydrocephalus and normal pressure hydrocephalus; a revolutionary self-propelled and semi-disposable locomotive device to treat capabilities within tubular lumens in the human body (including the colon, blood vessels, and urinary tract); and a combination of guidewire and microcatheter technologies used for endo.
As of April 23, 2019, their global patent portfolio included 32 issued patents and 19 applications that had yet to be approved. In 2010, Hingham, MA, became the home of Microbot Medical Inc.
3. UiPath (PATH)
UiPath (NYSE: PATH) offers robotic process automation (RPA) services that can be effectively integrated with a company’s IT infrastructure to execute everyday operations such as invoice processing, customer onboarding, and data entry. It is the leader in this niche market, projected to grow at an astounding 38.2% compound annual growth rate (CAGR) between 2022 and 2030.
Due to the current macroeconomic situation, company growth rates have slowed. In a more favorable environment, however, top-line growth is projected to accelerate as gross margins stay in the mid-to-high-80s. Strong margins provide the company with considerable pricing power. In addition, it has $1.72 billion in cash, allowing it to continue expanding and investing in its business to deliver multibagger returns by the end of the decade.
4. Asensus Surgical Inc
Asensus Surgical Inc is a medical device company that focuses on the design, manufacture, and sale of robotic medical robotics that facilitate minimally invasive surgical procedures.
The Senhance System is a multi-port robotic surgery system that allows for the control of instruments and a camera by a number of separate robotic arms. The SurgiBot System is a robotically enhanced, single-port system for laparoscopic procedures.
It sells its wares both directly and through distributors in a number of different countries, including Europe, the United States, Japan, Taiwan, and a few others. The company’s headquarters can be found in Morrisville, North Carolina, and it was founded in 2006.
5. Viomi Technology Ltd. (VIOT)
Viomi Technology, based in China, develops Internet of Things–enabled technology and produces a number of different types of robot vacuum cleaners. Intelligent refrigerators, speakers, and printers are just a few examples of the cutting-edge household appliances and computer programs that Viomi Technology has created.
Chinese shoppers can easily acquire these products by visiting their official website or mobile application. Mi, a major player in the Chinese consumer electronics market, is also a partner.
Even while robots are most often linked with factories and other workplaces, they have plenty of potential applications in the household as well. Vacuum cleaners with robotic arms are just the start of how Viomi may one day use robotics.
Over the past six months, Viomi’s share price has been very consistent. After announcing a stock repurchase program in October, its share price jumped somewhat, but the gain has since been erased.
Viomi has a poor price-to-earnings ratio at the moment. In light of their most recent earnings report, the stock may be worth considering as a potential steal. Earnings for the third quarter of 2021 have not yet been reported, which might have a major effect on the stock price.
In addition, its most recent financial report revealed that Viomi’s gross margin is growing, a sign that the company’s financial health is improving. Since 2019, Viomi’s gross margin has increased by 1% annually, which is a positive sign for investors.
As Viomi Technology continues to create new products and expand its relationships, investors should keep a close eye on the company. The company has significant potential in the robotics market, and its stock price may soon begin to reflect this.
6. iRyhthm Technologies (IRTC)
IRyhthm Technologies (NASDAQ: IRTC) is a medical equipment company renowned for its Zio heart rate monitor. It is a sophisticated heart monitoring device that significantly simplifies remote monitoring and data collection compared to previous methods. The company asserts that its device enables healthcare practitioners to use big data to improve cardiac patients’ health results.
After a decline in the fourth quarter of 2021, the company’s recent performance has been promising. If it can successfully integrate telehealth and cloud health with cardiology, its top line can continue to rise by double-digit margins in the future. In addition, the company intends to produce new goods, such as the Zio Watch, and enhance its existing products and services to expand its market share. Its stock is currently down more than 40 percent from its all-time high of $250, creating an excellent entry position for long-term investors. Consequently, it is one of the top robotics stocks to purchase.
Semiconductors are the fundamental components of all technology, and Nvidia has become a leader in this field, and its innovative circuitry designs enable robotics and other high-end computer processes.
GPUs (graphics processing units) from Nvidia accelerate the rate at which computing units, including data centers, personal computers, and small Internet of Things (IoT) devices, can crunch data. For a sophisticated system like a robot, computation speed is essential. Nvidia’s “Jetson” line of modules is just one example of the company’s work. Jetson devices, equipped with artificial intelligence (AI) and machine learning software, are used in various use cases, including industrial and manufacturing machinery, healthcare devices, and autonomous vehicles.
With its sophisticated hardware and software capabilities, Nvidia is a leading robotics provider that helps its customers access the power of artificial intelligence.
8. Greenland Technologies Holding Corporation
Greenland Technologies Holding Corporation develops and manufactures transmission devices for material handling machines in the People’s Republic of China through its subsidiaries.
The company provides transmission components, such as mechanical and hydraulic gearboxes and transaxles, for small and medium-sized forklift trucks used in industrial and logistics applications, including factories, workshops, warehouses, fulfillment centers, shipyards, and sea ports. Additionally, it creates robotic cargo carriers.
The company was established in Hangzhou, People’s Republic of China, in 2006.
9. Intuitive Surgical
Intuitive Surgical is an innovator in robotic surgery. Its da Vinci system debuted on the market in 2000 and has since spread globally. The robots of Intuitive Surgical enable surgeons and their teams to perform more precise surgeries, resulting in significantly improved patient outcomes and recovery times.
After more than two decades, Intuitive Surgical is still expanding. The great majority of daily surgeries are performed without robotic help, and thus there is ample potential to develop additional da Vinci capabilities and machines to perform more procedures. In addition, once one of Intuitive’s systems is implemented, the business model provides recurring revenue through selling disposable instruments, services, and support.
This application of robotics technology and recurring revenue after a da Vinci robot is installed make Intuitive Surgical one of the safest healthcare technology investments over the long term.
10. Fanuc (FANUY)
Fanuc (OTCMKTS: FANUY) is a Japanese industrial robotics behemoth in the United States, China, and Japan. Its products are utilized for various functions, and its revenue source is broad, with over half of its revenue coming from its nation and China. Both markets are significant players in the overall industrial robotics market. From 2021 to 2025, it is anticipated that China’s robotics sector’s operating income will increase by an average of 20% annually.
Over the past five years, Fanuc has been consistently profitable and has grown its top line by an average of 8% annually. Moreover, its EBITDA grew by an astounding 11% annually during the same period. FANUY is positioned to benefit from the anticipated significant expansion in its main markets over the following several years. In addition, it offers a substantial dividend return of over 2.5%.
11. Kraken Robotics
Kraken Robotics is a robotics penny stock that delivers ocean solutions for underwater environments. In addition to their great name and emblem, they are in a beautiful industry.
It offers various products, including deep-sea submersible vehicles, pressure-resistant batteries, and three-dimensional imagery. Additionally, sonar and sonar vehicles. And a significant portion of these is unmanned or autonomous.
RaaS (Robotics as a Service) is also one of their weapons. Plus, engineering and signal processing support.
In addition, the leadership at Kraken is excellent. The CEO has previously founded and grown a business. And he ended up selling it for nearly $50 million.
Recently, they got a contract for subsea inspections worth over $7 million. They have also received an agreement with the Canadian government. In addition, they secured a new Fortune 500 client. In addition, they have purchased the sub-seabed imaging business PanGeo. This robotics penny stock is one worth investigating.
12. Rockwell Automation
Rockwell Automation is a technological leader in the industrial sector. Its technologies, components, and software enable manufacturers to create more intelligent and efficient machines. Rockwell’s services and equipment are utilized by numerous sectors of the economy, including energy and chemical producers, food and beverage manufacturers, and automobile manufacturers.
The sectors that Rockwell serves have existed for a long time and no longer exhibit secular growth. Nevertheless, as a market leader in highly profitable robotics and related IT services, Rockwell has steadily expanded its profitability (as measured by free cash flow) during the previous ten years. As its manufacturing partners seek innovative ways to boost productivity, Rockwell might continue to profit and reward shareholders with dividend increases and share repurchases.
Investing in robotics penny stocks is wise if you can locate reliable companies. Robots are altering our lifestyles, interactions, and even our ability to recuperate from disease and injury. They are speculative, but they will endure.