What are the best robotics stocks right now for investors?
Seeking Alpha analysts Michael Del Monte and Julia Ostian offer their picks.
Michael Del Monte: Ametek (AME) remains a top pick for robotics companies. AME is well diversified across products and sectors, mitigating much of the cyclical risk involved with industry-focused companies like Teradyne (TER) or Symbotic (SYM) for semiconductors or warehousing.
With significant investments in pharmaceuticals coming into the U.S., Cognex (CGNX) may be an appealing investment strategy, given its focus on AI-enabled scanners for product testing.
Julia Ostian: I’ve been heavily focused on robotics lately, and the more I research, the more obvious it becomes that it’s still very early to invest directly in companies that build robots, even though I already have a few personal favorites.
My top pick is Amazon (AMZN) because it already operates more than a million cobots in its warehouses, develops self-driving vehicles like Zoox, and even has its own humanoid robot program. With its scale, data, and resources, I believe it has a strong shot to make it work.
At the same time, I prefer to hold names that will power robotics long before humanoids appear, and Micron (MU) is my strongest conviction stock here, since every form of automation (EVs, drones, robotics, etc.) increases demand for memory and storage. Also, I believe Micron (MU) is still undervalued.
UiPath (PATH) is another interesting one at these levels. It is positioned on the software side of automation and will benefit from every company that attempts, succeeds, or fails at robotics.
If someone wants something closer to “pure robotics,” I’m following Serve Robotics (SERV) very closely because its delivery robots and Uber (UBER) Eats partnership give it huge visibility, even though at today’s valuation it’s still too speculative for me.