3 Robot Stocks to Buy Now


  • Investors looking for robot stocks to buy should start with these three well-known companies.
  • iRobot (IRBT): It’s not too late to buy shares before Jeff Bezos does.
  • Intuitive Surgical (ISRG): The leader in surgical robots has a wide moat.
  • ABB Ltd. (ABB): Demand for industrial robots is growing around the world.
robot stocks to buy - 3 Robot Stocks to Buy Now

Source: Shutterstock

Late last month, Tesla (NASDAQ:TSLA) unveiled a prototype of its Optimus robot, which it says is being developed for use in manufacturing settings and eventually in homes to help with chores or even to serve as a companion. Admittedly, Optimus still has a long way to go. However, fueled by advancements in artificial intelligence, technology companies are ushering in an era that was once only imaginable in science fiction novels and on “The Jetsons.” They are designing advanced robots to help consumers with everyday tasks such as scheduling meetings, controlling the thermostat and cleaning floors. Of course, the application go far beyond domestic tasks. Robots are also being used in manufacturing, defense and even surgery. Today, we’ll look at some of the best robot stocks to buy

While many people applaud advances in robotics, others raise concerns about privacy, data sharing and the potential for malfeasance on the part of bad actors. Whatever your personal opinion might be, there’s no denying that robots are a fast-growing subsector of the technology industry and a potentially good investment.

Here are three robot stocks to buy now.

IRBT iRobot $56.23
ISRG Intuitive Surgical $186.55
ABB ABB Ltd. $24.99

iRobot (IRBT)

An iRobot (IRBT) Roomba inside Saturn electronic store
Source: Grzegorz Czapski / Shutterstock.com

iRobot (NASDAQ:IRBT) was founded in 1990 by three scientists with the Artificial Intelligence Lab at the Massachusetts Institute of Technology. It got its start building military hardware such as bomb-disarming robots. Today, the company is best known for its robot cleaners, primarily its Roomba vacuum cleaners and Braava floor mops. As of 2021, the company had sold more than 40 million home robots.

In August, Amazon (NASDAQ:AMZN) announced its intention to purchase iRobot for $1.7 billion, or $61 a share in cash. Amazon’s plans for iRobot have not been disclosed. But analysts expect that Amazon will integrate iRobot into its smart home products segment that includes the e-commerce giant’s Astro robot. Astro is designed to help with small chores and tasks around the house.

While iRobot is being acquired, it is not too late to buy IRBT stock before Amazon’s purchase is completed, which is expected to happen next year. Currently, iRobot shares are trading around $56, or 8.5% below the $61 that Amazon has agreed to pay per share once its acquisition receives the necessary regulatory approvals.

Intuitive Surgical (ISRG)

A sign with the Intuitive Surgical logo standing outside of a company office. ISRG stock.
Source: Sundry Photography / Shutterstock.com

Robots today are becoming increasingly prevalent in medicine, particularly in surgical procedures. California-based Intuitive Surgical (NASDAQ:ISRG) is a leader when it comes to the development of cutting-edge surgical robotic procedures — from minimally invasive to major surgeries. The company’s most widely used product is its da Vinci Surgical System. The robotic surgical system, which is controlled by a surgeon, is used for prostate surgeries, to repair heart valves and for gynecologic procedures. As of the second quarter, the company had installed 7,135 of its da Vinci systems, which can cost upward of $2 million apiece, making customers likely to stick with the system once they have purchased it.

As most tech stocks, ISRG shares have been battered and bruised, falling 48% this year. However, shares are up nearly 55% over the past five years. And they have gained almost 2,000% since their market debut in 2000, when the stock went public at $9 a share.

Long term, ISRG stock has proven to be an excellent investment. The company continues to break new ground in the world of robotic surgical procedures.

ABB Ltd. (ABB)

ABB Robotics, Inc. training center in suburban Detroit.
Source: Daniel J. Macy / Shutterstock.com

While Swiss multinational ABB Ltd. (NYSE:ABB) may not be well-known in America, the company has been in business since the late 1800s. The modern version of the company was formed in 1988 and is today focused on robotics and automation technology. Specifically, the company makes YuMi, an industrial robot that works alongside humans in industrial assembly factories. YuMi has two large arms that enable it to quickly and efficiently perform tasks on assembly lines.

ABB is also heavily involved in the development of electric vehicle battery chargers. The company’s Terra High Power charger is the “world’s fastest electric car charger,” according to ABB. Theoretically, it can charge an EV in 15 minutes or less.

Like the other companies on this list, ABB stock is available at a discount right now. Year to date, the stock is down 35%. ABB also offers a healthy dividend yield of 3.5%.

Disclosure: On the date of publication, Joel Baglole did not have (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.

Article printed from InvestorPlace Media, https://investorplace.com/2022/10/3-robot-stocks-to-buy-now/.

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