best robotic stocks
Stock Market Analysis

3 Best Robotic Stocks To Buy

A growing trend among investors is investments in future relevant stocks such as AI, so we compiled 3 of our favorite robotics stocks.

It was only a matter of time before the robots depicted in movies came to life, from machines cleaning homes to lending a helping hand at warehouses. This industry is on the rise in the automotive, healthcare and defense sectors, making it a great time to invest in robotic stocks.

MyWallSt’s 3 Best Robotic Stocks

1. iRobot

iRobot (NASDAQ: IRBT) is a big name in the robotics industry, posting 43% revenue growth for its most recent quarter. The company is well known for its efficient cleaning robot, the Roomba, and more recently its mopping product, Braava.

The company has also teamed up with big-name e-commerce giants including Amazon (NASDAQ: AMZN) and Alphabet (NASDAQ: GOOGL), who have taken a liking to iRobots mapping that it has done for people’s homes. For instance, Amazon’s warehouse is powered by a number of robots to help with efficiency and keep up with demand, mainly performing the most repetitive and time-consuming tasks.

iRobot has given guidance for the full year 2020 of revenue of $1.365 – 1.375 billion. This is pretty impressive considering the company has a market cap of $2.1 billion and could provide a value-play for investors in a market that has become bloated of late.

2. PTC

It is an exciting time to be involved in the robotics industry with a lot of room to improve the running of robots. PTC (NASDAQ: PTC) is a stand out when it comes to developing software that allows accuracy and collaboration for the robot design process. The company made $1.46 billion for the fiscal year of 2020, up 16% year-on-year. 

A number of manufacturers are now moving towards digitization and smart factories, meaning there will be more potential for PTC to grow as a business. Future predictions by analysts are promising, expecting $500 million in free cash flow in 2022, while for 2024, it’s predicted that PTC will deliver a free cash flow of around $850 million. 

3. Raytheon

Defense and government agencies are always looking for innovative ways to assist soldiers fighting on the ground. One company that is helping the defense force by offering autonomous aircraft to have eyes in the sky, including drones, is Raytheon (NYSE: RTN).

Raytheon posted bookings of $36.3 billion for 2019. Looking at revenue growth for 2020, the company expects growth of around 6% to 8%. Raytheon has been working on an exoskeleton that helps logistics workers move heavy military equipment. This is something that could hit the market running and boost sales for the company. On top of this, the business is merging with United Technologies (NYSE: UTX), a deal that is expected to generate $74 billion in annual sales.

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MyWallSt operates a full disclosure policy. MyWallSt staff currently hold long positions in iRobot. Read our full disclosure policy here.

Alsha Coppolina
Alsha Coppolina
Alsha is a contributing writer to MyWallSt. Alsha’s favorite stock is Shopify because not only does she enjoy a bit of online shopping, but she believes the e-commerce solutions business is going to continue making big gains.