Robotics Space Holds Promise In 2020: Stocks Under Spotlight
Zacks Investment Research | Dec 18, 2019 10:21PM ET
The data-oriented and fast-paced nature of the world has led to robotics technology gaining traction across major sectors including industrial, automotive, electronics, healthcare, retail and food & beverages.
Rapid advancement in robotics technology is driving automation that increases efficiency and ease of any work, thus saving both time and human labor in the process. Further, growing integration of AI and ML with machines has made robotics technology extremely dynamic and innovative.
We believe robotics as a field holds immense potential for the robot makers in 2020, courtesy of continuous advancement in AI and improvements machine vision and sensors. Moreover, increasing usage of robots is likely to revolutionize the production sites, automobile and electronics manufacturing, retail stores, hospitals, office areas, distribution operations and homes.
Per a Teradyne, Inc. Quote
ABB (NYSE:ABB) is a leading power and automation technology company. Its Robotics & Discrete Automation segment offers machine and factory automation solutions and a wide-ranging robotics solutions and applications suite.
Recently, the company commenced working on its new robotics manufacturing and research facility in China. The research facility is likely to open in 2021 and entails an overall investment of $150 million.
ABB has a Zacks Rank #2.
iRobot (NASDAQ:IRBT) is one of the leading manufacturers of robots worldwide. The company’s offerings in the consumer sector includes highly advanced products — Roomba Vacuums, Braava Mops and Terra Mows. The company is also benefiting from strengthening global household adoption rates of its Roomba and Braava products.
Further, the company’s Root Robotics buyout is likely to enhance educational robot product offerings. Moreover, its Sales On Demand Corporation and Robopolis SAS buyouts are aiding the company in expanding international presence.
iRobot carries a Zacks Rank #3.
Amazon (NASDAQ:AMZN) , which is a dominant player in the e-commerce space, is making every effort to reinforce retail capabilities with robotics. Its strengthening robotics arm, Amazon Robotics, and increasing number of its robotics buildings globally are tailwinds.
Further, the company’s acquisition of the robotic startup Canvas Technology is a major positive. We note that Canvas Technology is best known for its fully autonomous cart systems that are of great use in fulfillment centers as they aid in shifting goods around warehouses.
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Further, Amazon’s buyout of robotics company Kiva Systems is a major positive. The acquisition aided Amazon in introducing two new kinds of robots for its fulfillment centers — Xanthus and Pegasus.
Amazon carries a Zacks Rank #3.
Zacks Top 10 Stocks for 2020
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