In the ever-evolving world of technology, robotics has emerged as a sector with immense potential. The quest for automation and efficiency has led to the development of some of the best robotics stocks to buy. These stocks represent companies at the forefront of innovation, transforming industries and shaping the future.
We will also delve deeper into the investment theses of three such stocks, each one having been selected based on its unique value propositions and growth potential. The aim is to provide a comprehensive guide to investing in the robotics sector, making it easier for investors to identify the best robotics stocks to buy.
Nauticus Robotics (KITT)
Nauticus Robotics (NASDAQ:KITT) is a pioneer in the field of largely untapped ocean robotics and cloud software. These industries hold significant growth opportunities.
On October 5th, KITT stock secured a Defense Department contract for amphibious robot software. Furthermore, Nauticus boasts a diverse robotic hardware portfolio, including a robotic submarine and an underwater manipulator. Now, with its Robotics as a Service (RaaS) strategy, Nauticus is actively carving out its long-term role in the ocean economy and robotics sector.
KITT stock also has some appreciable upside potential. The analyst consensus for this one is $5.75. It’s also trading well below its 52-week high. Its EPS is set to grow 47% this year and it remains in a healthy position with its current ratio being 4.90.
Intuitive Surgical (ISRG)
Intuitive Surgical (NASDAQ:ISRG) is a leader in the field of robotic-assisted, minimally invasive surgery. The company’s da Vinci surgical system aims to revolutionize the healthcare industry, making surgeries safer and more efficient.
The increasing adoption of robotic-assisted surgeries, driven by the need for precision and reduced recovery times, presents a significant growth opportunity for the company.
Intuitive Surgical reported robust Q2 sales and profit, surpassing expectations. However, ISRG saw a dip due to a sequential slowdown in procedure volume and the introduction of new weight-loss drugs impacting bariatric surgery. The use of the company’s da Vinci robotic surgery system grew by 22% YoY, albeit slower than Q1’s 26% growth.
Wall Street still has bullish expectations for ISRG stock. Its price target is $365.70. It’s also trading above its long-term moving averages such as the 50-day SMA.
Honeywell International (HON)
Honeywell International (NASDAQ:HON) is a diversified technology and manufacturing company with a significant presence in the robotics space, particularly in warehouse automation.
The company recently announced its acquisition of SCADAfence, a leading provider of cybersecurity solutions for large-scale operational technology (OT) and Internet of Things (IoT) networks. This acquisition will enhance Honeywell’s Forge Cybersecurity+ suite, expanding its asset discovery, threat detection, and compliance management capabilities.
Like other tech and AI stocks, HON also trades at a premium. Its FWD P/E ratio is 20.71, while its PEG ratio is 3.42. Things are looking generally positive though with an analyst price target of $221.09 and EPS growing 26.30% quarter-over-quarter. This makes it one of the best robotics stocks to buy.
On the date of publication, Matthew Farley did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
