10 Cheap Robotics Stocks To Buy

8. Microchip Technology Incorporated (NASDAQ:MCHP)

Number of Hedge Fund Holders In Q1 2024: 35

Price Upside: 20%

Average Share Price Target: $93.96

Microchip Technology Incorporated (NASDAQ:MCHP) is a backend robotics company that makes and sells products such as signal processors and microcontrollers. These are products that are used in a wide variety of computing systems, from robots to data centers. This allows Microchip Technology Incorporated (NASDAQ:MCHP) to benefit from a sizeable computing market at its disposal, as it can pivot between several high growth industries such as artificial intelligence data centers and robots. However, Microchip Technology Incorporated (NASDAQ:MCHP) is also vulnerable to the broader cyclical nature of the chip industry, where it suffers from several quarters of revenue slowdown because of demand and supply mismatch. However, a key competitive advantage for the firm is its diversified product portfolio which is geared towards IOT, self driving, edge computing, robotics, and other high growth industries through hardware and software products.

Microchip Technology Incorporated (NASDAQ:MCHP)’s management shared key details for its products that can be used in robots during the Q1 2025 earnings call where it shared:

“In early July, we announced our entry into the 64-bit embedded microprocessor market with a suite of products, developments to address high-performance embedded processing applications, including AI-enabled edge solutions.

This extends our strong 32-bit embedded microprocessor portfolio to higher performance and increased capabilities while preserving Microchip’s historically strong ecosystem of leading development tools to make adoption easy for embedded system design engineers. Microchip is the only company to offer the widest embedded control and processing platform from 8 to 64 bit as well as FPGAs with a common development to ecosystem, that’s empowering customers to innovate and reuse their work across a wide spectrum of markets and applications.”