5 Best Robotics Stocks To Buy Now

In this article, we discuss 5 best robotics stocks to buy now. If you want to see more stocks in this selection, check out 13 Best Robotics Stocks To Buy Now. 

5. Zebra Technologies Corporation (NASDAQ:ZBRA)

Number of Hedge Fund Holders: 31

Zebra Technologies Corporation (NASDAQ:ZBRA) is an Illinois-based company that provides enterprise asset intelligence solutions worldwide. The company also specializes in cloud-based software subscriptions and robotics automation solutions, serving retail and e-commerce, manufacturing, transportation and logistics, healthcare, and public sectors. It is one of the best robotics stocks to invest in. 

On November 2, Baird analyst Richard Eastman maintained an Outperform rating on Zebra Technologies Corporation (NASDAQ:ZBRA) but lowered the price target on the shares to $300 from $330. The analyst said that the Q3 sales/EPS miss primarily reflected execution around the supply chain, but large project deceleration was also observed. He reiterated his positive view on Zebra Technologies Corporation (NASDAQ:ZBRA)’s longer-term growth prospects but acknowledged that improved 2023 visibility is probably needed to provide support for future catalysts.

According to Insider Monkey’s data, 31 hedge funds were long Zebra Technologies Corporation (NASDAQ:ZBRA) at the end of September 2022, compared to 33 funds in the prior quarter. John W. Rogers’ Ariel Investments held the largest position in the company, with 477,118 shares worth $125 million. 

Here is what Ariel Investments has to say about Zebra Technologies Corporation (NASDAQ:ZBRA) in its Q3 2020 investor letter:

“Barcode manufacturer Zebra Technologies Corporation (NASDAQ: ZBRA) was another strong performer in the period. Although global supply chain disruptions and weaker demand in China resulted in the company pulling its full year guidance, ZBRA has been delivering revenue and earnings above Wall Street expectations throughout the pandemic. Meanwhile ZBRA is entering the new fiscal year with a solid backlog, driven by orders from larger customers, which include the United States Postal Service. Looking ahead, we believe the company’s diversified end-markets, strong financial position and solid balance sheet will enable ZBRA to continue to weather pandemic related weakness in the enterprise spending environment.”

4. Teradyne, Inc. (NASDAQ:TER)

Number of Hedge Fund Holders: 33

Teradyne, Inc. (NASDAQ:TER) is a Massachusetts-based company that designs, develops, and manufactures automatic test equipment worldwide. The company operates through Semiconductor Test, System Test, Industrial Automation, and Wireless Test segments. The Industrial Automation segment provides collaborative robotic arms, autonomous mobile robots, and advanced robotic control software for manufacturing, logistics, and light industrial applications.  

On November 14, Teradyne, Inc. (NASDAQ:TER) declared a $0.11 per share quarterly dividend, in line with previous. The dividend is distributable on December 21, to shareholders of record on November 28. 

DA Davidson analyst Thomas Diffely on October 27 maintained a Buy rating on Teradyne, Inc. (NASDAQ:TER) but trimmed the price target on the shares to $105 from $120. The analyst noted that while Teradyne, Inc. (NASDAQ:TER) outperformed on Q3 earnings and guided better than expected for Q4, its management expects Q1 2023 performance to be “sub-seasonal” amid weak industrial demand and China headwinds. However, he remains bullish on the stock over the medium-to-long term.

According to Insider Monkey’s Q3 data, 33 hedge funds were bullish on Teradyne, Inc. (NASDAQ:TER), compared to 30 funds in the prior quarter. Alkeon Capital Management is the largest stakeholder of the company, with 2.4 million shares worth nearly $184 million. 

Here is what Carillon Scout Mid Cap Fund has to say about Teradyne, Inc. (NASDAQ:TER) in its Q1 2022 investor letter:

“Semiconductor test equipment and industrial robot producer Teradyne (NASDAQ:TER) fell after offering lower than expected revenue guidance due to fewer orders from its largest customer. Semiconductor equipment companies as a group underperformed as investors feared a general slowdown in semiconductor demand if the global economy slows.”

3. Rockwell Automation, Inc. (NYSE:ROK)

Number of Hedge Fund Holders: 35

Rockwell Automation, Inc. (NYSE:ROK) specializes in industrial automation and digital transformation solutions in North America, Europe, the Middle East, Africa, the Asia Pacific, and Latin America. The company operates through three segments – Intelligent Devices, Software & Control, and Lifecycle Services. Rockwell Automation, Inc. (NYSE:ROK) focuses on integrated robot technology and robot automation, and it is one of the premier stocks to consider for exposure to the robotics industry. 

On October 27, Rockwell Automation, Inc. (NYSE:ROK) declared a $1.18 per share quarterly dividend, a 5.4% increase from its prior dividend of $1.12. The dividend is payable on December 12, to shareholders of record on November 14. The dividend yield on November 22 came in at 1.77%. 

Baird analyst Richard Eastman on November 17 raised the price target on Rockwell Automation, Inc. (NYSE:ROK) to $265 from $250 and kept an Outperform rating on the shares. The analyst observed that tighter integration of hardware, software, services, and scalable platforms compatible with vertical specific applications is supporting higher penetration.

Among the hedge funds tracked by Insider Monkey, 35 funds reported owning stakes in Rockwell Automation, Inc. (NYSE:ROK) at the end of Q3 2022, compared to 28 funds in the prior quarter. Israel Englander’s Millennium Management is the largest stakeholder of the company, with 953,525 shares worth $205 million. 

Here is what Harding Loevner Global Equity Fund has to say about Rockwell Automation, Inc. (NYSE:ROK) in its Q1 2022 investor letter:

“Rockwell Automation (NYSE:ROK) is one such provider, which we purchased during the market correction this quarter. The company—still based in Milwaukee, where it developed its first product, a device to control the speed of electric motors, 120 years ago—has a particular focus on North America. Rockwell’s sales growth had stalled during the US capex recession following the recovery from the Global Financial Crisis. The company sold sensors, actuators, valves, and control software, but lacked the ability to weave all these offerings together to provide a single control point for clients wanting to automate an existing plant or build a fully automated new one. Its 2018 minority investment in PTC Inc (NASDAQ:PTC), a Boston-based industrial software firm with a strong capability in augmented reality and visualization tools, marked a turning point in Rockwell’s fortunes. Through this partnership, Rockwell was able to develop software that integrated data from individual business segments, stitching it together on its “FactoryTalk” platform, to give managers a real-time digital picture of their operations. The company is now a chief enabler and beneficiary of reshoring initiatives as a wave of manufacturers scarred by pandemic supply chain disruptions look to automation to help them recreate some of the cost savings that had driven their offshoring in the first place. After hardly growing for seven years, the company saw orders increase 40% in the first quarter over the same period last year and predicted organic sales growth of between 14% and 17%.”

2. Honeywell International Inc. (NASDAQ:HON)

Number of Hedge Fund Holders: 53

Honeywell International Inc. (NASDAQ:HON) operates as a diversified technology and manufacturing company worldwide. Honeywell Robotics provides products such as Mobile Robotics, Order Picking Technology, Smart Flexible Depalletizers, Robotic Sorter Induction, and Loading and Unloading Automation Technologies. Honeywell International Inc. (NASDAQ:HON) is one of the best robotics stocks to invest in. 

On October 31, Baird analyst Peter Arment raised the price target on Honeywell International Inc. (NASDAQ:HON) to $225 from $202 and maintained an Outperform rating on the shares. The analyst said its strong Q3 bottom-line beat indicates ongoing progress in primary commercial markets and its execution, despite headwinds like supply chain constraints, meaningful declines in warehouse automation, and PPE demand.

According to Insider Monkey’s Q3 data, 53 hedge funds were long Honeywell International Inc. (NASDAQ:HON), compared to 42 funds in the last quarter. Ric Dillon’s Diamond Hill Capital is the largest stakeholder of the company, with 1.13 million shares worth $190.2 million. 

Here is what ClearBridge Investments has to say about Honeywell International Inc. (NASDAQ:HON) in its Q1 2021 investor letter:

“The portfolio’s quality bias and valuation discipline have generated compelling returns over time with typically strong relative results in more challenging environments as it did through the first three quarters of 2020. However, that same quality bias tends to create a more challenging relative performance environment for the Strategy during periods of sharp economic acceleration, which tend to benefit stocks that are more commodity linked or of lower quality. This has been the case during the vaccine- and stimulus-driven rally experienced late last year and during the most recent quarter. Sectors that lagged in the quarter included industrials, Honeywell also lagged in the quarter after previously generating strong returns over extended periods.”

1. Intuitive Surgical, Inc. (NASDAQ:ISRG)

Number of Hedge Fund Holders: 69

Intuitive Surgical, Inc. (NASDAQ:ISRG) is a California-based company that develops, manufactures, and markets products that enable healthcare professionals to improve the quality and access to minimally invasive care in the United States and internationally. Intuitive Surgical, Inc. (NASDAQ:ISRG)’s Da Vinci Surgical Systems provide integrated technologies for robotic-assisted surgeries. Intuitive Surgical, Inc. (NASDAQ:ISRG) is one of the best robotics stocks to monitor. 

On October 25, Intuitive Surgical, Inc. (NASDAQ:ISRG) announced a $1 billion share repurchase agreement with Citibank. Intuitive Surgical, Inc. (NASDAQ:ISRG) will make an initial payment of $1 billion to Citi and receive nearly 3.6 million shares. The final settlement of the agreement is anticipated to occur in the last week of December. 

Truist analyst Richard Newitter on November 14 raised the price target on Intuitive Surgical, Inc. (NASDAQ:ISRG) to $300 from $260 and reaffirmed a Buy rating on the shares as part of a broader research note after his meetings with management teams at the MedTech San Francisco Bay Area bus tour. 

According to Insider Monkey’s data, 69 hedge funds were long Intuitive Surgical, Inc. (NASDAQ:ISRG) at the end of September 2022, compared to 56 funds in the prior quarter. Ken Fisher’s Fisher Asset Management held the leading position in the company, comprising 4.2 million shares worth $796 million. 

Polen Capital made the following comment about Intuitive Surgical, Inc. (NASDAQ:ISRG) in its Q3 2022 investor letter:

“Our sale of Intuitive Surgical, Inc. (NASDAQ:ISRG) reflected our concern that the company’s earnings growth over the next few years was likely to be somewhat lower than we would hope. Hospital and government capital budgets are coming under pressure from wage and supply chain inflation that they cannot readily pass on to patients and insurers. At the same time, the installed base of Da Vinci robots left to upgrade to new systems is low. If that slower growth view plays out, it would be difficult to get the double-digit annualized return we require, given the company’s higher valuation relative to most other companies in the Portfolio as of now.”

You can also take a look at 15 Most Volatile Stocks To Buy Now and 10 Best Robotics Stocks Under $10.