Monday, April 21, 2014

Robot for a Prom Date: How About Robot Stocks?

No, this is not the prom date,
it is a military robot

There was a news item recently about how a female student who was unable to attend her high school prom, attended virtually through the use of a telepresence robot. It wasn't a humanoid robot, but at some point in the future, the mass production of humanoid robots will happen. 

Of course, robots aren't used just for entertainment purposes. In addition to the numerous robots used in manufacturing, there are robots for washing your windows and even algae eating robots

If you want to invest in robotics stocks, the easiest way that would provide the most diversification would be the Robo-Stox ETF (ROBO). But if you decide on your own robot stocks, has turned up over 50 stocks in the robotics industry and related industries. 

iRobot (IRBT) is a pure play in the robot industry. It better be with a name like that.  This Bedford, Massachusetts company, which trades on NASDAQ at a market cap of over $1.1 billion, produces the Roomba vacuum cleaner, the PackBot police and military robots, medical robots, and underwater research robots. The stock trades at 41 times trailing earnings and 28 times forward earnings. Latest quarterly revenues rose by 25.5%. The company is debt-free with $6.46 in cash per share.

ABB Ltd. (ABB), which trades on the New York Stock Exchange, is a Swiss company that has about 200,000 robots around the world. It is also involved in the production of power and low voltage products. The stock trades at 21 times current earnings and 15 times forward earnings. In addition, it provides investors with a nice yield of 2.8%, payable quarterly. 

Adept Technology (ADEP) is a Pleasanton, California based robotics company, including robot hardware, software, and vision. The stock trades at 54 times forward earnings. Earnings for this debt free company were negative for the latest quarter. With a market cap of only $166 million, this is a more speculative investment.

To access a free list of several dozen of the robot stocks, which includes price earnings information along with the company's connection to robotics, go to

Disclosure: Author didn't own any of the above at the time the article was written.


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