Automation is gaining momentum in this fast-paced business environment owing to the enhanced efficiency that robots offer. Moreover, the adoption rate of robotics technology is constantly growing as it eases work and saves time and labor.

Industrial and service robots are being deployed rapidly across the world as these are helping businesses accelerate production, scale expansion and operational cost reduction simultaneously.

The growing integration of AI and Machine Learning (ML) into machines has made the robotics technology extremely dynamic and innovative.

Notably, robots are becoming mainstream in several major sectors, including industrial, automotive, electronics, healthcare and food & beverages.

Additionally, the popularity of robots is on a high in the retail sector due to the growing demand for automated warehouses and fulfillment centers globally. Retailers are tackling labor shortages and wage issues by deploying robots.

The coronavirus pandemic boosted the scope of robots. The automatic interactive machines are capable to address the manpower shortage issue, which has been one of the major concerns across many disrupted sectors, amid the pandemic.

We believe that robotics, as a field, holds immense potential in the days ahead, courtesy of continuous advancements in AI and ML and improvements in machine vision and sensors.

Per a report by Mordor Intelligence, the global robotics market is expected to see a CAGR of 17.6% between 2023 and 2028. The market size is expected to hit $258.36 billion by 2028.

A Statista report shows that revenues from robotics market is expected hit $34.9 billion in 2023 and reach $43.3 billion by 2027 at a CAGR of 5.5% between 2023 and 2027.

Robotic Stocks in Focus

Here we focus on four stocks – Amazon (AMZN Quick QuoteAMZN - Free Report) , ReWalk Robotics , Rockwell Automation (ROK Quick QuoteROK - Free Report) and UiPath (PATH Quick QuotePATH - Free Report) that hold strong fundamentals to capitalize on the growth prospects present in the robotics market. Each stock carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Amazon, which is a dominant player in the e-commerce space, is making every effort to bolster its capabilities with robotics. Its strengthening robotics arm, Amazon Robotics, is a major positive. Moreover, the company continues to benefit from the robots deployed at its fulfillment centers. In this regard, the company’s acquisition of the robotic startup Canvas Technology remains noteworthy. We note that Canvas Technology is best known for its fully-autonomous cart systems that are of great use in fulfilment centers as they aid in shifting goods around warehouses.

The introduction of the fully-autonomous mobile robot called Proteus, which is powered by Amazon’s advanced safety, perception and navigation technology, is a major positive. It is capable of working in the same area with humans work and automatically moving around employees. It can easily detect any human in its proximity and waits until the person moves away.

The launch of a home robot called Astro, which rolls around the house autonomously, is noteworthy. Astro, which marks itself as the first domestic robot, is embedded with cameras, a microphone, motion sensors and a rotating screen with digital eyes

ReWalk Robotics is known for its innovative solutions in the medical science space. The company’s ReWalk is a wearable robotic exoskeleton, which is the first of its kind to receive FDA clearance for personal and rehabilitation use in the United States.

The exoskeleton helps patients with spinal cord injury to stand, walk, turn, climb and descend stairs as it provides hip and knee motion and support. The company is gaining strong momentum with its latest ReWalk Personal 6.0 Exoskeleton. We believe the growing demand for ReWalk is expected to boost the company's prospects in the healthcare sector in the days ahead.

Rockwell Automation is a leading provider of industrial automation and information solutions worldwide. Its strong wins of expansion projects in e-commerce and warehouse automation on the back of its flexible material handling technology and digital twin software, is a major positive.

The company’s strategic partnership with innovative robot manufacturers like Comau, FANUC and DENSO Robotics remains noteworthy.

The company recently invested in READY Robotics, which is well known for its ForgeOS platform that helps in controlling and programing popular brands of robots from a single user-friendly interface. Rockwell strives to simplify robot integration by integrating ForgeOS into its line of Logix controllers and design and simulation software. With this, ROK aims to boost time-to-market of industrial automation deployments

UiPath is well-known for its end-to-end AI-powered automation platform called Business Automation Platform, which offers automations for existing and new processes. Further, UiPath offers software robots that can replicate steps performed by humans in executing business processes. Moreover, these robots are well-equipped to perform wide range of tasks, which brings operational efficiencies in the workflow.

This apart, the company’s efforts to expand its reach to SAP customers are notable. It recently expanded its partnership with SAP to offer the UiPath Business Automation Platform to customers. This will enable customers businesses to accelerate digital transformation, automate critical operations and ease migrations to SAP S/4HANA.