How to choose the 2025 robot concept stocks? These automation concept stocks are worth paying attention to.

The robotics industry has become a new hotspot for global technology investments. With breakthroughs in AI technology and widespread applications of artificial intelligence, concept stocks related to robotics are experiencing unprecedented development opportunities. But faced with a plethora of automation concept stocks, how should investors filter out truly valuable targets?

Why Are Robotics Concept Stocks Worth Paying Attention To?

Robotics concept stocks refer to listed companies engaged in hardware R&D, manufacturing, system integration, and application of robots. The application fields of this industry go far beyond imagination—from traditional industrial manufacturing to medical surgery, logistics and warehousing, defense, and aerospace. The penetration of robot technology is accelerating.

According to TrendForce’s forecast, by 2027, the global humanoid robot market value is expected to surpass $2 billion, with a compound annual growth rate (CAGR) of 154% from 2024 to 2027. This indicates that companies across the entire robotics supply chain face enormous growth potential.

How to Assess the True Value of Automation Concept Stocks?

When selecting robotics concept stocks, investors can evaluate from the following dimensions:

First, look at the breadth of market demand

The wider the application scope of robots, the larger the demand volume, and the greater the growth potential of related companies. For example, many countries face aging populations, leading to continuous growth in surgical robot demand, providing a stable market foundation for relevant manufacturers. Investors should prioritize companies whose products have penetrated multiple application fields.

Second, look at the intensity of R&D investment

The pace of technological iteration in the robotics industry is extremely fast, especially with the integration of AI, which accelerates update cycles. Whether a company can sustain R&D investment directly determines its competitiveness. Examining whether the company’s cash flow from investing activities (CFI) remains high or continues to rise can indicate its emphasis on technological innovation. For instance, Delta Electronics (2308) significantly increased R&D investments after 2021, with CFI remaining high—this is a strong proof of continuous innovation.

Third, consider the position in the industry chain

The robotics industry includes four major segments: core components, system integration, software development, and application. Upstream component suppliers generally have stronger risk resistance, while system integrators enjoy higher gross margins. Investors should choose based on their risk preferences.

How to Choose Robotics Concept Stocks in the Taiwan Stock Market?

Taiwan’s automation concept stocks are robust, covering all segments of the industry chain:

Delta Electronics (2308): A Versatile Player in Industrial Automation

As of December 10, 2025, Delta’s YTD increase reached 132.85%, making it a star among Taiwan’s robotics concept stocks. The company began deploying automation as early as 1995, with 20 manufacturing bases and thousands of production lines worldwide, exemplifying automation upgrade practices.

From its Q3 financial report, Delta posted a net profit after tax of over NT$18.6 billion in a single quarter, a 50% increase year-over-year, with EPS exceeding NT$7, setting a quarterly record. In Q4, October revenue hit a new high of over NT$57.3 billion, nearly 50% YoY growth. The company’s performance is mainly driven by global demand in power supply and infrastructure sectors, especially AI data centers and energy transition. Looking ahead to the second half of 2025, Delta plans to launch new products such as AI server power supplies and liquid cooling solutions to further strengthen its position in high-end technology markets.

Chroma (2360): The Hidden Champion’s Robotics Weapon

Although Chroma Electronics does not directly produce robots, as a leading global testing equipment manufacturer, its precision measurement and automation testing technologies are crucial for the robotics industry. With over thirty years of experience, Chroma’s testing systems support various product lines including industrial robots, collaborative robots, and autonomous mobile robots.

In the first three quarters of 2025, its performance was outstanding, with EPS more than doubling year-over-year and gross margin approaching 60%. In Q3 alone, net profit after tax reached NT$5.066 billion, EPS NT$11.99; cumulative net profit for the first three quarters was NT$9.142 billion, EPS NT$21.67, surpassing last year’s total. YTD increase was 105.86%, and the company is expected to set a new annual high.

TECO (1504): Deep Cultivation in Motor Drive Technology

Founded in 1966, TECO has accumulated over half a century of expertise in motors and drive technology. In the robotics field, TECO’s strategy revolves around motor drive technology and intelligent system integration, providing comprehensive solutions from motors, drives, to controllers.

In Q3, net profit attributable to the parent company was NT$1.593 billion, nearly 10% growth from the previous quarter; for the first three quarters, net profit was NT$4.189 billion. Gross margin and operating margin increased to 24.44% and 11.23%, respectively, with a continuously improving profit structure. YTD increase was 61.27%. The collaboration with Hon Hai will focus on the Taiwanese market starting next year.

Hecotron (6215): A Supplier of Components Across Multiple Fields

Hecotron has focused on automation industry for over 40 years, developing and manufacturing key robot components, serving clients like TSMC, UMC, and Hon Hai. In the first half of 2025, revenue grew over 70% YoY to NT$1.09 billion.

The company has established a dedicated robotics division, launching highly flexible modular solutions, integrating international robot technologies from China, Japan, Germany, and the US. Management expects strong growth momentum to continue for the next 2-3 years, with full-year revenue and core profits reaching double digits. YTD increase is 15.43%.

Sunon (8234): A Leader in Controller Technology

Sunon subsidiary Chuangbo has over ten years of R&D experience in robot controllers and is Taiwan’s first company to obtain “robot functional safety certification” via a modular platform. Chuangbo’s collaboration with NVIDIA to launch humanoid robot AI modules was announced in August this year, offering modular solutions including controllers, safety control platforms, and AI edge computing. YTD increase is 12.42%.

US Stock Robotics Concept Stocks Also Worth Attention

Beyond Taiwan stocks, US market robotics concept stocks also show strong momentum. Nasdaq hosts the world’s largest and most technologically advanced robotics companies.

Opportunities in Defense Sector

Palantir (PLTR) and AeroVironment (AVAV) have secured major contracts in autonomous defense systems. Palantir has gained over 140% since the start of the year, leveraging its big data analytics and AI software platform; AeroVironment has increased over 80%, with leading drone systems and autonomous robot hardware. Their stock performances confirm the huge potential in defense robotics.

Support from High-Performance Computing Hardware

AMD (AMD) has established a complete robotics technology matrix, with an increase of over 83% since the start of the year. As a provider of high-performance computing hardware, AMD supplies the computational power essential for the entire robotics industry, making it an indispensable part of the supply chain.

Key Risks in Investing in Robotics Concept Stocks

High growth potential brings high returns but also corresponding risks. First, rapid technological iteration requires companies to have strong R&D capabilities and market adaptability. Second, policy support for the robotics industry varies across countries; regulatory changes could significantly impact corporate development.

The rapid proliferation of robotics technology will impact the global labor market, and regulatory adjustments may follow. Investors should closely monitor policy changes and maintain timely, flexible position management. Additionally, choosing industry leaders with strong technological reserves and stable market positions can effectively reduce investment risks.

In the journey of investing in robotics and automation concept stocks, mastering proper stock selection methods, understanding industry development trends, and paying attention to policy changes are the three pillars for achieving long-term returns.