Robotics and automation are moving from science fiction to the factory floor just as many economies face weak services activity, mixed manufacturing signals, stubborn cost pressures and aging workforces. With PMIs hovering near contraction in key regions and inflation trends still uneven, many companies are looking to physical AI and automation to protect margins, secure supply chains and support growth without relying solely on hiring. This Robotics and Automation Stocks screener focuses on companies aiming to turn that long term trend into disciplined, balance sheet aware growth. In this article you will see 3 notable stocks highlighted from the screener.

Ouster (OUST)

Overview: Ouster is a San Francisco based company that designs and sells lidar sensors and perception platforms used in automotive, industrial, robotics, and smart infrastructure applications, offering a wide range of short to long range sensors plus software tools for traffic management, automation and AI driven vision. Its portfolio now spans digital lidar, high performance 2D and 3D cameras and physical AI software that together help machines and infrastructure see and understand their surroundings in real time.

Operations: Ouster currently generates its revenue of about US$185.33 million almost entirely from the sale of lidar sensor kits.

Market Cap: US$3.04b

Ouster sits at the intersection of robotics, AI and smart infrastructure, with lidar hardware, cameras and software all feeding into a single physical AI platform that already underpins traffic systems, autonomous robots and heavy equipment partnerships. At the same time, the company is still loss making, has relied on external funding and share issuance, and faces competition from other lidar suppliers, so execution and capital discipline are important considerations. For investors tracking automation stocks, the mix of product roll out and funding profile makes Ouster a company some may choose to watch closely within this screener.

Ouster’s effort to combine lidar, cameras and physical AI into a single platform may be concealing a more complex story involving funding, competition and execution, so it is worth reviewing the full 3 key rewards and 3 important warning signs

ON Semiconductor (ON)

Overview: ON Semiconductor develops intelligent power and sensing chips that sit inside electric vehicles, AI data centers, factory equipment and other electronics, helping manage energy use and capture visual data for systems that need to see, sense and control the physical world.

Operations: ON Semiconductor generates most of its revenue from the Power Solutions Group at about US$2.9b, followed by the Analog & Mixed-Signal Group at roughly US$2.2b and the Intelligent Sensing Group at about US$930.5m.

Market Cap: US$51.55b

ON Semiconductor interests many investors because it ties together several automation themes, from silicon carbide power devices in EVs to GaNEXUS power chips for AI data centers and robotics. These are backed by ongoing portfolio clean up and manufacturing efficiency programs aimed at better margins and cash generation. At the same time, investors may need to consider a very high P/E, exposure to cyclical auto and EV demand, sizeable one off losses and reliance on external borrowing, plus recent insider selling that may raise governance questions. For those looking to understand how the potential opportunities compare with these risks, there is more to unpack in its detailed business and risk profile.

ON Semiconductor’s push into power and sensing for EVs, AI data centers and robotics could be masking an even bigger story about its risk reward profile, so it is worth reading the full 1 key reward and 2 important warning signs

Teradyne (TER)

Overview: Teradyne is a testing and robotics specialist that helps chipmakers and electronics companies check that their semiconductors and circuit boards work properly, while its collaborative robots and mobile robots handle repetitive tasks in factories, warehouses and industrial settings.

Operations: Teradyne generates most of its revenue from Semiconductor Test at about US$3.1b, with additional contributions from Product Test at roughly US$364.2m and Robotics at about US$330.6m.

Market Cap: US$71.54b

Teradyne sits at the heart of the AI and automation build out, supplying test systems for AI accelerators and memory along with robots that can be trained for flexible tasks. Recent earnings growth of 48.1% with a 22.6% net margin illustrate how this model can scale when demand is strong. The company is also focusing on silicon photonics and AI data center testing through the Quantifi Photonics deal and its Tokyo Electron collaboration. A large buyback plan reflects management’s view of the company’s cash generation. At the same time, a high P/E, funding entirely from external borrowing and softer robotics revenue growth highlight the risks involved, which is one reason many investors are watching Teradyne closely within this screener.

Teradyne’s accelerating test and robotics story may look straightforward, but the real tension between earnings momentum, high P/E and buybacks sits inside the analyst forecasts for Teradyne

The three robotics and automation stocks in this article are just the starting point, as the full screener has surfaced 28 more companies with equally compelling narratives that are turning physical AI and automation into real businesses through the Robotics and Automation Stocks screener. Use Simply Wall St to unlock, filter and analyze the specific catalysts and narratives that matter to you so you can identify robotics and automation opportunities that best align with your own highest conviction ideas.

Take Control of Your Investment Journey

If ON Semiconductor or any of these companies have caught your attention, register for FREE with Simply Wall St and add your companies to a Watchlist to monitor the share price against the fair value and track any new developments as they happen. Once you've made your move, manage your holdings with our Portfolio Command Center that filters out the noise to deliver only the most critical, actionable updates. Throughout your journey, our Community allows you to filter the best ideas from thousands of investor perspectives. By uncovering hidden catalysts and risks early, you'll accelerate your decision-making and stay one step ahead of the market.

Seeking Alternatives Before The Crowd?

Fresh stock ideas rarely stay under the radar for long, especially when momentum starts building and prices move fast. Review these curated shortlists before the crowd and consider your options.

• Track cash rich companies built to withstand shocks and stay flexible by reviewing a curated list of solid balance sheet and fundamentals (48 results) that filters for financial strength first.
• Identify companies involved in artificial intelligence that already generate profits by reviewing a focused group of 62 profitable AI stocks that aren't just burning cash.
• Explore opportunities related to potential infrastructure development by assessing a curated universe of 34 power grid technology and infrastructure stocks tied to grid technology and critical hardware.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.