China’s move to allow commercial robotaxis in Shenzhen from July 1 puts autonomous vehicles and robotics back in the spotlight, with fresh implications for companies tied to self-driving tech, AI hardware, and transport automation. For investors weighing how this policy shift could affect future earnings streams, the question is which stocks might benefit most from wider robotaxi deployment and long term government support for automation. This article examines three stocks from our Autonomous Vehicle and Robotics Technology screener that are closely exposed to the Shenzhen news and may warrant a closer look.

IPG Photonics (IPGP)

Overview: IPG Photonics develops high performance fiber lasers, amplifiers, and laser systems that are used for precision cutting, welding, and processing in industries such as automotive, general manufacturing, medical devices, energy, and aerospace, as well as for advanced and defense applications. Its products also support robotic welding and automation solutions that sit behind many of the factories building next generation vehicles and electronics.

Operations: IPG Photonics generates about US$1.0b in revenue almost entirely from Laser Systems and Components, with sales spread across China (US$307.8m), North America (US$282.3m), Other Europe (US$142.4m), Other Asia (US$119.0m), Germany (US$103.5m), Japan (US$69.1m), and the Rest of the World (US$17.4m).

Market Cap: US$4.5b

Investors looking at the Shenzhen robotaxi rollout may find IPG Photonics interesting because its high performance lasers are central to the robotic welding, cutting, and battery manufacturing equipment that support autonomous and electric vehicle production, especially in China where it already records substantial revenue. The company is also working through a recent history of softer core materials processing demand, one off losses, and a relatively high P/S ratio. Recent Q1 2026 revenue, margin recovery expectations, and expanding applications in medical and defense point to a broader story that goes beyond the headline numbers and short term volatility.

IPG Photonics sits at the crossroads of robotaxi manufacturing and advanced lasers, yet its recent one off issues can cloud the full picture. Review the analysis report for IPG Photonics to see what could be missing.

Lantronix (LTRX)

Overview: Lantronix provides hardware, software, and services that connect and manage industrial and enterprise devices at the edge, supporting applications such as autonomous vehicles, drones, industrial IoT, and smart infrastructure through secure compute modules, gateways, and a SaaS management platform.

Operations: Lantronix generates about US$118.6m in revenue from Computer Networks, with sales concentrated in the Americas (US$81.2m), followed by EMEA (US$21.7m) and Asia Pacific Japan (US$15.6m).

Market Cap: US$220.2m

Lantronix provides exposure to the connective layer behind robotaxis and networked robotics, supplying edge compute and secure connectivity that keep machines communicating in real time. The Shenzhen robotaxi rollout aligns with its focus on IoT gateways, PoE, and edge AI platforms that help autonomous fleets, drones, and remote infrastructure stay online. Recent deals with Safe Pro Group and Cherry & White highlight how its technology is being used in defense, remote connectivity, and private 5G use cases. The company is still working through losses and relies on external funding, so execution risk is a factor. Analysts have discussed potential for stronger earnings, and recent product launches indicate that the full scope of Lantronix’s platform may not yet be fully reflected in the current share price.

Lantronix’s edge computing story is still forming, yet the market may not be pricing in what sustained fleet adoption could mean for earnings quality. Investors may want to weigh that potential against the analyst forecasts for Lantronix hiding a crucial twist.

Cognex (CGNX)

Overview: Cognex provides machine vision hardware, software, and cloud tools that help robots and automated systems see, identify, and inspect items on production lines and in warehouses, from car parts to e commerce parcels. Its products power AI driven vision, barcode reading, and robotic guidance for manufacturers and logistics operators worldwide.

Operations: Cognex generates about US$1.0b in revenue from Machine Vision Technology, with reported geographic exposure across Europe, Greater China, and a large segment adjustment tied to its global operations.

Market Cap: US$11.1b

Cognex sits at the heart of the robotaxi and robotics story because its vision systems and OneVision AI platform are what help machines recognize objects, guide robotic arms, and keep automated lines running with fewer errors. Recent updates highlight demand for AI powered products, expanding margins, and efforts to double the customer base, while earnings growth has outpaced both the US Electronic industry and the broader market. At the same time, a high P/E, past earnings volatility, pricing pressure in China, and insider selling keep risk on the table. The key question for investors is whether its AI vision positioning and automation trends are already reflected in current expectations.

Cognex’s AI vision push and efforts to double its customer base could be masking a deeper story about expectations already priced into the stock. Weigh that tension against the analyst forecasts for Cognex and one underappreciated risk investors often miss

The three stocks covered here are only a starting point, and the full Autonomous Vehicle and Robotics Technology screener surfaces 29 more companies tied to autonomous vehicle and robotics themes that could have equally compelling narratives. Use Simply Wall St to identify, filter and analyze the specific catalysts, risks and business stories that matter to you so you can focus on the highest conviction ideas in this space.

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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.