Stocks to buy

3 Stocks at the Forefront of Medical Robotics

Every now and then, speculation – within carefully defined limits – may be appropriate, which brings us to the case for medical robotics stocks to buy. Sure, you can gamble on just about anything these days and a non-zero probability exists for their upside. During the post-pandemic period, we’ve seen everything from video game retailers to private prisons skyrocket via pure hypothesizing in action.

However, medical robotics stocks offer a genuinely viable (albeit risky) path to significant market returns. According to Grand View Research, the global medical robotic systems market size reached a valuation of $21.1 billion last year. Further, experts project that by 2030, the sector will generate revenue of $76.4 billion. That translates to a compound annual growth rate (CAGR) of 16.9% from 2023.

To be fair, we’re talking projections, which may not necessarily pan out. However, the experts generally feature a consensus range. For example, Market Research Future sees the medical robotics sector hitting a valuation of $52.41 billion by 2032.

Getting a piece of the pie may translate to blistering rewards for the below medical robotics stocks.

Globus Medical (GMED)

Source: THICHA SATAPITANON / Shutterstock

Based in Pennsylvania, Globus Medical (NYSE:GMED) is one of the compelling albeit exceptionally risky medical robotics stocks. Per its public profile, Globus focuses on the design, development, and commercialization of products that enable surgeons to promote healing in patients with musculoskeletal disorders. While undoubtedly scientifically relevant, GMED lost 38% of its equity value since the January opener.

Still, for those willing to excuse the crimson tide, Globus enjoys a massive total addressable market. Broadly speaking, Allied Market Research states that the global musculoskeletal disorders drugs market size reached a valuation of $83.5 billion last year. By 2032, this segment could expand to $126 billion by 2032. Regarding the rehabilitation robotics side, this subsegment could see a valuation of $1 billion by 2030.

For full disclosure, Globus doesn’t enjoy the most sterling financials. However, it enjoys solid growth on the top line. In the third quarter, the company posted $384 million in revenue, up 51% year-over-year. Thus, GMED could be one of the medical robotics stocks to consider.

Asensus Surgical (ASXC)

Source: Dmytro Zinkevych / Shutterstock.com

From a company that features a multi-billion-dollar market capitalization to one that’s barely above the nano-cap threshold at under $70 million, Asensus Surgical (NYSEAMERICAN:ASXC) is not for the faint of heart. Indeed, a serious warning must be issued here. As a literal penny stock at the time of writing, this is one of the medical robotics trades that exchanges extreme risk for extreme reward possibility. Note that I said possibility and not probability.

Warnings aside, Asensus may appeal to speculators with some loose change burning a hole in their pocket because of its augmented intelligence technology. Undergirding the enterprise is the Senhance Surgical System, which is a minimally invasive surgical platform. Fundamentally, the argument for sticking with ASXC despite the high risks centers on the total addressable market.

According to Grand View Research, the global minimally invasive surgical instruments market size will reach a valuation of $31.65 billion this year. By 2030, experts in the field project that the sector could hit $63 billion. So, what’s not to love?

Well, you’re going to have to believe in the narrative because Asensus incurs top-line erosion and a string of net losses. But if you do believe, it could be one of the medical robotics stocks to consider.

Microbot Medical (MBOT)

Source: Roman Zaiets / Shutterstock.com

Despite the literal penny-stock pricing of Asensus Surgical, that might not be the riskiest medical robotics stock on this list. Instead, this “honor” – if you can even call it that – may go to Microbot Medical (NASDAQ:MBOT). Sure, you can get MBOT for just a bit over a buck so it doesn’t appear super speculative. Unfortunately, MBOT features wildly dynamic trading, leading to a year-to-date loss of nearly 62%.

Put another way, let the buyer beware because it could get even uglier. Oh yeah, the market cap of $14.3 million is small, even for a nano-cap enterprise. With the caveats out of the way, the Newark, California-based company specializes in its single-use endovascular robotic system, the world’s first. Called the Liberty Robotic System, Microbot states that it could revolutionize the way doctors perform endovascular procedures.

According to Data Bridge Market Research, the underlying surgical procedure market reached a valuation of $2.5 billion last year. By 2030, the segment could hit a value of $4.14 billion. Again, given the miniscule nano-cap profile of Microbot, if it puts the bat on the ball, it might leave the yard.

To be sure, Microbot has the cash. It just doesn’t have revenue so you must believe.

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On the date of publication, Josh Enomoto did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.