Capital Favor and Development Prospects of Leading Automation Companies Amid the Humanoid Robot Craze

Amidst the volatile capital market, the humanoid robot sector has emerged as a new hot spot for investors. Discussions have raged about whether this sector can help the Shanghai Composite Index break through 4000 points. Investors are not only focused on technological innovation, but also on whether companies in the underlying industrial chain can capitalize on this surge in popularity. Recently, a leading company specializing in industrial control and servo systems has attracted significant attention, with social security funds and northbound capital increasing their holdings, making it a market focus. These types of funds typically prefer long-term allocation and have extremely high requirements for a company’s fundamentals and sustainable growth. This company’s ability to gain capital favor is inseparable from its profound technological accumulation and industrial layout. Since its listing on the ChiNext board in 2010, the company has consistently focused its business on automation equipment, with products covering motion control cards, frequency converters, servo systems, motors, etc., serving multiple sectors including new energy vehicles, rail transit, and smart elevators. Looking at the revenue and profit structure, new energy vehicle and rail transit-related products accounted for 45.18% of revenue in the first half of the year, but contributed only 26.09% of profits; while general automation products, accounting for 42.94% of revenue, contributed 63.23% of profits, with a gross profit margin as high as 44.51%. This demonstrates the company’s strong control over high value-added areas. Compared with other domestic automation companies, the company has long held the leading position in niche markets such as general servo systems and low-voltage frequency converters. In the new energy vehicle sector, its subsidiary, United Power, supplies electric drive systems to mainstream automakers such as Li Auto, XPeng, and Xiaomi, with a significant market share advantage. In September 2025, the company showcased key components of its humanoid robot, such as a seven-degree-of-freedom bionic arm and planetary joint actuators, at the China International Industry Fair, demonstrating its forward-looking strategy. Similar scenarios have occurred in the United States, where Boston Dynamics attracted significant investment through its commercial trials of the “Atlas” humanoid robot; however, its profit model is not yet mature, and capital remains cautious. Not all automation companies can replicate this company’s growth trajectory. Some companies in the same industry, due to over-reliance on a single field, have experienced significant performance declines when faced with technological iterations or market fluctuations. For example, a well-known European automation company, failing to adapt to embrace new energy sources in a timely manner, saw its revenue decline for three consecutive years, and its stock price also experienced a significant correction. This highlights the importance of industrial upgrading and diversified layout, and explains why capital tends to bet on industry leaders with broad technological barriers. In terms of financial performance, the company’s revenue has climbed from 2.243 billion to 37.041 billion over the past decade, with a compound annual growth rate of approximately 30%; net profit has increased from 666 million to 4.742 billion, although the growth rate is lower than revenue, it is still an excellent performance. After a brief decline in 2024, revenue in the first three quarters of this year reached 31.663 billion, a year-on-year increase of 24.67%; net profit reached 4.254 billion, a year-on-year increase of 26.84%. In terms of cash flow, the net cash flow ratio reached 1.4, higher than the industry average, and the cash collection ratio improved from 0.7-0.8 to over 0.8, indicating a gradual improvement in collection ability. The company has consistently paid dividends since its listing, and although the dividend yield is less than 1%, the continuous dividend payments demonstrate its strong cash flow. The National Social Security Fund 114 portfolio has held shares since the first quarter of 2013, increasing its holdings 10 times and reducing its holdings only twice; northbound funds have not cleared their positions since 2017 and have long remained the largest circulating shareholder. Both parties hold their shares long-term, stemming from their recognition of the company’s core competitiveness, financial condition, and industry trends. Currently, the company’s stock price has undergone a two-month correction after a surge, only recently rebounding with increased volume; whether it can break through previous highs remains uncertain. Looking ahead, with the continued development of the humanoid robot and automation industries, whether this leading company can continue to attract capital will depend on the strength of its technological breakthroughs and market expansion capabilities.