What is Symbolic (SYM)? Future Prospects and Stock Price Outlook

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Introduction.

As a provider of warehouse automation solutions using AI technology and autonomous robotics, Symbotic is a leader in innovation in the logistics industry.

The rapid growth of e-commerce and social issues such as labor shortages have strengthened its presence among companies seeking to improve the efficiency of their entire supply chain.

In this section, we will explore in detail the business activities, unique strengths, and future growth strategies of Symbolic, a business that matches the needs of the times for AI-driven solutions and DX promotion.

What is Symbolic (SYM) and what is its business?

Symbotic Inc. (SYM),meter (i.e. a gauge)an automation technology company headquartered in Wilmington, Massachusetts, USA.
It was established in 2006,Provides artificial intelligence (AI)-enabled robotics and software platform to drive supply chain automation and optimizationThe company is doing so.

Main business activities are,Develop, commercialize, and deploy end-to-end technology solutions that automate pallet and case handling in warehouses and distribution centersThe following is a list of the most common problems with the "C" in the "C" column.

The company's platform is,Utilizes autonomous robots controlled by AI-enabled system softwareThe company is able to reduce costs and maximize throughput by efficiently connecting producers of goods with end-users.

What are Symbolic's strengths?Advanced technology combining AI and roboticsin the
The company serves a diverse range of industries, including grocery retailing, general merchandise retailing, food wholesaling, footwear and apparel, consumer packaged goods, and food and beverage.

Recent years,Formed a partnership with SoftBank Group to establish GreenBox Systems, an AI-based logistics and warehousing joint venture.
AI-enabled warehousing and logistics services could be extended to companies that would not otherwise be able to invest millions of dollars.

Symbolic's corporate information is below.

• Company Name:Symbolic Inc.
• Date of Establishment: 2006
• Head Office Location: 200 Research Drive, Wilmington, Massachusetts, U.S.A.
• Name of Representative:: Richard B. Cohen, Ph.
• Official Site: https://www.symbotic.com/
• Main Businesses: Provides AI-based robotics and software platforms, and develops and deploys automation solutions for warehouses and distribution centers.

What are Symbolic's (SYM) main products and services?

Symbolic's (SYM) flagship product and service is an AI-based warehouse automation system. This system consists of the following elements

• autonomous robotRobots equipped with advanced visual recognition and sensor technology automatically perform tasks such as picking, moving, and palletizing (stacking) goods in the warehouse.
• AI-powered software: Software that integrally manages multiple robots to optimize operations and increase efficiency. The entire warehouse operation is controlled with high precision and speed.
• high-density storage system: A storage structure that maximizes warehouse space for efficient storage and retrieval of merchandise. It improves the accuracy and speed of inventory management.

By combining these technologies, Symbolic is driving automation in warehouses and distribution centers to help increase efficiency and reduce costs throughout the supply chain.

What is the business model of Symbotic (SYM)?

Symbolic will develop integrated hardware and software solutions and implement them in customers' distribution facilities to improve operational efficiency and reduce costs in the warehouse.

Major revenue sources include system sales and installation, maintenance services, and software licensing.together with ...The first is.
Also, a joint venture company established in partnership with SoftBank."Providing AI-based warehousing and logistics services through GreenBox Systems to expand automation solutions to more companiesThe company is doing so.

In this way, Symbolic has adopted a business model that combines technology provision and service deployment to promote efficiency and innovation in the logistics industry.

Who is the customer base of Symbolic (SYM)?

Symbolic's customer base consists primarily of large retailers and logistics companies.

• Walmart (Walmart): A major U.S. retailer. They have installed Symbolic's automation system in 42 regional distribution centers.
• SoftBank Group: a Japanese multinational conglomerate. It has partnered with Symbolic to form GreenBox Systems, an AI-powered logistics and warehousing joint venture.
• Walmex: Wal-Mart subsidiary in Mexico. The company has signed an agreement with Symbolic to expand its warehouse automation opportunities.

Through cooperation with these companies, Symbolic is increasing its presence in the warehouse automation field.

What is the trading market?

Symbotic Inc. is listed on the NASDAQ market in the United States. Its ticker symbol is "SYM.

What are the sectors, industries, and themes to which Symbolic (SYM) belongs?

sector

Industrials: Symbolic belongs to the industrial sector and mainly provides automation solutions for warehouses and distribution centers. The company's technology contributes to supply chain efficiency and cost reduction, driving innovation in the logistics industry.

type of industry

Automation Technology: Simbotic has developed a software platform that utilizes autonomous robots and AI to provide systems that automate warehouse operations. The system streamlines processes such as product picking, palletizing, and inventory management, optimizing labor and improving operational accuracy.

Themes belonging to

• AI & Robotics (AI & Robotics): Symbotic provides solutions that combine AI technology and robotics to support the digital transformation of the logistics industry. The company automates traditionally manual processes to improve operational efficiency and accuracy.
• Supply Chain Optimization: The company's technology increases visibility and efficiency throughout the supply chain, enabling faster inventory management and deliveries. This allows companies to respond flexibly to market demand fluctuations and enhance their competitiveness.
• Sustainable Logistics: Symbolic's automation solutions also contribute to reducing environmental impact through increased energy efficiency and reduced waste. This helps companies achieve sustainable operations and achieve their ESG (Environmental, Social, and Governance) goals.

Dividends?

Symbolic (SYM) does not currently pay a dividend.

Who are Symbolic's (SYM) competitors?

Symbolic's main competitors are as follows

• Ocado Group [OCDO].: a U.K.-based online food retailer that has developed its own automation technology and offers it to other retailers. In particular, it competes with Symbolic in its warehouse automation systems.
• Honeywell International [HON].: a U.S. multinational conglomerate that provides warehouse automation and supply chain solutions. The company's automation technology competes with the solutions offered by Symbolic.
• Dematic (part of the KION Group): a subsidiary of the Germany-based KION Group, which provides warehouse automation and logistics solutions. Its products and services overlap with the Symbolic market.
• Auto Store [AUTO: a Norway-based provider of automated warehouse systems and high-density storage solutions that utilize robots. Like Symbolic, the company promotes automation in warehouses.
• Amazon Robotics (Amazon Robotics): A subsidiary of Amazon, Inc. develops and provides robot automation technology in warehouses. In addition to using the technology in its own distribution centers, it also provides the technology to other companies, making it a competitor of Symbolic.

What is the size and growth potential of the industry to which Symbotic (SYM) belongs?

The warehouse automation industry, of which Symbolic is a part, is experiencing rapid growth.

Market size estimated at approximately US$25.74 billion in 2024 and projected to reach US$54.53 billion by 2029The company has been

This is,Growth at a compound annual growth rate (CAGR) of 16.20% during the forecast period 2024-2029Indicates.

The main factors contributing to this growth include

• E-commerce expansionThe spread of online shopping has created a need for quick and efficient logistics. To meet this demand, warehouses are being automated.
• labor shortage (labour): Labor shortages, especially in developed countries, are becoming more serious, necessitating the introduction of automation technology.
• technological innovation: Advances in AI and robotics are making it possible to provide more sophisticated automation solutions.

Due to these factors, the warehouse automation industry is expected to continue to grow at a high rate.

What are Symbolic's (SYM) differentiators and advantages over the competition?

Symbolic has the following differentiators and competitive advantages

Use of advanced AI technology

Symbolic provides AI-powered robotics and software platforms to automate warehouse operations, streamlining processes such as product picking, palletizing, and inventory management to optimize labor and improve operational accuracy.

Strategic alliances with leading companies

In partnership with Wal-Mart, the company has installed Symbolic's automation system in its 42 regional distribution centers. Through GreenBox Systems, a joint venture established in partnership with SoftBank, the company is also providing AI-based warehousing and logistics services and deploying automation solutions to more companies.

Flexible system design

Symbolic's systems can be reduced to existing warehouse infrastructure. They provide efficient automation solutions for companies of various sizes and industries.

These factors differentiate Symbolic from its competitors and give it a competitive advantage in the warehouse automation field.

Performance of Symbolic (SYM)

Symbolic's (SYM) financial year ends on September 30.
The quarterly schedule of earnings announcements is as follows.

• First Quarter ResultsEarly Feb.
• Second Quarter Financial ResultsEarly May
• Third Quarter ResultsEarly August
• Fourth Quarter and Full Year ResultsMid-November

First, we will review the following four indicators for conducting a minimum performance analysis of Symbolic (SYM).

1. Sales:An indicator of a company's performance and growth.
2. Operating cash flow and operating cash flow margin:An indicator that looks at how much cash a company generates from its services. Margins are considered excellent when they are 15% of that ratio.
3. Operating Income:Profit earned by a company from its core business. An indicator to evaluate a company's performance.
4. Free Cash Flow:Free cash that a company keeps on hand. Indicates financial flexibility and business stability.
5. EPS:An indicator that looks at a company's earning power "profitability" and "growth potential" in terms of net income per share. The higher the number, the higher the profitability.

Each data is,Investing.com, ,TradingViewSee from

(Symbolic (SYM)) stock price

View the current real-time stock price chart (TradingView) for Symotic (SYM).

The chart shows the Relative Strength Index (RSI). Reference as an indicator of market overheating.

*An overbought indicator when the RSI exceeds 70% to 80%, and conversely, an oversold indicator when the RSI falls below 20% to 30%.

Symbolic (SYM) Quarterly: Sales Trends

Quarterly sales forecasts and actual sales and year-on-year changes.

Sales forecasts and actual results are shown in graphs.

Symbolic (SYM) Quarterly: Operating Cash Flow and Free Cash Flow Trends

Quarterly operating cash flow, operating cash flow margin and free cash flow.

Each transition is shown in the graph below.

Symbolic (SYM) Quarterly: Operating Income and Operating Margin Trends

Quarterly operating income and operating margin trends.

Each transition is shown in the graph below.

Symbolic (SYM) Quarterly: EPS Trends

Quarterly EPS forecast and actual EPS.

Each transition is shown in the graph below.

Symbolic (SYM) Full Year: Sales Trends

This is the sales forecast for the full year and actual sales and year-on-year changes.

Each transition is shown in the graph below.

Symbolic (SYM) Full Year: Operating Cash Flow, Free Cash Flow Trends

Operating cash flow, operating cash flow margin and free cash flow for the full year.

Each transition is shown in the graph below.

Symbolic (SYM) Full Year: Operating Income and Operating Margin Trends

The following is a trend of operating income and operating income margin for the full year.

Each transition is shown in the graph below.

Symbolic (SYM) Full Year: EPS Changes

This is the EPS forecast and actual EPS for the full year.

Each transition is shown in the graph below.

What are the future lives and prospects of Symbotic (SYM)?

Symbolic is a company with a strong future, driving innovation in the field of warehouse automation.
The company provides AI-powered robotics and software platforms to help the logistics industry increase efficiency and reduce costs.

growth factor

• Partnerships with major companies: In cooperation with Wal-Mart, the company has installed Symbolic's automation systems in its 42 regional distribution centers. The company also offers AI-based warehousing and logistics services through GreenBox Systems, a joint venture established in partnership with SoftBank, to deploy its automation solutions to more companies.
• Market Expansion: The growth of e-commerce and labor shortages have increased the demand for warehouse automation. Symbolic has the technology and experience to meet this demand.

Future Outlook

Symbolic expects continued strong growth with an expected revenue increase of 401 TP3T YoY in Q1 FY2025. The company acquired Veo Robotics to strengthen its vision technology and plans to expand its sales force.

KeyBanc also raised its price target for Symbolic, while maintaining an Overweight rating.

These factors are expected to continue to drive Symbolic's growth and strengthen its position as a leader in automation in the logistics industry.

Symbolic (SYM) Full Year 2024 Financial Summary

Date of announcement: 24/11/19

Sales and Revenues

• total sales: $1.822 billion, an increase of 551 TP3T over the same period last year.
• 4th Quarter Sales: $577 million, up 471 TP3T from the same period last year.
• Adjusted EBITDA: $95.75 million for the full year, a significant improvement from the $17.58 million loss in the same period last year.

Profit and Profitability

• net income: $28.07 million in the fourth quarter ($45.41 million loss in the same period last year).
• Adjusted gross margin ratio: 18.51 TP3T for the full year, up slightly from 18.41 TP3T in the same period last year.

Cash Flow and Financing

• Cash and cash equivalents: $727 million, down $143 million from the previous quarter.
• Operating Cash Flow: Negative $58.08 million for the full year.

Major Business Developments

1. AI-enabled robotics technology:
   • Provides an AI-driven robotics platform focused on the supply chain industry.
   • Leveraging high-density storage and machine learning to improve the efficiency of the distribution process.
2. Progress on Material Contracts:
   • Expanded contracts with Walmart and other major retailers.
   • Expand market opportunities through the GreenBox Joint Venture.

Future Guidance

• FY2025 1st Quarter Forecast:
  • Sales are projected to range from $495 million to $515 million.
  • Adjusted EBITDA is expected to be between $27 million and $31 million.
• Long-term Growth Strategy:
  • Continue to expand client base, continue technology development, and invest in AI-driven automation solutions.
  • The company aims to further expand its market share in the warehouse automation market.

important matter

• The quarterly financial results for FY2024 were re-examined and several accounting errors were corrected, but the full-year results were not affected.
• With strong market needs, Symbolic aims for sustained growth and increased profitability.

Which brokerage firms can I buy shares of Symbolic (SYM)?

The following is a list of major brokerages that offer shares of Symbolic (SYM). At these brokerages, you can choose to invest as a CFD (Contract for Difference) as well as directly as a foreign stock.

I myself mainly use SBI Securities, but some stocks they handle may not be available for purchase. In such cases, I sometimes use CFDs at Saxo Bank Securities or IG Securities.

summary

We have taken an in-depth look at Symbolic's business, its unique strengths, competitive advantages, and earnings growth.

Symbolic is a trend-setting business that leverages AI and DX in the form of robotic delivery and warehouse automation systems, and has built up a track record of successful implementations for Wal-Mart and other major companies.

In addition, through its partnership with SoftBank, the company is expanding its business through the GreenBox Joint Venture and other means, and there are high expectations for further development in the future.

In terms of financial performance, the company achieved a return to profitability in FY2024, with significant improvements in sales and profitability. Adjusted EBITDA also improved, clearly indicating an acceleration in the pace of growth.

On the other hand, cash flow remains a challenge due to the impact of continued investment in large-scale technology development and market expansion. We look forward to stable and improving cash flow in the future, and to strengthening our financial base accordingly.

With its AI-driven automation solutions, Symbolic will be a company to watch as it seeks to further expand its market share in the warehouse automation market and achieve sustained growth.