Ocado is a FTSE 100 stock that develops software, robotics and automation systems for online retailers across the world such as Morrisons (UK), Alcampo (Spain), Kroger (US), Coles (Australia), and AEON (Japan). The company, which was founded in 2000, uses robot-operated systems to pick out products in warehouses, which are then shipped to customers. An innovative company, it is one of the only grocery chains in the world to incorporate AI within its services, reducing operating costs and improving efficiency that would not be possible with a human workforce.
Ocado performed particularly well throughout 2020 given the Covid-19 crisis, which caused many traditional supermarkets to move their services online. In fact, Marks & Spencer paid £750m in September 2020 to acquire a 50% share of Ocado’s business in a joint venture named Ocado Retail. Revenue for the company stands at £2.33bn in 2020, up from £1.76bn in 2019, and Ocado is working with its partnered supermarkets to build more automated warehouses in the near future.
Market cap: £13.88bn
2020 revenue: £2.3bn
P/E ratio: N/A