So, you know how sometimes a stock just takes off and everyone's trying to figure out why? That's what's happening with Regal Rexnord Corp (RRX). The stock is up about 67% in the last three months, and it turns out the reason is pretty interesting: robots. Not just any robots, but the kind that are starting to look a lot like us.

According to JPMorgan analyst Tomohiko Sano, Regal Rexnord has quietly become a player in one of the most talked-about areas of tech: humanoid robotics. The key detail here isn't just a vague future promise; it's that the company has already locked in more than $30 million in annual business related to humanoid robots. That's real revenue, today, for something many still see as science fiction.

But the story gets bigger. Sano points out that the company is tracking a total opportunity pipeline worth around $200 million. This isn't just about humanoids—it includes collaborative robots (the kind that work safely alongside people) and surgical robotics platforms. So, while the humanoid angle is the flashy headline, the underlying business is about supplying the guts for all sorts of advanced automation.

The "Picks and Shovels" Play

Here's the clever part of Regal Rexnord's strategy. The company isn't trying to build and sell the robots themselves. Instead, it's providing the critical components that make robots work: motors, drives, and motion control systems. Think of it as the company selling the precision gears and engines, not the entire car.

This is what analysts often call a "picks-and-shovels" approach. During a gold rush, you might not strike it rich panning for gold, but you could do very well selling the tools everyone needs. Regal Rexnord is selling the tools for the robotics revolution. Sano highlighted that this positioning lets the company benefit from robotics growth across the board—from factories automating to address labor shortages, to hospitals using advanced surgical systems—without betting on which robot maker ultimately wins the market.

Its components are already inside major surgical robotic platforms, giving it a foothold in the high-growth medical field alongside traditional industrial automation.

More Than Just a Cyclical Bounce

Part of the stock's recent run can be attributed to a general improvement in manufacturing activity and capital spending. But Sano's analysis suggests the robotics opportunity is a structural, long-term growth driver, not just a short-term cyclical bounce.

As companies push to make factories more efficient, deal with persistent labor shortages, and bring production back closer to home (reshoring), the demand for the automation infrastructure Regal Rexnord provides is expected to keep growing. With early wins in humanoids and exposure across multiple robotics segments, the company is positioning itself right at the heart of the next wave of industrial change.

So, the next time you see a headline about a humanoid robot, remember: the companies making the robots move might be just as interesting as the ones making them look human.