Unitree Stock Rallies on Physical AI Optimism

Unitree stock has risen about two-thirds since 15 October, closing at 672 yuan on Monday and valuing the Chinese robotics company at 271.8 billion yuan (about $40.8 billion). Investors are betting that advances in large AI models will help robots perform useful tasks in the physical world. At a conference on 22 October, founder Wang Xingxing said major progress in physical AI could arrive within one to three years. He also said OpenAI’s GPT-6 Astra could direct robots without prior training. JPMorgan upgraded Unitree to overweight from underweight on 26 October and raised its price target to 995 yuan, citing a more positive assessment of the company’s software prospects and humanoid robots. Unitree’s G1 humanoid costs about $16,000. The company is already selling robots, while Tesla expects to begin external deliveries of its Optimus humanoid around the end of 2027. Researchers have also raised concerns about security, including the transmission of audio, video and spatial data to outside servers without user notification. The rally reflects optimism about physical AI, but execution, competition and data security remain important risks.