COGNEX CORP (CGNX) Stock Fundamental Analysis
USA - NASDAQ:CGNX - US1924221039 - Common Stock
46.32 USD
+0.53 (+1.16%)
44.62 USD
-1.7 (-3.67%)
We assign a fundamental rating of 6 out of 10 to CGNX. CGNX was compared to 124 industry peers in the Electronic Equipment, Instruments & Components industry. While CGNX has a great health rating, its profitability is only average at the moment. CGNX is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year CGNX was profitable.
In the past year CGNX had a positive cash flow from operations.
CGNX had positive earnings in each of the past 5 years.
In the past 5 years CGNX always reported a positive cash flow from operatings.
1.2 Ratios
CGNX's Return On Assets of 6.09% is fine compared to the rest of the industry. CGNX outperforms 79.03% of its industry peers.
With a decent Return On Equity value of 8.10%, CGNX is doing good in the industry, outperforming 68.55% of the companies in the same industry.
CGNX's Return On Invested Capital of 5.98% is fine compared to the rest of the industry. CGNX outperforms 63.71% of its industry peers.
CGNX had an Average Return On Invested Capital over the past 3 years of 7.69%. This is in line with the industry average of 9.32%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 8.1% | ||
| ROIC | 5.98% |
ROA(3y)7.31%
ROA(5y)9.14%
ROE(3y)9.83%
ROE(5y)12.61%
ROIC(3y)7.69%
ROIC(5y)9.5%
1.3 Margins
Looking at the Profit Margin, with a value of 13.13%, CGNX belongs to the top of the industry, outperforming 89.52% of the companies in the same industry.
In the last couple of years the Profit Margin of CGNX has declined.
With an excellent Operating Margin value of 14.19%, CGNX belongs to the best of the industry, outperforming 87.10% of the companies in the same industry.
CGNX's Operating Margin has declined in the last couple of years.
The Gross Margin of CGNX (67.72%) is better than 97.58% of its industry peers.
In the last couple of years the Gross Margin of CGNX has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.19% | ||
| PM (TTM) | 13.13% | ||
| GM | 67.72% |
OM growth 3Y-25.46%
OM growth 5Y-8.53%
PM growth 3Y-24.51%
PM growth 5Y-16.2%
GM growth 3Y-2.25%
GM growth 5Y-1.51%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so CGNX is destroying value.
Compared to 1 year ago, CGNX has less shares outstanding
CGNX has less shares outstanding than it did 5 years ago.
CGNX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
CGNX has an Altman-Z score of 10.62. This indicates that CGNX is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 10.62, CGNX belongs to the best of the industry, outperforming 88.71% of the companies in the same industry.
CGNX has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 10.62 |
ROIC/WACC0.66
WACC9.12%
2.3 Liquidity
A Current Ratio of 3.29 indicates that CGNX has no problem at all paying its short term obligations.
With a decent Current ratio value of 3.29, CGNX is doing good in the industry, outperforming 68.55% of the companies in the same industry.
CGNX has a Quick Ratio of 2.53. This indicates that CGNX is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 2.53, CGNX is in the better half of the industry, outperforming 67.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.29 | ||
| Quick Ratio | 2.53 |
3. Growth
3.1 Past
CGNX shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.79%, which is quite impressive.
Measured over the past years, CGNX shows a decrease in Earnings Per Share. The EPS has been decreasing by -2.03% on average per year.
CGNX shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 10.14%.
The Revenue has been growing slightly by 4.74% on average over the past years.
EPS 1Y (TTM)32.79%
EPS 3Y-20.81%
EPS 5Y-2.03%
EPS Q2Q%8.7%
Revenue 1Y (TTM)10.14%
Revenue growth 3Y-4.11%
Revenue growth 5Y4.74%
Sales Q2Q%4.1%
3.2 Future
CGNX is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 29.67% yearly.
CGNX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.74% yearly.
EPS Next Y26.38%
EPS Next 2Y26.35%
EPS Next 3Y24.65%
EPS Next 5Y29.67%
Revenue Next Year6.73%
Revenue Next 2Y8.14%
Revenue Next 3Y8.6%
Revenue Next 5Y9.74%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
CGNX is valuated quite expensively with a Price/Earnings ratio of 57.19.
The rest of the industry has a similar Price/Earnings ratio as CGNX.
CGNX's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.29.
With a Price/Forward Earnings ratio of 39.21, CGNX can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of CGNX is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of CGNX to the average of the S&P500 Index (22.85), we can say CGNX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.19 | ||
| Fwd PE | 39.21 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of CGNX is on the same level as its industry peers.
CGNX's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. CGNX is cheaper than 66.94% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.29 | ||
| EV/EBITDA | 45.42 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of CGNX may justify a higher PE ratio.
CGNX's earnings are expected to grow with 24.65% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.17
PEG (5Y)N/A
EPS Next 2Y26.35%
EPS Next 3Y24.65%
5. Dividend
5.1 Amount
CGNX has a yearly dividend return of 0.69%, which is pretty low.
CGNX's Dividend Yield is rather good when compared to the industry average which is at 2.11. CGNX pays more dividend than 83.87% of the companies in the same industry.
With a Dividend Yield of 0.69, CGNX pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.69% |
5.2 History
The dividend of CGNX is nicely growing with an annual growth rate of 8.39%!
CGNX has been paying a dividend for at least 10 years, so it has a reliable track record.
CGNX has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)8.39%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
CGNX pays out 43.88% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of CGNX is growing, but earnings are growing more, so the dividend growth is sustainable.
DP43.88%
EPS Next 2Y26.35%
EPS Next 3Y24.65%
46.32
+0.53 (+1.16%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners101.95%
Inst Owner Change-0.35%
Ins Owners0.27%
Ins Owner Change0.04%
Market Cap7.78B
Analysts76.3
Price Target47.5 (2.55%)
Short Float %3.32%
Short Ratio2.61
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.69% |
Yearly Dividend0.31
Dividend Growth(5Y)8.39%
DP43.88%
Div Incr Years3
Div Non Decr Years3
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.3%
Min EPS beat(2)3.71%
Max EPS beat(2)18.89%
EPS beat(4)4
Avg EPS beat(4)13.13%
Min EPS beat(4)3.71%
Max EPS beat(4)26.05%
EPS beat(8)8
Avg EPS beat(8)15.9%
EPS beat(12)11
Avg EPS beat(12)18.09%
EPS beat(16)13
Avg EPS beat(16)14.9%
Revenue beat(2)0
Avg Revenue beat(2)-0.67%
Min Revenue beat(2)-0.78%
Max Revenue beat(2)-0.55%
Revenue beat(4)1
Avg Revenue beat(4)-0.13%
Min Revenue beat(4)-1.24%
Max Revenue beat(4)2.05%
Revenue beat(8)4
Avg Revenue beat(8)0.37%
Revenue beat(12)6
Avg Revenue beat(12)0.55%
Revenue beat(16)8
Avg Revenue beat(16)0.52%
PT rev (1m)0.48%
PT rev (3m)26.01%
EPS NQ rev (1m)-0.36%
EPS NQ rev (3m)16.97%
EPS NY rev (1m)0.16%
EPS NY rev (3m)7.38%
Revenue NQ rev (1m)-0.05%
Revenue NQ rev (3m)4.72%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)1.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 57.19 | ||
| Fwd PE | 39.21 | ||
| P/S | 8.37 | ||
| P/FCF | 43.29 | ||
| P/OCF | 40.76 | ||
| P/B | 5.16 | ||
| P/tB | 7.65 | ||
| EV/EBITDA | 45.42 |
EPS(TTM)0.81
EY1.75%
EPS(NY)1.18
Fwd EY2.55%
FCF(TTM)1.07
FCFY2.31%
OCF(TTM)1.14
OCFY2.45%
SpS5.54
BVpS8.97
TBVpS6.05
PEG (NY)2.17
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.09% | ||
| ROE | 8.1% | ||
| ROCE | 7.28% | ||
| ROIC | 5.98% | ||
| ROICexc | 6.84% | ||
| ROICexgc | 9.9% | ||
| OM | 14.19% | ||
| PM (TTM) | 13.13% | ||
| GM | 67.72% | ||
| FCFM | 19.32% |
ROA(3y)7.31%
ROA(5y)9.14%
ROE(3y)9.83%
ROE(5y)12.61%
ROIC(3y)7.69%
ROIC(5y)9.5%
ROICexc(3y)9.56%
ROICexc(5y)11.82%
ROICexgc(3y)12.73%
ROICexgc(5y)15.09%
ROCE(3y)9.35%
ROCE(5y)11.55%
ROICexcg growth 3Y-25.69%
ROICexcg growth 5Y-4.75%
ROICexc growth 3Y-29.85%
ROICexc growth 5Y-7.09%
OM growth 3Y-25.46%
OM growth 5Y-8.53%
PM growth 3Y-24.51%
PM growth 5Y-16.2%
GM growth 3Y-2.25%
GM growth 5Y-1.51%
F-Score7
Asset Turnover0.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 34.24% | ||
| Cap/Sales | 1.2% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 115.96% | ||
| Profit Quality | 147.18% | ||
| Current Ratio | 3.29 | ||
| Quick Ratio | 2.53 | ||
| Altman-Z | 10.62 |
F-Score7
WACC9.12%
ROIC/WACC0.66
Cap/Depr(3y)84%
Cap/Depr(5y)75.71%
Cap/Sales(3y)2.12%
Cap/Sales(5y)1.9%
Profit Quality(3y)103.13%
Profit Quality(5y)109.22%
High Growth Momentum
Growth
EPS 1Y (TTM)32.79%
EPS 3Y-20.81%
EPS 5Y-2.03%
EPS Q2Q%8.7%
EPS Next Y26.38%
EPS Next 2Y26.35%
EPS Next 3Y24.65%
EPS Next 5Y29.67%
Revenue 1Y (TTM)10.14%
Revenue growth 3Y-4.11%
Revenue growth 5Y4.74%
Sales Q2Q%4.1%
Revenue Next Year6.73%
Revenue Next 2Y8.14%
Revenue Next 3Y8.6%
Revenue Next 5Y9.74%
EBIT growth 1Y45.87%
EBIT growth 3Y-28.52%
EBIT growth 5Y-4.2%
EBIT Next Year53.61%
EBIT Next 3Y31.29%
EBIT Next 5Y22.11%
FCF growth 1Y-4.75%
FCF growth 3Y-23.43%
FCF growth 5Y-10.36%
OCF growth 1Y-7.91%
OCF growth 3Y-22%
OCF growth 5Y-10.06%