COGNEX CORP (CGNX)
US1924221039 - Common Stock
Overall CGNX gets a fundamental rating of 6 out of 10. We evaluated CGNX against 127 industry peers in the Electronic Equipment, Instruments & Components industry. CGNX has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. CGNX is quite expensive at the moment. It does show a decent growth rate. These ratings could make CGNX a good candidate for quality investing.
1. Profitability
1.1 Basic Checks
In the past year CGNX was profitable.
CGNX had a positive operating cash flow in the past year.
Each year in the past 5 years CGNX has been profitable.
CGNX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 5.61%, CGNX is in the better half of the industry, outperforming 76.98% of the companies in the same industry.
With a decent Return On Equity value of 7.52%, CGNX is doing good in the industry, outperforming 63.49% of the companies in the same industry.
With a decent Return On Invested Capital value of 5.58%, CGNX is doing good in the industry, outperforming 62.70% of the companies in the same industry.
CGNX had an Average Return On Invested Capital over the past 3 years of 11.06%. This is in line with the industry average of 9.35%.
The 3 year average ROIC (11.06%) for CGNX is well above the current ROIC(5.58%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.61% | ||
| ROE | 7.52% | ||
| ROIC | 5.58% |
ROA(3y)10.2%
ROA(5y)10.24%
ROE(3y)14.03%
ROE(5y)14.22%
ROIC(3y)11.06%
ROIC(5y)10.1%
1.3 Margins
The Profit Margin of CGNX (13.52%) is better than 90.48% of its industry peers.
In the last couple of years the Profit Margin of CGNX has declined.
CGNX has a better Operating Margin (14.65%) than 92.06% of its industry peers.
CGNX's Operating Margin has declined in the last couple of years.
With an excellent Gross Margin value of 71.79%, CGNX belongs to the best of the industry, outperforming 99.21% of the companies in the same industry.
In the last couple of years the Gross Margin of CGNX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.65% | ||
| PM (TTM) | 13.52% | ||
| GM | 71.79% |
OM growth 3Y-16.76%
OM growth 5Y-11.78%
PM growth 3Y-14.63%
PM growth 5Y-13.05%
GM growth 3Y-1.25%
GM growth 5Y-0.73%
2. Health
2.1 Basic Checks
CGNX has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for CGNX has been reduced compared to 1 year ago.
The number of shares outstanding for CGNX has been increased compared to 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
An Altman-Z score of 10.08 indicates that CGNX is not in any danger for bankruptcy at the moment.
CGNX has a better Altman-Z score (10.08) than 89.68% of its industry peers.
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 | 10.08 |
ROIC/WACC0.6
WACC9.22%
2.3 Liquidity
A Current Ratio of 4.47 indicates that CGNX has no problem at all paying its short term obligations.
CGNX has a Current ratio of 4.47. This is amongst the best in the industry. CGNX outperforms 80.95% of its industry peers.
CGNX has a Quick Ratio of 3.40. This indicates that CGNX is financially healthy and has no problem in meeting its short term obligations.
CGNX's Quick ratio of 3.40 is fine compared to the rest of the industry. CGNX outperforms 78.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.47 | ||
| Quick Ratio | 3.4 |
3. Growth
3.1 Past
CGNX shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -45.04%.
The earnings per share for CGNX have been decreasing by -10.30% on average. This is quite bad
CGNX shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -16.75%.
Measured over the past years, CGNX shows a small growth in Revenue. The Revenue has been growing by 0.76% on average per year.
EPS 1Y (TTM)-45.04%
EPS 3Y-11.82%
EPS 5Y-10.3%
EPS growth Q2Q-59.26%
Revenue 1Y (TTM)-16.75%
Revenue growth 3Y1.08%
Revenue growth 5Y0.76%
Revenue growth Q2Q-17.85%
3.2 Future
The Earnings Per Share is expected to grow by 30.45% on average over the next years. This is a very strong growth
CGNX is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.60% yearly.
EPS Next Y10.08%
EPS Next 2Y30%
EPS Next 3Y30.45%
EPS Next 5YN/A
Revenue Next Year12.53%
Revenue Next 2Y13.54%
Revenue Next 3Y13.42%
Revenue Next 5Y12.6%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 60.82, CGNX can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as CGNX.
Compared to an average S&P500 Price/Earnings ratio of 27.73, CGNX is valued quite expensively.
With a Price/Forward Earnings ratio of 55.25, CGNX can be considered very expensive at the moment.
CGNX's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of CGNX to the average of the S&P500 Index (20.41), we can say CGNX is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.82 | ||
| Fwd PE | 55.25 |
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.
The rest of the industry has a similar Price/Free Cash Flow ratio as CGNX.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 83.75 | ||
| EV/EBITDA | 48.86 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates CGNX does not grow enough to justify the current Price/Earnings ratio.
The decent profitability rating of CGNX may justify a higher PE ratio.
CGNX's earnings are expected to grow with 30.45% in the coming years. This may justify a more expensive valuation.
PEG (NY)6.03
PEG (5Y)N/A
EPS Next 2Y30%
EPS Next 3Y30.45%
5. Dividend
5.1 Amount
With a yearly dividend of 0.69%, CGNX is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 1.73, CGNX pays a better dividend. On top of this CGNX pays more dividend than 85.71% of the companies listed in the same industry.
With a Dividend Yield of 0.69, CGNX pays less dividend than the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.69% |
5.2 History
On average, the dividend of CGNX grows each year by 9.01%, which is quite nice.
CGNX has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of CGNX decreased in the last 3 years.
Dividend Growth(5Y)9.01%
Div Incr Years2
Div Non Decr Years2
5.3 Sustainability
43.34% of the earnings are spent on dividend by CGNX. This is a bit on the high side, but may be sustainable.
CGNX's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP43.34%
EPS Next 2Y30%
EPS Next 3Y30.45%
COGNEX CORP
NASDAQ:CGNX (5/3/2024, 7:00:00 PM)
After market: 43.79 0 (0%)43.79
+0.43 (+0.99%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryElectronic Equipment, Instruments & Components
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.52B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.69% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
Avg Revenue beat(4)
Min Revenue beat(4)
Max Revenue beat(4)
Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
Avg Revenue beat(12)
Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 60.82 | ||
| Fwd PE | 55.25 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)6.03
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.61% | ||
| ROE | 7.52% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 14.65% | ||
| PM (TTM) | 13.52% | ||
| GM | 71.79% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.42
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 4.47 | ||
| Quick Ratio | 3.4 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-45.04%
EPS 3Y-11.82%
EPS 5Y
EPS growth Q2Q
EPS Next Y10.08%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-16.75%
Revenue growth 3Y1.08%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y