Cognex Corporation

Fundamentals7.0
Price Action6.0
News Sentiment7.0
AI Rating
7.0

Key Drivers

  • High gross margins
  • Solid liquidity & FCF
  • Rich valuation multiples

AI
AI Summary

7.0

Cognex's shift from a cyclical, hardware-first machine-vision vendor to a software- and AI-enabled platform (OneVision, SLX) fundamentally reframes the investment case—future upside now depends on translating software adoption and SLX scale into recurring revenue and meaningful margin expansion, while execution failures, prolonged automotive/semicap weakness, or missed margin targets against already-rich multiples would produce outsized downside.

PlatformShift
ExecutionRisk
Valuation‍

Price Chart

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Financial Metrics

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Revenue (TTM)
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Net Income (TTM)
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EPS (Q)
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MCAP

Deep Analysis

Research tool. Not personalized advice.

Fundamental Analysis

7.0

Key Financial Insights:

  • High gross margins
  • Solid liquidity & FCF
  • Rich valuation multiples

CGNX shows robust gross margins, strong liquidity and healthy free cash flow with low leverage, but heavy operating costs, significant intangibles/tax assets, modest returns and very rich valuation multiples that weaken the investment case.

StrongMargins
RichValuation

Price Behavior

6.0
Research tool. Not personalized advice. Technical analysis is for informational purposes only.

Key Price Behavior Insights:

  • Below SMA
  • ~15% decline
  • $48 support hold

Over the last month Cognex is in a short-term downtrend—closing $49.24 well below the last-month SMA (~$52.20), down ~15% from the 2/24 high and sitting on near-term support around $48 with resistance at $52–54.

bearish
watch
Support Level: $48.00
Resistance Level: $52.00–$54.00

~15% drop from $57.79 on 2026-02-24 to $49.24 on 2026-03-20, signaling elevated short-term volatility

Sentiment & News

7.0

Key News Insights:

  • AI pivot
  • Margin targets
  • Mixed flows

Cognex is pivoting to AI-driven machine vision with new products and a revamped go‑to‑market to hit ambitious 25–31% EBITDA margins and >100% FCF conversion targets, drawing analyst praise but facing near‑term stock volatility and mixed institutional flows.

AI
Volatility

The strategic shift and product cadence could materially improve long‑term margins and adoption, but near‑term share performance will likely remain sensitive to execution and investor positioning