Cognex Corp (CGNX) Stock Analysis
Verdict: HOLD
AI-led sales transformation and margin strength justify a premium, but aggressive valuation and insider selling necessitate a pull-back entry.
Investment score: 62/100
Analysis as of
Is Cognex Corp stock worth reviewing? AI model thesis
Cognex is a high-margin leader in machine vision currently benefiting from an AI upgrade cycle. While financials are pristine, historical insider selling and a 74x P/E ratio suggest the stock is overextended in the near term.
7-factor investment score
- Valuation: 35/100 (weight 20%)
- Financial Health: 85/100 (weight 15%)
- Technical Momentum: 70/100 (weight 15%)
- Earnings Quality: 80/100 (weight 15%)
- Insider Sentiment: 20/100 (weight 10%)
- Analyst Consensus: 75/100 (weight 10%)
- Risk-Adjusted Return: 60/100 (weight 15%)
Cognex Corp opportunities and risks
What speaks for CGNX
- AI Integration Momentum
What speaks against CGNX
- Interest Rate Sensitivity and Industrial CAPEX Cycles
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| CGNX | 74.3x | 10.1x | 46.5x | 68.0% | 13.6% | 2.3% |
| KEYS | 57.8x | 9.8x | 41.9x | 63.7% | 17.2% | 2.4% |
| TDY | 31.4x | 4.7x | 20.2x | 38.5% | 15.0% | 3.6% |
| AEIS | 70.1x | 7.1x | 50.0x | 38.7% | 10.0% | 0.5% |
| ZBRA | 27.5x | 1.9x | 14.7x | 47.5% | 7.5% | 7.7% |
| RAL | n/a | 3.5x | n/a | 46.2% | -58.6% | 4.1% |
| Peer median | 31.4x | 4.7x | 20.2x | 46.2% | 10.0% | 3.6% |
Frequently asked questions about Cognex Corp (CGNX)
Is CGNX stock a good investment?
The cached TradeMates AI model rates Cognex Corp as HOLD with an investment score of 62/100. Cognex is a high-margin leader in machine vision currently benefiting from an AI upgrade cycle. While financials are pristine, historical insider selling and a 74x P/E ratio suggest the stock is overextended in the near term. This is algorithmic model output, not personal investment advice.
Is CGNX stock a buy?
The TradeMates model verdict for CGNX is HOLD with an investment score of 62/100. Treat this as a model signal to review, not a personal buy recommendation.