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Hsbc Holdings PLC lowered its holdings in Cognex Corporation (NASDAQ:CGNX – Free Report) by 28.2% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 41,622 shares of the scientific and technical instruments company’s stock after selling 16,375 shares during the quarter. Hsbc Holdings PLC’s holdings in Cognex were worth $2,982,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the business. Intech Investment Management LLC grew its holdings in Cognex by 124.5% during the fourth quarter. Intech Investment Management LLC now owns 98,451 shares of the scientific and technical instruments company’s stock worth $3,542,000 after acquiring an additional 54,600 shares during the period. One Capital Management LLC acquired a new position in Cognex in the fourth quarter valued at approximately $1,945,000. Handelsbanken Fonder AB boosted its position in Cognex by 76.3% in the 4th quarter. Handelsbanken Fonder AB now owns 758,831 shares of the scientific and technical instruments company’s stock worth $27,303,000 after purchasing an additional 328,427 shares in the last quarter. Legal & General Group Plc boosted its position in Cognex by 11.1% in the 4th quarter. Legal & General Group Plc now owns 1,152,053 shares of the scientific and technical instruments company’s stock worth $41,451,000 after purchasing an additional 114,652 shares in the last quarter. Finally, New Age Alpha Advisors LLC acquired a new stake in shares of Cognex during the 4th quarter worth approximately $743,000. 88.12% of the stock is currently owned by institutional investors and hedge funds.

Cognex Stock Performance Cognex stock opened at $61.69 on Friday. The company’s fifty day moving average price is $63.31 and its 200 day moving average price is $60.01. Cognex Corporation has a 1 year low of $34.60 and a 1 year high of $72.88. The stock has a market capitalization of $10.38 billion, a P/E ratio of 59.89 and a beta of 1.49.

Cognex (NASDAQ:CGNX – Get Free Report) last issued its quarterly earnings results on Wednesday, August 5th. The scientific and technical instruments company reported $0.45 EPS for the quarter, topping the consensus estimate of $0.42 by $0.03. The company had revenue of $291.26 million during the quarter, compared to analyst estimates of $292.10 million. Cognex had a net margin of 16.05% and a return on equity of 13.50%. The firm’s revenue was up 16.9% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $0.25 EPS. Cognex has set its FY 2026 guidance at 1.640-1.680 EPS and its Q3 2026 guidance at 0.500-0.540 EPS. Sell-side analysts predict that Cognex Corporation will post 1.68 EPS for the current year. Cognex Dividend Announcement The business also recently declared a quarterly dividend, which was paid on Thursday, September 3rd. Investors of record on Thursday, August 20th were given a dividend of $0.085 per share. This represents a $0.34 annualized dividend and a dividend yield of 0.6%. The ex-dividend date was Thursday, August 20th. Cognex’s dividend payout ratio is 33.01%.

Analyst Upgrades and Downgrades CGNX has been the subject of several recent research reports. Weiss Ratings raised shares of Cognex from a “hold (c)” rating to a “hold (c+)” rating in a report on Tuesday, August 11th. Barclays restated an “overweight” rating and set a $80.00 price target (up from $75.00) on shares of Cognex in a research report on Monday, August 10th. Seaport Research Partners set a $75.00 price objective on shares of Cognex in a research report on Tuesday, May 26th. Needham & Company LLC increased their target price on shares of Cognex from $75.00 to $80.00 and gave the stock a “buy” rating in a research note on Friday, August 7th. Finally, Zacks Research upgraded Cognex from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, June 16th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $75.64.

View Our Latest Stock Report on Cognex

Cognex Company Profile (Free Report)

Cognex Corporation (NASDAQ: CGNX) develops machine vision technologies that help businesses automate inspection, identification, measurement and guidance tasks. Its systems enable manufacturing and logistics operations to analyze images and make decisions about products, components and packages.

The company’s product portfolio includes industrial cameras, vision sensors, barcode readers, three-dimensional vision systems and machine vision software. Cognex also offers artificial intelligence and deep-learning tools designed to address complex inspection and classification applications, along with engineering, implementation and support services.

Founded in 1981 by Robert J.

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, /PRNewswire/ -- Cognex Corporation (NASDAQ: CGNX), the global technology leader in industrial machine vision, today announced that Dennis Fehr, Chief Financial Officer, is scheduled to participate in a fireside chat at the Morgan Stanley 14th Annual Laguna Conference on Wednesday, September 16, 2026, at 7:45 a.m. Pacific Time.

The live webcast and subsequent replay can be accessed from Cognex's Investor Relations website at www.cognex.com/investor.

About Cognex Corporation 

For over 40 years, Cognex has been making advanced machine vision easy, paving the way for manufacturing and distribution companies to become faster, smarter, and more efficient through automation. Innovative technology in our vision sensors and systems solves critical manufacturing and distribution challenges, providing unparalleled performance for industries from automotive to consumer electronics to packaged goods.

Cognex makes these tools more capable and easier to deploy thanks to a longstanding focus on AI, helping factories and warehouses improve quality and maximize efficiency without needing highly technical expertise. We are headquartered near Boston, USA, with locations in over 30 countries and more than 30,000 customers worldwide. Learn more at cognex.com.

Investor Relations Contact:
Greer Aviv – Head of Investor Relations
Cognex Corporation
[email protected] 

SOURCE Cognex Corporation

Cognex Corporation (CGNX - Free Report) closed the last trading session at $61.72, gaining 6.8% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $78.39 indicates a 27% upside potential.

The mean estimate comprises 18 short-term price targets with a standard deviation of $6.86. While the lowest estimate of $65.00 indicates a 5.3% increase from the current price level, the most optimistic analyst expects the stock to surge 47.4% to reach $91.00. It's very important to note the standard deviation here, as it helps understand the variability of the estimates. The smaller the standard deviation, the greater the agreement among analysts.

While the consensus price target is highly sought after by investors, the ability and unbiasedness of analysts in setting price targets have long been questionable. And investors making investment decisions solely based on this tool would arguably do themselves a disservice.

But, for CGNX, an impressive average price target is not the only indicator of a potential upside. Strong agreement among analysts about the company's ability to report better earnings than they predicted earlier strengthens this view. While a positive trend in earnings estimate revisions doesn't gauge how much a stock could gain, it has proven to be powerful in predicting an upside.

Price, Consensus and EPS Surprise

Here's What You Should Know About Analysts' Price TargetsAccording to researchers at several universities across the globe, a price target is one of many pieces of information about a stock that misleads investors far more often than it guides. In fact, empirical research shows that price targets set by several analysts, irrespective of the extent of agreement, rarely indicate where the price of a stock could actually be heading.

While Wall Street analysts have deep knowledge of a company's fundamentals and the sensitivity of its business to economic and industry issues, many of them tend to set overly optimistic price targets. Are you wondering why?

They usually do that to drum up interest in shares of companies that their firms either have existing business relationships with or are looking to be associated with. In other words, business incentives of firms covering a stock often result in inflated price targets set by analysts.

However, a tight clustering of price targets, which is represented by a low standard deviation, indicates that analysts have a high degree of agreement about the direction and magnitude of a stock's price movement. While that doesn't necessarily mean the stock will hit the average price target, it could be a good starting point for further research aimed at identifying the potential fundamental driving forces.

That said, while investors should not entirely ignore price targets, making an investment decision solely based on them could lead to disappointing ROI. So, price targets should always be treated with a high degree of skepticism.

Here's Why There Could be Plenty of Upside Left in CGNXAnalysts' growing optimism over the company's earnings prospects, as indicated by strong agreement among them in revising EPS estimates higher, could be a legitimate reason to expect an upside in the stock. That's because empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For the current year, six estimates have moved higher over the last 30 days compared to no negative revision. As a result, the Zacks Consensus Estimate has increased 13.4%.

Moreover, CGNX currently has a Zacks Rank #2 (Buy), which means it is in the top 20% of more than 4,000 stocks that we rank based on four factors related to earnings estimates. Given an impressive externally-audited track record, this is a more conclusive indication of the stock's potential upside in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Therefore, while the consensus price target may not be a reliable indicator of how much CGNX could gain, the direction of price movement it implies does appear to be a good guide.

BOK Financial Private Wealth Inc. purchased a new position in shares of Cognex Corporation (NASDAQ:CGNX – Free Report) during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 8,923 shares of the scientific and technical instruments company’s stock, valued at approximately $646,000.

A number of other large investors have also made changes to their positions in CGNX. State of Michigan Retirement System grew its position in Cognex by 0.5% during the first quarter. State of Michigan Retirement System now owns 39,853 shares of the scientific and technical instruments company’s stock worth $1,952,000 after buying an additional 200 shares during the period. Personal CFO Solutions LLC lifted its position in shares of Cognex by 3.2% during the 1st quarter. Personal CFO Solutions LLC now owns 6,793 shares of the scientific and technical instruments company’s stock valued at $333,000 after acquiring an additional 212 shares during the period. World Investment Advisors boosted its stake in shares of Cognex by 3.7% during the 1st quarter. World Investment Advisors now owns 6,073 shares of the scientific and technical instruments company’s stock worth $298,000 after acquiring an additional 214 shares in the last quarter. Quadrant Capital Group LLC boosted its stake in shares of Cognex by 1.0% during the 4th quarter. Quadrant Capital Group LLC now owns 22,907 shares of the scientific and technical instruments company’s stock worth $824,000 after acquiring an additional 234 shares in the last quarter. Finally, Essential Partners LLC grew its holdings in shares of Cognex by 12.5% in the 1st quarter. Essential Partners LLC now owns 2,153 shares of the scientific and technical instruments company’s stock worth $105,000 after acquiring an additional 239 shares during the period. Hedge funds and other institutional investors own 88.12% of the company’s stock.

Cognex Stock Performance Cognex stock opened at $63.41 on Wednesday. Cognex Corporation has a 1 year low of $34.60 and a 1 year high of $72.88. The firm has a 50 day moving average price of $64.99 and a 200 day moving average price of $58.44. The company has a market cap of $10.67 billion, a price-to-earnings ratio of 61.56 and a beta of 1.49.

Cognex (NASDAQ:CGNX – Get Free Report) last posted its quarterly earnings results on Wednesday, August 5th. The scientific and technical instruments company reported $0.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.42 by $0.03. Cognex had a return on equity of 13.50% and a net margin of 16.05%.The firm had revenue of $291.26 million during the quarter, compared to the consensus estimate of $292.10 million. During the same quarter in the previous year, the business earned $0.25 earnings per share. The firm’s quarterly revenue was up 16.9% compared to the same quarter last year. Cognex has set its FY 2026 guidance at 1.640-1.680 EPS and its Q3 2026 guidance at 0.500-0.540 EPS. Sell-side analysts predict that Cognex Corporation will post 1.68 EPS for the current year. Cognex Dividend Announcement The company also recently disclosed a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Thursday, August 20th will be paid a dividend of $0.085 per share. The ex-dividend date is Thursday, August 20th. This represents a $0.34 dividend on an annualized basis and a dividend yield of 0.5%. Cognex’s dividend payout ratio (DPR) is currently 33.01%.

Insider Activity at Cognex In related news, VP Darren Marc Long sold 20,252 shares of Cognex stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $66.34, for a total transaction of $1,343,517.68. Following the sale, the vice president owned 3,990 shares of the company’s stock, valued at $264,696.60. The trade was a 83.54% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Insiders own 1.70% of the company’s stock.

Wall Street Analyst Weigh In A number of research analysts have recently weighed in on CGNX shares. Zacks Research upgraded Cognex from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, June 16th. Weiss Ratings upgraded shares of Cognex from a “hold (c)” rating to a “hold (c+)” rating in a research report on Tuesday, August 11th. Robert W. Baird set a $72.00 price objective on shares of Cognex in a research note on Friday, May 8th. UBS Group set a $75.00 target price on shares of Cognex in a report on Tuesday, May 26th. Finally, The Goldman Sachs Group restated a “buy” rating and set a $91.00 target price on shares of Cognex in a research report on Friday, August 7th. Two research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $75.64.

View Our Latest Stock Report on Cognex

About Cognex (Free Report)

Cognex Corporation is a leading provider of machine vision systems, software, sensors and industrial barcode readers used to automate manufacturing, logistics and distribution processes. The company designs and develops vision-based products that help manufacturers and logistics operators inspect, identify and guide parts, assemblies and packaged goods in real time. Its solutions are applied in a broad range of industries, including automotive, electronics, semiconductor, pharmaceutical, food and beverage, and general manufacturing.

The company’s product portfolio includes stand-alone vision systems, vision sensors and deep learning-based software platforms that enable automated inspection, quality control and traceability.

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Bank of America Corp DE grew its holdings in shares of Cognex Corporation (NASDAQ: CGNX) by 51.9% in the undefined quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 731,149 shares of the scientific and technical instruments company's stock after purchasing an

Cognex Corporation (CGNX) Presents at The KeyBanc Technology Leadership Forum 2026 Transcript

Key Takeaways Cognex sees data center revenue growing more than 30% year over year from a low single-digit sales base.CGNX added 4,500 customers YTD and expects double-digit growth in packaging, electronics and semiconductors.Cognex guides Q3 revenue to $300M-$320M, with adjusted EBITDA margin of 32%-35%. Cognex Corporation (CGNX - Free Report) used its second-quarter 2026 earnings call to emphasize that growth is coming from both an improving industrial cycle and a broader strategic push into AI-enabled machine vision, new customers and new end markets.

Management highlighted the data center supply chain as an emerging opportunity, while stronger semiconductor, electronics, packaging and logistics demand supported a more confident second-half outlook.

CGNX Builds a Data Center Growth PlatformPresident and CEO Matt Moschner said that data center revenues remain a low single-digit percentage of company sales but are growing more than 30% year over year.

Moschner said that Cognex is seeing demand across component manufacturing, server and rack assembly and eventually deployment and maintenance. Most current revenues are still tied to quality assurance and visual inspection of components.

In Q&A, a Goldman Sachs analyst asked what is driving the opportunity. Moschner said that aggressive AI-oriented data center construction is increasing inspection needs, while newer technologies such as OneVision allow Cognex to address complex applications that were harder to solve previously.

Cognex Extends AI Across Its Product PortfolioMoschner said that hundreds of customers are already using OneVision, Cognex's cloud-based AI training platform, to reduce deployment complexity and accelerate machine vision applications.

Moschner also pointed to new In-Sight products spanning entry-level inspection, advanced 3D vision and more complex applications, all within the same software environment.

A JPMorgan analyst asked which demonstrations were generating the strongest customer reaction. Moschner said that complex 2D inspection applications, including printed circuit boards and server-related components, stood out because AI tools can identify defects that conventional approaches struggled to address.

CGNX Broadens Customers and End MarketsMoschner said that Cognex added about 4,500 new customers year to date after adding roughly 9,000 in 2025. The next phase is a land-and-expand approach focused on identifying higher-potential accounts and increasing share of wallet.

Moschner said that packaging continues to contribute disproportionately to customer additions, while Cognex is also revitalizing relationships with systems integrators, machine builders, resellers and services partners.

Moschner raised the full-year outlook for logistics to high single-digit growth and expects double-digit growth in packaging, electronics and semiconductors. Automotive remains the exception, with a flat to low single-digit growth outlook.

Cognex Pushes More Revenue Through a Leaner Cost BaseCFO Dennis Fehr said that adjusted EBITDA margin reached 32.2%, up 1,150 basis points year over year, while adjusted operating expenses fell 5% in constant currency.

Fehr said that Cognex now expects about $35 million of annualized net cost reductions by year-end 2026. He added that the focus is shifting from direct cost reduction toward productivity improvements that allow the company to grow with largely existing resources.

Adjusted earnings per share (EPS) of $0.45 topped the Zacks Consensus Estimate of $0.42, while reported revenues of $291.3 million missed the consensus estimate of $293.2 million.

CGNX Guides for Growth With Some Second-Half PressureFehr guided Q3 revenues to $300 million to $320 million, adjusted EBITDA margin to 32% to 35% and adjusted EPS to $0.50 to $0.54.

For 2026, Fehr said that Cognex expects revenues of $1.13 billion to $1.15 billion, adjusted EBITDA margin of 29% to 31% and adjusted EPS of $1.64 to $1.68.

Fehr said that memory prices are likely to create roughly 75 basis points of gross-margin headwind in the third quarter, with some pressure potentially continuing into the fourth quarter. He expects pricing actions to offset that effect over time, while favorable mix should remain supportive but less pronounced than in the first half.

Cognex Keeps Diversification and Operating Leverage CentralMoschner framed the strategy around technology leadership, customer experience and diversification, with AI-enabled inspection opening applications across data centers, packaging, electronics and semiconductors.

Fehr kept operating leverage equally prominent. Management's second-half priorities center on sustaining demand momentum, broadening the customer base, improving channel productivity and protecting margins as input costs rise.

Zacks Signals for CGNXCGNX currently carries a Zacks Rank #2 (Buy). Its Growth Score is A, while its Value Score and Momentum Score are F and its VGM Score is D. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

The favorable Zacks Rank points to a stronger near-term ranking, while the Style Scores present a mixed profile. The Growth Score is the strongest individual signal, but the weaker Value, Momentum and VGM readings reduce the strength of the combined style picture. The Zacks Rank can change as analysts revise estimates after the just-reported results.

Prepare for the Next Wave of Factory Automation With These 3 Standout NamesCognex NASDAQ: CGNX reported record second-quarter revenue as demand across semiconductor, electronics, packaging and logistics supported growth, while cost reductions and favorable mix drove substantial margin expansion.

CEO Matt Moschner said the company did not see a material negative effect from macroeconomic or geopolitical developments during the quarter. He said Cognex is benefiting from an improving industrial cycle as well as increased adoption of automation and AI-enabled machine vision.

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Analysts Are Bullish on These 3 Laser Tech Companies“Our performance reflects more than cyclical recovery,” Moschner said, pointing to execution on the company’s growth, diversification and operating-discipline initiatives.

Financial Performance and Outlook Revenue increased 17% year over year, or 16% on a constant-currency basis, reaching a record quarterly level. Adjusted EBITDA totaled $94 million, up 81% from a year earlier and the company’s highest level since the second quarter of 2021. Adjusted EBITDA margin rose 1,150 basis points year over year to 32.2%.

3 Underrated Robotics Stocks Poised for Major GrowthAdjusted diluted earnings per share increased 80% to $0.45. Cognex generated $68 million in free cash flow during the quarter, compared with $40 million a year earlier. Over the trailing 12 months, free cash flow was $268 million and conversion was 114%, above the company’s target of more than 100%.

CFO Dennis Fehr said the company returned nearly 80% of its trailing-12-month free cash flow to shareholders through dividends and share repurchases.

China revenue rose 42% year over year on a constant-currency basis, led by semiconductor and electronics demand. Americas revenue increased 27%, though the region benefited partly from electronics customers placing orders through U.S.-based entities rather than European entities. Excluding that procurement change, Americas revenue still rose at a double-digit rate. Europe revenue fell 15%; excluding the procurement change, it declined at a low-single-digit rate. Automotive weakness was partly offset by semiconductor strength. Other Asia revenue increased 14%, driven primarily by semiconductor demand. For the third quarter, Cognex expects revenue of $300 million to $320 million, representing roughly 12% year-over-year growth at the midpoint. Excluding a $13 million one-time commercial partnership benefit recorded in the third quarter of 2025, the midpoint implies 17% growth. The company forecast adjusted EBITDA margin of 32% to 35% and adjusted EPS of $0.50 to $0.54.

For the full year, Cognex issued guidance for revenue of $1.13 billion to $1.15 billion, approximately 15% growth at the midpoint, and adjusted EBITDA margin of 29% to 31%. It projected adjusted EPS of $1.64 to $1.68, while noting that the outlook includes about $0.11 per share of investment income.

Cost Actions and Margin Factors Adjusted gross margin increased 350 basis points to 71.5%, aided by favorable mix and volume. Fehr said tariff refunds were not a material factor in the gross-margin performance. Adjusted operating expenses declined 3% year over year, or 5% in constant currency, as the company accelerated cost-reduction actions.

Cognex now expects roughly $35 million in annualized net cost reductions by the end of 2026, near the lower end of its prior $35 million to $40 million range. Fehr said the company expects operating expenses to remain below year-earlier levels in the second half and below first-half levels, although it is increasingly shifting its focus from cost reduction to productivity improvements.

The company expects higher memory prices to create approximately a 75-basis-point gross-margin headwind in the third quarter, with some impact potentially continuing into the fourth quarter. Fehr said Cognex is responding through pricing and expects the effect to be more of a timing issue than a medium-term margin pressure.

Growth Markets and AI Product Expansion Moschner said Cognex’s OneVision platform is now generally available, with hundreds of customers using it to reduce deployment complexity and scale AI-based vision applications. The company also highlighted additions to its In-Sight product portfolio, including the In-Sight 2800, L38, 3900 and 6900 systems.

The company added approximately 9,000 customers in 2025 and another 4,500 customers year to date in 2026. Moschner said Cognex is increasingly focused on a “land and expand” approach, seeking to identify higher-potential accounts among newer customers and increase its share of customer spending over time. He also said the company is strengthening coordination with systems integrators, machine builders, resellers and service partners to broaden its market reach.

Data center supply chains were a key area of discussion. The market currently represents a low-single-digit percentage of Cognex revenue but is growing more than 30% year over year, according to Moschner. Current activity is primarily tied to visual inspection and quality assurance for components such as connectors, circuit boards, metal parts and enclosures, with activity beginning to extend to server assembly.

Moschner said AI-enabled products are helping address complex inspection work that may previously have been difficult to automate, including printed circuit board assembly, packaging, semiconductor surfaces and server-rack assembly applications.

End-Market Trends Cognex raised its full-year outlook for logistics to high-single-digit growth, packaging to double-digit growth, electronics to double-digit growth and semiconductor to double-digit growth. Logistics recorded its 10th consecutive quarter of double-digit growth, supported by large e-commerce customers.

Packaging grew at a double-digit rate excluding the divestiture of a Japan-focused trading business. Electronics growth was also double digit across customers and geographies. Semiconductor revenue grew strongly across all geographies, supported by AI infrastructure investment.

Automotive revenue declined at a high-single-digit rate in the quarter but was nearly flat year to date. Growth in Asia and the Americas was offset by continued European weakness. Cognex maintained its full-year automotive outlook of flat to low-double-digit growth.

Management said it continues to monitor risks including memory-market conditions, inflation and broader macroeconomic and geopolitical developments, but said improved visibility into the second half supported its decision to provide full-year guidance.

About Cognex (NASDAQ:CGNX)Cognex Corporation is a leading provider of machine vision systems, software, sensors and industrial barcode readers used to automate manufacturing, logistics and distribution processes. The company designs and develops vision-based products that help manufacturers and logistics operators inspect, identify and guide parts, assemblies and packaged goods in real time. Its solutions are applied in a broad range of industries, including automotive, electronics, semiconductor, pharmaceutical, food and beverage, and general manufacturing.

The company's product portfolio includes stand-alone vision systems, vision sensors and deep learning-based software platforms that enable automated inspection, quality control and traceability.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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, /PRNewswire/ -- Cognex Corporation (NASDAQ: CGNX), the global technology leader in industrial machine vision, today reported financial results for the second quarter ended July 5, 2026.

Second-Quarter Financial and Operating Highlights

Achieved record quarterly revenue of $291 million, driven by broad-based strength across most major end markets; second-quarter revenue increased 17% year over year, or 16% on a constant-currency basis. Operating margin was 29.4%; delivered an Adjusted EBITDA margin of 32.2%, up 1,150 basis points year over year, marking the eighth consecutive quarter of margin expansion. Net income per diluted share was $0.43; generated Adjusted diluted earnings per share of $0.45, up 80% year over year, representing the eighth consecutive quarter of growth. Issued full-year 2026 guidance anticipating strong double-digit revenue growth and significant year-over-year expansion in profitability. Announced the general availability of OneVision™, with hundreds of customers using the platform to accelerate configuration and deployment of AI-powered vision applications. "Q2 was another strong quarter for Cognex and further evidence that our strategy is driving results," said Matt Moschner, President and CEO. "We delivered exceptional performance, highlighted by record revenue, strong margin expansion, and significant earnings growth, which we believe reflects both a more favorable demand environment and focused execution across the business. We continue to make meaningful progress against our strategic objectives to extend our leadership in AI-enabled machine vision, deliver the leading customer experience in the industry, and double our customer base."

Mr. Moschner continued, "We believe that diversification is central to the next chapter of Cognex's growth. We are focused on broadening our reach across customers, channels, adjacencies and end markets, while prioritizing the automation challenges where we expect our technology can create the most value. We believe this strategy will position Cognex to shape the future of AI-enabled machine vision and deliver more sustainable and profitable growth over time."

Dennis Fehr, CFO, added, "We believe that our Q2 performance underscores the strength of our profitable growth strategy and the strong leverage in our financial model. We are continuing to transform our operating model to drive higher productivity, support sustainable margin expansion, and strengthen our ability to scale efficiently over time. We believe that this disciplined approach will enable us to support Cognex's long-term growth objectives while reinforcing our commitment to creating shareholder value."

Financial Performance Highlights for the Second Quarter
(Dollars in millions, except per share amounts)

Three-months ended

July 05, 2026

June 29, 2025

Y/Y Change

Revenue

$291

$249

+17 %

Operating Income

$86

$43

+100 %

% of Revenue

29.4 %

17.4 %

+1,200 bps

Adjusted EBITDA1

$94

$52

81 %

% of Revenue

32.2 %

20.7 %

+1,150 bps

Net Income per Diluted Share

$0.43

$0.24

+79 %

Adjusted EPS (Diluted)1

$0.45

$0.25

+80 %

1Adjusted EBITDA and Adjusted EPS (Diluted) include non-GAAP adjustments. A reconciliation from GAAP to non-GAAP metrics is provided in this news release.

Revenue was $291 million, compared with $249 million in the second quarter of 2025, an increase of 17%. Excluding the impact of foreign currency exchange (FX), revenue increased 16% compared to the prior year, driven by broad-based strength across most major end markets. Gross margin was 70.6% compared to 67.4% in the second quarter of 2025. Adjusted gross margin was 71.5% compared to 68.0% in the second quarter of 2025, an increase of 350 basis points. The year-over-year increase was primarily driven by favorable mix and volume. Tariff refunds were not a material contributor to the strong gross margin performance. Operating expenses were $120 million compared to $124 million in the second quarter of 2025, a decrease of 3%. Adjusted operating expenses were $119 million compared to $123 million in the second quarter of 2025, a decrease of 3%. On a constant-currency basis, Adjusted operating expenses decreased 5% year over year, primarily driven by disciplined cost management. Operating income was $86 million compared to $43 million in the second quarter of 2025, an increase of 100%. Operating margin was 29.4% compared to 17.4% in the second quarter of 2025, an increase of 1,200 basis points. Adjusted operating margin was 30.7% compared to 18.7% in the second quarter of 2025, an increase of 1,200 basis points. Adjusted EBITDA was $94 million compared to $52 million in the second quarter of 2025, an increase of 81%. Adjusted EBITDA margin was 32.2% compared to 20.7% in the second quarter of 2025, an increase of 1,150 basis points. The year-over-year expansion was driven by revenue growth and favorable mix. Net income of $73 million compared to $41 million in the second quarter of 2025, an increase of 78%. Adjusted net income of $76 million compared to $43 million in the second quarter of 2025, an increase of 77%. Net income per diluted share was $0.43 compared to $0.24 in the second quarter of 2025, an increase of 79%. Adjusted diluted earnings per share were $0.45 compared to $0.25 in the second quarter of 2025, an increase of 80%. Balance Sheet and Cash Flow Highlights

As of July 5, 2026, Cognex's financial position remained strong, with $755 million in cash and investments and no debt. During the second quarter, Cognex generated $69 million of cash from operating activities compared to $43 million in the second quarter of 2025, an increase of 60%. During the second quarter, Cognex generated Free Cash Flow (FCF) of $68 million compared to $40 million in the second quarter of 2025, an increase of 70%. Second quarter FCF conversion rate was 93% of net income and 89% of Adjusted net income. Trailing twelve-month FCF conversion rate was 153% of net income and 114% of Adjusted net income. Cognex paid $14 million in dividends to shareholders in the second quarter. Dividend

On August 5, 2026, Cognex's Board of Directors declared a quarterly cash dividend of $0.085 per share. The dividend is payable on September 3, 2026, to all shareholders of record at the close of business on August 20, 2026.

Guidance

Cognex issued third-quarter and full-year 2026 guidance; details are summarized in the tables below.

Table 1: Third-Quarter 2026 Guidance

(Dollars in millions, except per
share amounts)

Q3 2026
Guidance

Q3 2025
Results

Q3 2025
Results
ex CP*

Y/Y 
Change**

Y/Y Change**
ex CP*

Revenue

$300 - $320

$277

$264

+12 %

+17 %

Adj. EBITDA Margin1

32% - 35%

24.9 %

22.1 %

+860 bps

+1,140 bps

Adj. EPS (diluted)1

$0.50 - $0.54

$0.33

$0.28

+58 %

+86 %

Table 2: Full-Year 2026 Guidance

(Dollars in millions, except per
share amounts)

 2026 
Guidance

 2025
Results

2025 Results
ex CP*

Y/Y 
Change**

Y/Y Change**
ex CP*

Revenue

$1,130 - $1,150

$994

$982

+15 %

+16 %

Adj. EBITDA Margin1

29% - 31%

21.5 %

20.7 %

+850 bps

+930 bps

Adj. EPS (diluted)1

$1.64 - $1.68

$1.02

$0.97

+63 %

+71 %

* Excluding the one-time benefit from the commercial partnership with a medical lab automation channel partner (the "CP").

** At the midpoint of guidance.

1Cognex has provided the forward-looking non-GAAP measures of adjusted EBITDA margin, and adjusted earnings per share (diluted), but cannot, without unreasonable effort, forecast such items to present or provide a reconciliation to corresponding forecasted GAAP measures. These include special items such as reorganization charges, acquisition and integration charges, and amortization of acquisition-related intangible assets, all of which are subject to limitations in predictability of timing, ultimate outcome and numerous conditions outside of Cognex's control. Additionally, these items are outside of Cognex's normal business operations and not used by management to assess Cognex's operating results. Cognex believes these limitations would result in a range of projected values so broad as to not be meaningful to investors. For these reasons, Cognex believes that the probable significance of such information is low. Information with respect to special items for certain historical periods is included in the section entitled "Reconciliation of Selected Items From GAAP to Non-GAAP". In Q3 2025 the GAAP operating margin was 20.9% and GAAP earnings per share (diluted) were $0.10, and in full-year 2025, the GAAP operating margin was 16.3% and GAAP earnings per share (diluted) were $0.68.

Analyst Conference Call and Simultaneous Webcast

Cognex will host a conference call on August 6, 2026, at 8:30 a.m. Eastern Daylight Time (EDT). The telephone number is (877) 704-4573 or (201) 389-0911 if outside the United States. A real-time audio broadcast of the conference call or an archived recording, together with a slide presentation, will be accessible on the Events & Presentations page of the Cognex Investor website: www.cognex.com/investor.  Forward-Looking Statements

Certain statements made in this report, as well as oral statements made by Cognex Corporation ("Cognex", "we", "us", "our", or the "Company") from time to time, constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.  Readers can identify these forward-looking statements by our use of the words "expects," "anticipates," "estimates," "potential," "believes," "projects," "intends," "plans," "aims," "will," "may," "shall," "could," "should," "opportunity," "goal," "objective," "target," "milestone" and similar words and other statements of a similar sense. These statements are based on our current estimates and expectations as to prospective events and circumstances, which may or may not be in our control and as to which there can be no firm assurances given. These forward-looking statements, which include statements regarding business and market trends, future financial performance, financial targets, milestones and related timing expectations, the impacts of our strategic portfolio review, the impact of tariffs, customer demand and order rates and timing of related revenue, future product or revenue mix, research and development activities, sales and marketing activities including our salesforce transformation, new product offerings, innovation and product development activities, customer acceptance of our products, commercial partnerships, capital expenditures, cost management activities including expected annualized operating expense reductions, investments, liquidity, dividends and stock repurchases, strategic and growth plans and opportunities, financial and operating models, acquisitions, and estimated tax benefits and expenses, changes in tax legislation, and other tax matters, involve known and unknown risks and uncertainties that could cause actual results to differ materially from those projected. Such risks and uncertainties include: (1) the technological obsolescence of current products, the inability to develop new products, and the inability to achieve growth through expanding and adjacent markets; (2) the impact of competitive pressures; (3) the inability to attract and retain skilled employees and effectively plan for succession, while maintaining our unique corporate culture; (4) the failure to properly manage the distribution of products and services; (5) economic, political, and other risks associated with international sales and operations, including the impact of trade disputes, the imposition of tariffs, the economic climate in China, and the wars and conflicts involving Iran, Ukraine, and Israel and those that may arise in the future in the geographies where we conduct business; (6) the challenges in integrating and achieving expected results from acquired businesses; (7) uncertainty surrounding our future capital needs; (8) the inability to effectively scale our operations and salesforce to support a significantly expanded customer base in an increasing number of geographies; (9) information security breaches and other cybersecurity threats; (10) the failure to comply with laws or regulations relating to data privacy, data protection, artificial intelligence, or other automated technologies; (11) the inability to protect our proprietary technology and intellectual property; (12) the inability to manage direct and indirect disruptions to our supply chain, which could cause delays in obtaining components for our products at reasonable prices; (13) the failure to manufacture and deliver products in a timely manner; (14) the inability to obtain, or the delay in obtaining, components for our products at reasonable prices, including memory chips; (15) the inability to design and manufacture high-quality products; (16) the loss of, or curtailment of purchases by, large customers in the logistics, consumer electronics, or automotive end markets; (17) challenges in accurately forecasting our financial results due to seasonal and cyclical variations in customer purchasing patterns and economic and market volatility; (18) potential impairment charges with respect to our investments or acquired intangible assets; (19) exposure to additional tax liabilities, increases and fluctuations in our effective tax rate, and other tax matters; (20) fluctuations in foreign currency exchange rates and the use of derivative instruments; (21) unfavorable global economic conditions, including, without limitation, increases in interest rates, elevated inflation rates, and recession risks; (22) business disruptions from natural or man-made disasters, public health crises, or other events outside our control; (23) stock price volatility; (24) our involvement in time-consuming and costly litigation or activist shareholder activities; and (25) the failure to effectively transform our operating model, manage our expenses, and achieve expected cost reductions.  The foregoing list should not be construed as exhaustive and we encourage readers to refer to the detailed discussion of risk factors included in Part I - Item 1A of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the "Annual Report"), as updated by Part II - Item 1A of our Quarterly Reports on Form 10-Q as filed with the SEC. The Company cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. The Company disclaims any obligation to subsequently revise forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date such statements are made.

COGNEX CORPORATION
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share amounts)

July 5, 2026

December 31, 2025

(unaudited)

ASSETS

Current assets:

Cash and cash equivalents

$       302,521

$            262,925

Current investments

101,849

74,037

Accounts receivable, net of allowance for credit losses of $726 and $728 in 2026 and
2025, respectively

216,232

146,713

Unbilled revenue

12,684

16,980

Inventories

142,839

137,889

Prepaid expenses and other current assets

73,755

58,702

Total current assets

849,880

697,246

Non-current investments

350,643

305,339

Property, plant, and equipment, net

81,452

86,015

Operating lease assets

68,543

72,310

Goodwill

381,385

386,279

Intangible assets, net

64,464

81,100

Deferred income taxes

377,830

383,272

Other assets

4,453

4,994

Total assets

$    2,178,650

$          2,016,555

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$        65,060

$              50,203

Accrued expenses

80,586

91,397

Accrued income taxes

9,126

9,141

Deferred revenue and customer deposits

48,978

21,094

Operating lease liabilities

12,281

11,716

Total current liabilities

216,031

183,551

Non-current operating lease liabilities

60,196

64,870

Deferred income taxes

248,888

250,512

Reserve for income taxes

21,963

24,269

Other liabilities

2,017

1,452

Total liabilities

549,095

524,654

Shareholders' equity:

Preferred stock, $.01 par value – Authorized: 400 shares in 2026 and 2025,
respectively; no shares issued and outstanding

—

—

Common stock, $.002 par value – Authorized: 300,000 shares in 2026 and 2025,
respectively; issued and outstanding: 168,217 and 166,997 shares in 2026 and 2025,
respectively

336

334

Additional paid-in capital

1,294,544

1,138,708

Retained earnings

397,135

406,355

Accumulated other comprehensive loss, net of tax

(62,460)

(53,496)

Total shareholders' equity

1,629,555

1,491,901

Total liabilities and shareholders' equity

$    2,178,650

$          2,016,555

COGNEX CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
 (In thousands, except per share amounts)

Three-months Ended

Six-months Ended

July 5, 2026

June 29, 2025

July 5, 2026

June 29, 2025

Revenue

$       291,263

$       249,093

$   559,700

$   465,129

Cost of revenue (1)

85,490

81,217

162,988

152,930

Gross profit

205,773

167,876

396,712

312,199

Percentage of revenue

70.6 %

67.4 %

70.9 %

67.1 %

Research, development, and engineering expenses (1)

32,391

33,102

69,416

67,829

Percentage of revenue

11.1 %

13.3 %

12.4 %

14.6 %

Selling, general, and administrative expenses (1)

87,865

91,341

181,906

174,845

Percentage of revenue

30.2 %

36.7 %

32.5 %

37.6 %

Operating income

85,517

43,433

145,390

69,525

Percentage of revenue

29.4 %

17.4 %

26.0 %

14.9 %

Foreign currency gain (loss)

(862)

(1,503)

(2,207)

(3,956)

Investment income

5,091

4,040

9,927

8,030

Other income (expense)

(446)

2,092

(2,053)

2,261

Income before income tax expense

89,300

48,062

151,057

75,860

Income tax expense

16,544

7,551

26,597

11,746

Net income

$         72,756

$         40,511

$   124,460

$     64,114

Percentage of revenue

25.0 %

16.3 %

22.2 %

13.8 %

Net income per weighted-average common and common-
equivalent share:

Basic

$            0.43

$            0.24

$       0.75

$       0.38

Diluted

$            0.43

$            0.24

$       0.74

$       0.38

Weighted-average common and common-equivalent
shares outstanding:

Basic

167,346

167,886

166,921

168,568

Diluted

169,989

168,563

169,166

169,553

Cash dividends per common share

$          0.085

$          0.080

$      0.170

$      0.160

(1) Amounts include stock-based compensation expense, as follows:

Cost of revenue

$            592

$            537

$      1,517

$      1,205

Research, development, and engineering

3,388

3,443

8,482

8,139

Selling, general, and administrative

7,232

8,314

13,146

12,889

Total stock-based compensation expense

$         11,212

$         12,294

$    23,145

$     22,233

Non-GAAP Financial Measures

This press release includes certain non-GAAP financial measures, including adjusted gross profit and margin, adjusted operating expense, adjusted operating income and margin, adjusted EBITDA and margin, adjusted net income, adjusted earnings per share of common stock, diluted, adjusted effective tax rate, and free cash flow and free cash flow conversion rate. Cognex defines its non-GAAP metrics as follows:

Adjusted gross profit and margin: Gross margin adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted operating expense: Operating expense adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted operating income and margin: Operating income adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted EBITDA and margin: Operating income adjusted for amortization of acquisition-related intangible assets and depreciation, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted net income: Net income adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs, discrete tax items, tax impact on reconciling items and one-time discrete events (such as loss on sale of business). Adjusted earnings per share of common stock, diluted: Adjusted net income divided by diluted weighted average common and common-equivalent shares. Adjusted effective tax rate: Effective tax rate adjusted for discrete tax items and the net impact of the other non-GAAP adjustments. Free cash flow: Cash provided by operating activities less cash for capital expenditures. Free cash flow conversion rate: Free cash flow divided by net income or adjusted net income, as applicable. Cognex may disclose results on a constant-currency basis as one measure to evaluate its performance and compare results between periods as if the exchange rates had remained constant period-over-period.

Cognex believes these non-GAAP financial measures are helpful because they allow investors to more accurately compare results over multiple periods using the same methodology that management employs in its budgeting process, in its review of operating results, and for forecasting and planning for future periods. Cognex's definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish these or similar metrics. Furthermore, these measures have certain limitations in that they do not include the impact of certain non-recurring expenses that are reflected in our consolidated statement of operations that are necessary to run our business. Thus, our non-GAAP financial measures should be considered in addition to, not as substitutes for, or in isolation from, measures prepared in accordance with GAAP.

Please see the section "Reconciliation of Selected Items from GAAP to Non-GAAP" below for more detailed information regarding non-GAAP financial measures herein, including the items reflected in our adjusted financial metrics and a description of these adjustments.

COGNEX CORPORATION
RECONCILIATION OF SELECTED ITEMS FROM GAAP TO NON-GAAP
Dollars in thousands, except per share amounts 
(Unaudited)

Three-months Ended

Six-months Ended

July 5, 2026

June 29, 2025

July 5, 2026

June 29, 2025

Gross profit (GAAP)

$    205,773

$    167,876

$    396,712

$    312,199

Acquisition and integration costs

218

211

434

453

Amortization of acquisition-related intangible assets

1,323

1,382

2,660

2,720

Reorganization charges

921

—

1,295

86

Adjusted gross profit

$    208,235

$    169,469

$    401,101

$    315,458

GAAP gross margin

70.6 %

67.4 %

70.9 %

67.1 %

Adjusted gross margin

71.5 %

68.0 %

71.7 %

67.8 %

Operating expense (GAAP)

$    120,256

$    124,443

$    251,322

$    242,674

Acquisition and integration costs

(15)

(259)

(30)

(797)

Amortization of acquisition-related intangible assets

(972)

(1,296)

(2,167)

(2,586)

Reorganization charges

(335)

—

(5,090)

(1,622)

Adjusted operating expense

$    118,934

$    122,888

$    244,035

$    237,669

Operating income (GAAP)

$     85,517

$     43,433

$    145,390

$      69,525

Acquisition and integration costs

233

470

464

1,250

Amortization of acquisition-related intangible assets

2,295

2,678

4,827

5,306

Reorganization charges

1,256

—

6,385

1,708

Adjusted operating income

$      89,301

$     46,581

$    157,066

$      77,789

GAAP operating margin

29.4 %

17.4 %

26.0 %

14.9 %

Adjusted operating margin

30.7 %

18.7 %

28.1 %

16.7 %

Depreciation (adjusted for amounts included in Acquisition and
integration costs)

4,358

5,095

8,830

10,178

Adjusted EBITDA

$     93,659

$     51,676

$    165,896

$      87,967

Adjusted EBITDA margin

32.2 %

20.7 %

29.6 %

18.9 %

Net income (GAAP)

$     72,756

$     40,511

$    124,460

$      64,114

Acquisition and integration costs

233

470

464

1,250

Amortization of acquisition-related intangible assets

2,295

2,678

4,827

5,306

Reorganization charges

1,256

—

6,385

1,708

Loss on sale of business

—

—

1,539

—

Discrete tax (benefit) expense

450

(211)

(729)

(518)

Tax impact of reconciling items

(1,102)

(891)

(3,740)

(2,256)

Adjusted net income

$      75,888

$     42,557

$    133,206

$      69,604

Earnings per share of common stock, diluted (GAAP)

$        0.43

$        0.24

$        0.74

$        0.38

Acquisition and integration costs

0.00

0.00

0.00

0.01

Amortization of acquisition-related intangible assets

0.01

0.02

0.03

0.03

Reorganization charges

0.01

—

0.04

0.01

Loss on sale of business

—

—

0.01

—

Discrete tax (benefit) expense

0.00

0.00

0.00

0.00

Tax impact of reconciling items

(0.01)

(0.01)

(0.02)

(0.01)

Adjusted earnings per share of common stock, diluted

$        0.45

$        0.25

$        0.80

$        0.41

Effective tax rate (GAAP)

18.5 %

15.7 %

17.6 %

15.5 %

Discrete tax benefit (expense)

(0.5) %

0.4 %

0.5 %

0.7 %

Net impact of other reconciling items

0.4 %

0.7 %

0.8 %

1.1 %

Adjusted effective tax rate

18.5 %

16.9 %

18.9 %

17.3 %

Cash provided by operating activities (GAAP)

$     69,153

$     42,625

$    114,246

$      83,127

Capital expenditures

(1,532)

(2,194)

(4,289)

(4,695)

Free cash flow

$      67,621

$     40,431

$    109,957

$      78,432

Description of adjustments:

In addition to reporting financial results in accordance with U.S. GAAP, the Company also provides various non-GAAP measures that incorporate adjustments for the impacts of special items. Adjustments incorporated in the preparation of these non-GAAP measures for the periods presented include the items described below:

Depreciation:

The company incurs expense related to its normal use of property, plant and equipment. Acquisition and integration costs:

The Company has incurred charges related to the purchase and integration of acquired businesses. During the periods presented, these costs were primarily related to the ongoing integration of Moritex Corporation, which the company acquired in the fourth quarter of 2023. Amortization of acquisition-related intangible assets:

The Company excludes the amortization of acquired intangible assets from non-GAAP expense and income measures. These items are inconsistent in amount and frequency and are significantly impacted by the timing and size of acquisitions, and include the amortization of customer relationships, completed technologies, and trademarks that originated from prior acquisitions. The largest driver of intangible asset amortization was the acquisition of Moritex Corporation. Reorganization charges:

The Company has incurred charges related to the reorganization of its employees. During the three-month period ended July 5, 2026, these costs consisted primarily of severance and consulting fees. Loss on sale of business:

The Company has recognized a pre-tax loss related to the divestiture of its Japan-focused trading business, which includes direct costs associated with the divestiture incurred during the six-month period ended July 5, 2026. Discrete tax (benefit) expense and tax impact of reconciling items:

Items unrelated to current period ordinary income or (loss) that generally relate to changes in tax laws, adjustments to prior period's actual liability determined upon filing tax returns, adjustments to previously recorded reserves for uncertain tax positions, establishments and adjustments of valuation allowances, stock based compensation, and adjustments to deferred tax positions. We estimate the tax effect of items identified in the reconciliation by applying the statutory tax rate to the pre-tax amount. About Cognex Corporation

For over 40 years, Cognex has been making advanced machine vision easy, paving the way for manufacturing and distribution companies to become faster, smarter, and more efficient through automation. Innovative technology in our vision sensors and systems solves critical manufacturing and distribution challenges, providing unparalleled performance for industries from automotive to consumer electronics to packaged goods.

Cognex makes these tools more capable and easier to deploy thanks to a longstanding focus on AI, helping factories and warehouses improve quality and maximize efficiency without needing highly technical expertise. We are headquartered near Boston, USA, with locations in over 30 countries and more than 30,000 customers worldwide. Learn more at cognex.com.

Investor Relations Contact:
Greer Aviv – Head of Investor Relations
Cognex Corporation
[email protected]

SOURCE Cognex Corporation

Key Takeaways Cognex expects Q2 revenues of $280M-$300M and adjusted EPS of 40 cents to 44 cents. AI vision launches and demand in electronics, chips, packaging and logistics may fuel growth.Sales changes and cost cuts support 28%-31% adjusted EBITDA margins despite macro risks. Cognex (CGNX - Free Report) is scheduled to report its second-quarter 2026 earnings results on Aug. 5.

CGNX anticipates adjusted earnings between 40 and 44 cents per share, indicating year-over-year growth of approximately 68% at the midpoint.

The company expects revenues between $280 million and $300 million, representing approximately 16.5% year-over-year growth at the midpoint. The to-be-reported quarter is expected to benefit from approximately $7 million of electronics orders shifting from the third quarter into the second quarter, while continued demand from semiconductor equipment manufacturers, packaging customers and large e-commerce logistics clients is likely to support overall growth.

For the second quarter of 2026, the Zacks Consensus Estimate for earnings is pegged at 42 cents per share, unchanged over the past 30 days, suggesting a year-over-year increase of 68%.

The consensus mark for second-quarter 2026 revenues is pegged at $293.24 million, indicating a 17.72% year-over-year increase.

Cognex beat the Zacks Consensus Estimate for earnings in all the trailing four quarters, with the average surprise being 22.41%.

Let us see how things have shaped up for the upcoming announcement.

Factors Likely to Influence CGNX’s Q2 PerformanceCognex’s second-quarter 2026 performance is expected to have benefited from sustained strength across its key end markets, particularly electronics, semiconductor, packaging and logistics. Top-line growth is expected to benefit from broad-based demand across customers and geographies, supported by ongoing supply-chain diversification, consumer device refresh cycles, new device form factors and continued sales force transformation.

 The to-be-reported quarter’s results are expected to benefit from increasing adoption of Cognex’s artificial intelligence (AI)-powered machine vision portfolio. The latest In-Sight 6900 and In-Sight 3900 embedded vision systems, together with the OneVision platform, strengthen the company’s edge AI ecosystem and expand its capabilities in high-performance industrial inspection. Cognex indicated that successful AI-driven product launches and broader customer adoption are supporting stronger demand and commercial momentum. This trend is likely to have benefited top-line growth in the to-be-reported quarter.

Cognex is expected to benefit from its ongoing sales force transformation and productivity initiatives in the to-be-reported quarter. The company noted that its revamped go-to-market strategy is beginning to deliver meaningful improvements in commercial execution and sales effectiveness. Portfolio optimization and cost-reduction initiatives remain on track, supporting expectations for adjusted EBITDA margins between 28% and 31% through favorable product mix, operating leverage and improved organizational efficiency. At the midpoint, adjusted EBITDA is expected to expand 880 basis points.

However, despite healthy demand, Cognex continued to operate against an uncertain macro backdrop, which is likely to have hurt top-line growth. The company’s gross margin is likely to have suffered from tariffs, rising memory-chip costs and broader supply-chain inflation in the to-be-reported quarter.

What Our Model Says About CGNXAccording to the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that is not the exact case here.

Cognex currently has an Earnings ESP of 0.00% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Stocks to ConsiderHere are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases.

NVIDIA (NVDA - Free Report) has an Earnings ESP of +0.52% and a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

 NVIDIA shares have gained 7.6% in the year-to-date period. NVDA is set to report second-quarter fiscal 2027 results on Aug. 26.

Analog Devices (ADI - Free Report) has an Earnings ESP of +2.37% and a Zacks Rank #2 at present.

 Analog Devices shares have climbed 35.5% in the year-to-date period. ADI is scheduled to report its third-quarter fiscal 2026 results on Aug. 19.

Applied Materials (AMAT - Free Report) has an Earnings ESP of +1.52% and a Zacks Rank #2 at present.

Shares of Applied Materials have surged 97.5% in the year-to-date period. AMAT is set to report its third-quarter fiscal 2026 results on Aug. 13.

American Capital Management Inc. trimmed its stake in Cognex Corporation (NASDAQ:CGNX – Free Report) by 25.5% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 271,533 shares of the scientific and technical instruments company’s stock after selling 92,840 shares during the quarter. American Capital Management Inc. owned approximately 0.16% of Cognex worth $13,302,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently modified their holdings of CGNX. Northwestern Mutual Wealth Management Co. increased its stake in Cognex by 173,138.2% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 10,477,448 shares of the scientific and technical instruments company’s stock worth $376,979,000 after purchasing an additional 10,471,400 shares in the last quarter. Norges Bank purchased a new position in shares of Cognex in the fourth quarter worth approximately $73,103,000. Alyeska Investment Group L.P. acquired a new stake in shares of Cognex during the fourth quarter valued at approximately $68,388,000. AQR Capital Management LLC raised its holdings in shares of Cognex by 18,810.9% during the second quarter. AQR Capital Management LLC now owns 1,794,649 shares of the scientific and technical instruments company’s stock valued at $56,657,000 after acquiring an additional 1,785,159 shares during the period. Finally, Pictet Asset Management Holding SA lifted its position in shares of Cognex by 27.9% in the 4th quarter. Pictet Asset Management Holding SA now owns 7,013,184 shares of the scientific and technical instruments company’s stock valued at $252,360,000 after acquiring an additional 1,529,010 shares in the last quarter. 88.12% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth A number of equities analysts recently commented on the stock. Wall Street Zen raised shares of Cognex from a “hold” rating to a “buy” rating in a research note on Saturday, May 9th. Truist Financial boosted their target price on shares of Cognex from $61.00 to $71.00 and gave the company a “hold” rating in a research note on Thursday, July 2nd. JPMorgan Chase & Co. upgraded Cognex from a “neutral” rating to an “overweight” rating and increased their target price for the company from $65.00 to $75.00 in a report on Tuesday, May 26th. Seaport Research Partners set a $75.00 target price on Cognex in a research report on Tuesday, May 26th. Finally, Barclays reiterated an “overweight” rating and set a $75.00 price target (up from $64.00) on shares of Cognex in a report on Monday, May 11th. Two equities research analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and four have given a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $72.31.

Read Our Latest Stock Report on CGNX

Insider Buying and Selling In related news, VP Laura Ann Macdonald sold 41,600 shares of the stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $65.56, for a total transaction of $2,727,296.00. Following the completion of the sale, the vice president directly owned 5,258 shares in the company, valued at approximately $344,714.48. This trade represents a 88.78% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Darren Marc Long sold 20,252 shares of Cognex stock in a transaction on Wednesday, May 27th. The shares were sold at an average price of $66.34, for a total value of $1,343,517.68. Following the sale, the vice president directly owned 3,990 shares of the company’s stock, valued at approximately $264,696.60. The trade was a 83.54% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 224,847 shares of company stock worth $14,975,098. Corporate insiders own 1.70% of the company’s stock.

Cognex Stock Performance CGNX stock opened at $61.29 on Tuesday. The firm has a 50 day simple moving average of $64.96 and a 200 day simple moving average of $55.62. Cognex Corporation has a 52 week low of $33.45 and a 52 week high of $72.88. The stock has a market cap of $10.20 billion, a P/E ratio of 72.96 and a beta of 1.49.

Cognex (NASDAQ:CGNX – Get Free Report) last released its quarterly earnings data on Wednesday, May 6th. The scientific and technical instruments company reported $0.34 earnings per share for the quarter, beating the consensus estimate of $0.25 by $0.09. The firm had revenue of $268.44 million for the quarter, compared to analyst estimates of $245.98 million. Cognex had a net margin of 13.62% and a return on equity of 10.89%. The company’s revenue for the quarter was up 24.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.14 EPS. Cognex has set its Q2 2026 guidance at 0.400-0.440 EPS. Sell-side analysts predict that Cognex Corporation will post 1.48 EPS for the current year.

Cognex Announces Dividend The business also recently declared a quarterly dividend, which was paid on Thursday, June 4th. Stockholders of record on Thursday, May 21st were paid a $0.085 dividend. The ex-dividend date of this dividend was Thursday, May 21st. This represents a $0.34 dividend on an annualized basis and a dividend yield of 0.6%. Cognex’s dividend payout ratio is 40.48%.

About Cognex (Free Report)

Cognex Corporation is a leading provider of machine vision systems, software, sensors and industrial barcode readers used to automate manufacturing, logistics and distribution processes. The company designs and develops vision-based products that help manufacturers and logistics operators inspect, identify and guide parts, assemblies and packaged goods in real time. Its solutions are applied in a broad range of industries, including automotive, electronics, semiconductor, pharmaceutical, food and beverage, and general manufacturing.

The company’s product portfolio includes stand-alone vision systems, vision sensors and deep learning-based software platforms that enable automated inspection, quality control and traceability.

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, /PRNewswire/ -- Cognex Corporation (NASDAQ: CGNX), the global technology leader in industrial machine vision, will release earnings for the second quarter of 2026 on Wednesday, August 5, 2026, after market close.

The Company will host a conference call on Thursday, August 6, 2026, at 8:30 a.m. Eastern Time (ET), to discuss the results.

Access to the conference call, and a replay that will be available following the call, may be found on the Cognex Investor Relations website at https://www.cognex.com/investor. The telephone number for the live call is (877) 704-4573 or (201) 389-0911 if outside the United States.

About Cognex
For over 40 years, Cognex has been making advanced machine vision easy, paving the way for manufacturing and distribution companies to become faster, smarter, and more efficient through automation. Innovative technology in our vision sensors and systems solves critical manufacturing and distribution challenges, providing unparalleled performance for industries from automotive to consumer electronics to packaged goods.

Cognex makes these tools more capable and easier to deploy thanks to a longstanding focus on AI, helping factories and warehouses improve quality and maximize efficiency without needing highly technical expertise. We are headquartered near Boston, USA, with locations in over 30 countries and more than 30,000 customers worldwide. Learn more at cognex.com.

Investor Relations Contact:
Greer Aviv
Head of Investor Relations
Cognex Corporation
[email protected]

SOURCE Cognex Corporation

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.

While many investors like to look for momentum in stocks, this can be very tough to define. There is a lot of debate surrounding which metrics are the best to focus on and which are poor quality indicators of future performance. The Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.

Below, we take a look at Cognex Corporation (CGNX - Free Report) , a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.

It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Cognex Corporation currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.

You can see the current list of Zacks #1 Rank Stocks here >>>

Set to Beat the Market? In order to see if CGNX is a promising momentum pick, let's examine some Momentum Style elements to see if this company holds up.

Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area.

For CGNX, shares are up 1.86% over the past week while the Zacks Electronics - Testing Equipment industry is up 1.48% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 9.23% compares favorably with the industry's 4.31% performance as well.

While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Over the past quarter, shares of Cognex Corporation have risen 17.33%, and are up 92.41% in the last year. In comparison, the S&P 500 has only moved 10.61% and 21.48%, respectively.

Investors should also take note of CGNX's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now CGNX is averaging 2,308,609 shares for the last 20 days..

Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with CGNX.

Over the past two months, 4 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost CGNX's consensus estimate, increasing from $1.36 to $1.48 in the past 60 days. Looking at the next fiscal year, 4 estimates have moved upwards while there have been no downward revisions in the same time period.

Bottom LineTaking into account all of these elements, it should come as no surprise that CGNX is a #1 (Strong Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Cognex Corporation on your short list.

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Stock Market Skids As Trump Makes This Trade Call; Jobs Report Due The artificial intelligence trade was getting tested by the bears heading into the holiday weekend. But AI stock Cognex (CGNX) found bullish support as it flirted with an entry amid accelerating earnings. The company makes machine-vision products that help automate manufacturing processes. These include vision software, systems, sensors, and identification products. This means Cognex falls within the so-called physical AI…

Copyright ©2026 Investor's Business Daily, LLC. All rights reserved. 87990cbe856818d5eddac44c7b1cdeb8

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.

Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.

Below, we take a look at Cognex Corporation (CGNX - Free Report) , a company that currently holds a Momentum Style Score of B. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.

It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Cognex Corporation currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.

You can see the current list of Zacks #1 Rank Stocks here >>>

Set to Beat the Market? In order to see if CGNX is a promising momentum pick, let's examine some Momentum Style elements to see if this company holds up.

A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.

For CGNX, shares are up 3.91% over the past week while the Zacks Electronics - Testing Equipment industry is up 1.48% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 2.28% compares favorably with the industry's 2.28% performance as well.

While any stock can see its price increase, it takes a real winner to consistently beat the market. That is why looking at longer term price metrics -- such as performance over the past three months or year -- can be useful as well. Over the past quarter, shares of Cognex Corporation have risen 47.15%, and are up 126.62% in the last year. In comparison, the S&P 500 has only moved 15.12% and 26.7%, respectively.

Investors should also pay attention to CGNX's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. CGNX is currently averaging 2,032,283 shares for the last 20 days.

Earnings OutlookThe Zacks Momentum Style Score also takes into account trends in estimate revisions, in addition to price changes. Please note that estimate revision trends remain at the core of Zacks Rank as well. A nice path here can help show promise, and we have recently been seeing that with CGNX.

Over the past two months, 6 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost CGNX's consensus estimate, increasing from $1.25 to $1.49 in the past 60 days. Looking at the next fiscal year, 5 estimates have moved upwards while there have been no downward revisions in the same time period.

Bottom LineGiven these factors, it shouldn't be surprising that CGNX is a #1 (Strong Buy) stock and boasts a Momentum Score of B. If you're looking for a fresh pick that's set to soar in the near-term, make sure to keep Cognex Corporation on your short list.

, /PRNewswire/ -- Cognex Corporation (NASDAQ: CGNX), the global technology leader in industrial machine vision, today reported financial results for the first quarter ended April 5, 2026.

First-Quarter Financial and Operating Highlights

Revenue increased 24% year over year, or 21% on a constant-currency basis, exceeding expectations due to broad-based strength across major end markets. Operating margin was 22.3%; Adjusted EBITDA margin reached 26.9%, expanding 1,010 basis points year over year and marking the seventh consecutive quarter of margin improvement. Net income per diluted share was $0.31; Adjusted diluted earnings per share of $0.34 increased 113% year over year, representing the seventh straight quarter of growth. Returned $113 million to shareholders in Q1 primarily through opportunistic share repurchases. Advancing AI vision innovation: introduced two breakthrough AI vision platforms – the In‑Sight® 6900 powered by NVIDIA and the In‑Sight® 3900 embedded AI vision system powered by Qualcomm. Successfully completed the divestiture of the Japan‑focused trading business as part of the announced portfolio optimization. "Since the CEO transition was announced a year ago, we've moved with urgency to focus our strategy, strengthen execution, and position Cognex for sustainable, profitable growth," said Matt Moschner, President and CEO. "This was evident in Q1, highlighted by the launch of two breakthrough AI vision systems, the completion of the trading business divestiture and continued execution toward our announced cost reduction target. We believe that this progress is clearly reflected in our Q1 results, with an exceptional start to the year and broad‑based outperformance during the quarter."

Mr. Moschner continued, "Our latest AI vision products reinforce our technology leadership and objective of becoming the #1 provider of AI‑powered machine vision. By combining our industry-leading AI vision tools with high-performance embedded systems and the scalability of OneVision™, we're enabling customers to solve more complex inspection challenges at the edge – faster, easier, and without the cost and complexity of PC-based architectures."

Dennis Fehr, CFO, added, "Our strong Q1 performance reflects disciplined execution and continued progress against our profitable growth strategy. As we continue to transform our operating model, we expect to drive higher productivity, support sustainable margin expansion, and reinforce our commitment to creating long‑term shareholder value."

Financial Performance Highlights for the First Quarter
(Dollars in millions, except per share amounts)

Three-months ended

April 05, 2026

March 30, 2025

Y/Y Change

Revenue

$268

$216

+24 %

Operating Income

$60

$26

+131 %

% of Revenue

22.3 %

12.1 %

+1,020 bps

Adjusted EBITDA*

$72

$36

100 %

% of Revenue

26.9 %

16.8 %

+1,010 bps

Net Income per Diluted Share

$0.31

$0.14

+121 %

Adjusted EPS (Diluted)*

$0.34

$0.16

+113 %

*Adjusted EBITDA and Adjusted EPS (Diluted) include non-GAAP adjustments. A reconciliation from GAAP to non-GAAP metrics is provided in this news release.

Revenue was $268 million, compared with $216 million in the first quarter of 2025, an increase of 24%. Excluding the impact of foreign currency exchange (FX), revenue increased 21% compared to the prior year. The year-over-year increase in revenue was driven by broad-based strength across major end markets. Gross margin was 71.1% compared to 66.8% in the first quarter of 2025. Adjusted gross margin of 71.8% compared to 67.6% in the first quarter of 2025, an increase of 420 basis points. The year-over-year increase was primarily driven by favorable mix and volume, slightly offset by tariffs. Operating expenses were $131 million compared to $118 million in the first quarter of 2025, an increase of 11%. Adjusted operating expenses were $125 million compared to $115 million in the first quarter of 2025, an increase of 9%. On a constant-currency basis, Adjusted operating expenses increased 4% year over year, driven by higher incentive compensation, partially offset by disciplined cost management. Operating income was $60 million compared to $26 million in the first quarter of 2025, an increase of 131%. Operating margin was 22.3% compared to 12.1% in the first quarter of 2025, an increase of 1,020 basis points. Adjusted operating margin was 25.2% compared to 14.4% in the first quarter of 2025, an increase of 1,080 basis points. Adjusted EBITDA was $72 million compared to $36 million in the first quarter of 2025, an increase of 100%. Adjusted EBITDA margin was 26.9% compared to 16.8% in the first quarter of 2025, an increase of 1,010 basis points. The year-over-year expansion was driven by revenue growth and favorable mix. Net income of $52 million compared to $24 million in the first quarter of 2025, an increase of 117%. Adjusted net income of $57 million compared to $27 million in the first quarter of 2025, an increase of 111%. Net income per diluted share was $0.31 compared to $0.14 in the first quarter of 2025, an increase of 121%. Adjusted diluted earnings per share were $0.34 compared to $0.16 in the first quarter of 2025, an increase of 113%. Balance Sheet and Cash Flow Highlights

As of April 5, 2026, Cognex's financial position remained strong, with $622 million in cash and investments and no debt. During the first quarter, Cognex generated $45 million of cash from operating activities compared to $41 million in the first quarter of 2025, an increase of 10%. During the first quarter, Cognex generated Free Cash Flow (FCF) of $42 million compared to $38 million in the first quarter of 2025, an increase of 11%. First quarter FCF conversion rate was 82% of net income and 74% of Adjusted net income. Trailing twelve-month FCF conversion rate was 169% of net income and 119% of Adjusted net income. Cognex repurchased $99 million of its common stock and paid $14 million in dividends to shareholders in the first quarter. Dividend

On May 6, 2026, Cognex's Board of Directors declared a quarterly cash dividend of $0.085 per share. The dividend is payable on June 4, 2026, to all shareholders of record at the close of business on May 21, 2026.

Guidance
Cognex issued second-quarter 2026 guidance; details are summarized in the table below.

(Dollars in millions, except per share amounts)

Q2 2026
Guidance

Q2 2025
Results

Y/Y
Change*

Revenue

$280 - $300

$249

+16.5 %

Adjusted EBITDA Margin1

28% - 31%

20.7 %

+880 bps

Adjusted Earnings Per Share (diluted)1

$0.40 - $0.44

$0.25

+68.0 %

*At the midpoint of guidance.

1Cognex has provided the forward-looking non-GAAP measures of adjusted EBITDA margin, and adjusted earnings per share (diluted), but cannot, without unreasonable effort, forecast such items to present or provide a reconciliation to corresponding forecasted GAAP measures. These include special items such as reorganization charges, acquisition and integration charges, and amortization of acquisition-related intangible assets, all of which are subject to limitations in predictability of timing, ultimate outcome and numerous conditions outside of Cognex's control. Additionally, these items are outside of Cognex's normal business operations and not used by management to assess Cognex's operating results. Cognex believes these limitations would result in a range of projected values so broad as to not be meaningful to investors. For these reasons, Cognex believes that the probable significance of such information is low. Information with respect to special items for certain historical periods is included in the section entitled "Reconciliation of Selected Items From GAAP to Non-GAAP". In Q2 2025 the GAAP operating margin was 17.4% and GAAP earnings per share (diluted) were $0.24.

Analyst Conference Call and Simultaneous Webcast

Cognex will host a conference call on May 7, 2026, at 8:30 a.m. Eastern Daylight Time (EDT). The telephone number is (877) 704-4573 or (201) 389-0911 if outside the United States. A real-time audio broadcast of the conference call or an archived recording, together with a slide presentation, will be accessible on the Events & Presentations page of the Cognex Investor website: www.cognex.com/investor.  Forward-Looking Statements

Certain statements made in this release, as well as oral statements made by the Company from time to time, constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Readers can identify these forward-looking statements by our use of the words "expects," "anticipates," "estimates," "potential," "believes," "projects," "intends," "plans," "aims," "will," "may," "shall," "could," "should," "opportunity," "goal," "objective," "target," "milestone" and similar words and other statements of a similar sense. These statements are based on our current estimates and expectations as to prospective events and circumstances, which may or may not be in our control and as to which there can be no firm assurances given. These forward-looking statements, which include statements regarding business and market trends, future financial performance, financial targets, milestones and related timing expectations, the impacts of our strategic portfolio review, the impact of tariffs, customer demand and order rates and timing of related revenue, future product or revenue mix, research and development activities, sales and marketing activities including our salesforce transformation, new product offerings, innovation and product development activities, customer acceptance of our products, commercial partnerships, capital expenditures, cost management activities including expected annualized operating expense reductions, investments, liquidity, dividends and stock repurchases, strategic and growth plans and opportunities, acquisitions, and estimated tax benefits and expenses, changes in tax legislation, and other tax matters, involve known and unknown risks and uncertainties that could cause actual results to differ materially from those projected. Such risks and uncertainties include: (1) the technological obsolescence of current products and the inability to develop new products; (2) the impact of competitive pressures; (3) the inability to attract and retain skilled employees and effectively plan for succession, while maintaining our unique corporate culture; (4) the failure to properly manage the distribution of products and services; (5) economic, political, and other risks associated with international sales and operations, including the impact of trade disputes, the imposition of tariffs, the economic climate in China, and the wars and conflicts involving Iran, Ukraine, and Israel and those that may arise in the future in the geographies where we conduct business; (6) the challenges in integrating and achieving expected results from acquired businesses; (7) uncertainty surrounding our future capital needs; (8) the inability to effectively scale our operations and salesforce to support a significantly expanded customer base; (9) information security breaches and other cybersecurity threats; (10) the failure to comply with laws or regulations relating to data privacy, data protection, AI, or other automated technologies; (11) the inability to protect our proprietary technology and intellectual property; (12) the inability to manage direct and indirect disruptions to our supply chain, which could cause delays in obtaining components for our products at reasonable prices; (13) the failure to manufacture and deliver products in a timely manner; (14) the inability to obtain, or the delay in obtaining, components for our products at reasonable prices, including memory chips; (15) the inability to design and manufacture high-quality products; (16) the loss of, or curtailment of purchases by, large customers in the logistics, consumer electronics, or automotive end markets; (17) challenges in accurately forecasting our financial results due to seasonal and cyclical variations in customer purchasing patterns and economic and market volatility; (18) potential impairment charges with respect to our investments or acquired intangible assets; (19) exposure to additional tax liabilities, increases and fluctuations in our effective tax rate, and other tax matters; (20) fluctuations in foreign currency exchange rates and the use of derivative instruments; (21) unfavorable global economic conditions, including, without limitation, increases in interest rates, elevated inflation rates, and recession risks; (22) business disruptions from natural or man-made disasters, public health crises, or other events outside our control; (23) stock price volatility; (24) our involvement in time-consuming and costly litigation or activist shareholder activities; and (25) the failure to effectively transform our operating model, manage our expenses, and achieve expected cost reductions. The foregoing list should not be construed as exhaustive and we encourage readers to refer to the detailed discussion of risk factors included in Part I - Item 1A of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the "Annual Report"), as updated by Part II - Item 1A of our Quarterly Report on Form 10-Q as filed with the SEC. The Company cautions readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made. The Company disclaims any obligation to subsequently revise forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date such statements are made.

COGNEX CORPORATION
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share amounts)

April 5, 2026

December 31, 2025

(unaudited)

ASSETS

Current assets:

Cash and cash equivalents

$       237,343

$             262,925

Current investments

59,413

74,037

Accounts receivable, net of allowance for credit losses of $781 and $728 in 2026 and
2025, respectively

170,721

146,713

Unbilled revenue

16,401

16,980

Inventories

135,549

137,889

Prepaid expenses and other current assets

70,922

58,702

Total current assets

690,349

697,246

Non-current investments

325,186

305,339

Property, plant, and equipment, net

84,291

86,015

Operating lease assets

69,709

72,310

Goodwill

382,818

386,279

Intangible assets, net

67,140

81,100

Deferred income taxes

381,100

383,272

Other assets

5,025

4,994

Total assets

$     2,005,618

$          2,016,555

LIABILITIES AND SHAREHOLDERS' EQUITY

Current liabilities:

Accounts payable

$        59,551

$              50,203

Accrued expenses

77,399

91,397

Accrued income taxes

6,172

9,141

Deferred revenue and customer deposits

34,053

21,094

Operating lease liabilities

12,310

11,716

Total current liabilities

189,485

183,551

Non-current operating lease liabilities

61,707

64,870

Deferred income taxes

252,230

250,512

Reserve for income taxes

21,336

24,269

Other liabilities

1,891

1,452

Total liabilities

526,649

524,654

Shareholders' equity:

Preferred stock, $.01 par value – Authorized: 400 shares in 2026 and 2025,
respectively; no shares issued and outstanding

—

—

Common stock, $.002 par value – Authorized: 300,000 shares in 2026 and 2025,
respectively; issued and outstanding: 166,527 and 166,997 shares in 2026 and 2025,
respectively

333

334

Additional paid-in capital

1,194,927

1,138,708

Retained earnings

344,443

406,355

Accumulated other comprehensive loss, net of tax

(60,734)

(53,496)

Total shareholders' equity

1,478,969

1,491,901

Total liabilities and shareholders' equity

$     2,005,618

$          2,016,555

COGNEX CORPORATION
CONSOLIDATED STATEMENT OF OPERATIONS
(Unaudited)
(In thousands, except per share amounts)

Three-months Ended

April 5, 2026

March 30, 2025

Revenue

$        268,437

$        216,036

Cost of revenue (1)

77,498

71,713

Gross profit

190,939

144,323

Percentage of revenue

71.1 %

66.8 %

Research, development, and engineering expenses (1)

37,025

34,727

Percentage of revenue

13.8 %

16.1 %

Selling, general, and administrative expenses (1)

94,041

83,504

Percentage of revenue

35.0 %

38.7 %

Operating income

59,873

26,092

Percentage of revenue

22.3 %

12.1 %

Foreign currency gain (loss)

(1,345)

(2,453)

Investment income

4,836

3,990

Other income (expense)

(1,607)

169

Income before income tax expense

61,757

27,798

Income tax expense

10,053

4,195

Net income

$         51,704

$         23,603

Percentage of revenue

19.3 %

10.9 %

Net income per weighted-average common and common-equivalent share:

Basic

$            0.31

$            0.14

Diluted

$            0.31

$            0.14

Weighted-average common and common-equivalent shares outstanding:

Basic

166,514

169,265

Diluted

168,386

170,391

Cash dividends per common share

$           0.085

$           0.080

(1) Amounts include stock-based compensation expense, as follows:

Cost of revenue

$             925

$             668

Research, development, and engineering

5,094

4,696

Selling, general, and administrative

5,914

4,575

Total stock-based compensation expense

$         11,933

$           9,939

Non-GAAP Financial Measures

This press release includes certain non-GAAP financial measures, including adjusted gross profit and margin, adjusted operating expense, adjusted operating income and margin, adjusted EBITDA and margin, adjusted net income, adjusted earnings per share of common stock, diluted, adjusted effective tax rate, and free cash flow and free cash flow conversion rate. Cognex defines its non-GAAP metrics as follows:

Adjusted gross profit and margin: Gross margin adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted operating expense: Operating expense adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted operating income and margin: Operating income adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted EBITDA and margin: Operating income adjusted for amortization of acquisition-related intangible assets and depreciation, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs and one-time discrete events. Adjusted net income: Net income adjusted for amortization of acquisition-related intangible assets, as well as, if applicable, restructuring charges, reorganization charges, acquisition and integration costs, discrete tax items, tax impact on reconciling items and one-time discrete events (such as loss on sale of business). Adjusted earnings per share of common stock, diluted: Adjusted net income divided by diluted weighted average common and common-equivalent shares. Adjusted effective tax rate: Effective tax rate adjusted for discrete tax items and the net impact of the other non-GAAP adjustments. Free cash flow: Cash provided by operating activities less cash for capital expenditures. Free cash flow conversion rate: Free cash flow divided by adjusted net income. Cognex may disclose results on a constant-currency basis as one measure to evaluate its performance and compare results between periods as if the exchange rates had remained constant period-over-period.

Cognex believes these non-GAAP financial measures are helpful because they allow investors to more accurately compare results over multiple periods using the same methodology that management employs in its budgeting process, in its review of operating results, and for forecasting and planning for future periods. Cognex's definitions may differ from the definitions used by other companies and therefore comparability may be limited. In addition, other companies may not publish these or similar metrics. Furthermore, these measures have certain limitations in that they do not include the impact of certain non-recurring expenses that are reflected in our consolidated statement of operations that are necessary to run our business. Thus, our non-GAAP financial measures should be considered in addition to, not as substitutes for, or in isolation from, measures prepared in accordance with GAAP.

Please see the section "Reconciliation of Selected Items from GAAP to Non-GAAP" below for more detailed information regarding non-GAAP financial measures herein, including the items reflected in our adjusted financial metrics and a description of these adjustments.

COGNEX CORPORATION
RECONCILIATION OF SELECTED ITEMS FROM GAAP TO NON-GAAP
Dollars in thousands, except per share amounts 
(Unaudited)

Three-months Ended

April 5,
2026

March 30,
2025

Gross profit (GAAP)

$    190,939

$    144,323

Acquisition and integration costs

216

242

Amortization of acquisition-related intangible assets

1,337

1,338

Reorganization charges

374

86

Adjusted gross profit

$    192,866

$    145,989

GAAP gross margin

71.1 %

66.8 %

Adjusted gross margin

71.8 %

67.6 %

Operating expense (GAAP)

$    131,066

$    118,231

Acquisition and integration costs

(15)

(538)

Amortization of acquisition-related intangible assets

(1,195)

(1,290)

Reorganization charges

(4,755)

(1,622)

Adjusted operating expense

$    125,101

$    114,781

Operating income (GAAP)

$      59,873

$      26,092

Acquisition and integration costs

231

780

Amortization of acquisition-related intangible assets

2,532

2,628

Reorganization charges

5,129

1,708

Adjusted operating income

$      67,765

$      31,208

GAAP operating margin

22.3 %

12.1 %

Adjusted operating margin

25.2 %

14.4 %

Depreciation (adjusted for amounts included in Acquisition and integration costs)

4,472

5,083

Adjusted EBITDA

$      72,237

$      36,291

Adjusted EBITDA margin

26.9 %

16.8 %

Net income (GAAP)

$      51,704

$      23,603

Acquisition and integration costs

231

780

Amortization of acquisition-related intangible assets

2,532

2,628

Reorganization charges

5,129

1,708

Loss on sale of business

1,539

—

Discrete tax (benefit) expense

(1,179)

(307)

Tax impact of reconciling items

(2,638)

(1,365)

Adjusted net income

$      57,318

$      27,047

Earnings per share of common stock, diluted (GAAP)

$        0.31

$        0.14

Acquisition and integration costs

—

—

Amortization of acquisition-related intangible assets

0.02

0.02

Reorganization charges

0.03

0.01

Loss on sale of business

0.01

—

Discrete tax (benefit) expense

(0.01)

—

Tax impact of reconciling items

(0.02)

(0.01)

Adjusted earnings per share of common stock, diluted

$        0.34

$        0.16

Effective tax rate (GAAP)

16.3 %

15.1 %

Discrete tax benefit (expense)

1.9 %

1.1 %

Net impact of other reconciling items

1.3 %

1.6 %

Adjusted effective tax rate

19.5 %

17.8 %

Cash provided by operating activities (GAAP)

$      45,093

$      40,502

Capital expenditures

(2,757)

(2,501)

Free cash flow

$      42,336

$      38,001

Description of adjustments:

In addition to reporting financial results in accordance with U.S. GAAP, the Company also provides various non-GAAP measures that incorporate adjustments for the impacts of special items. Adjustments incorporated in the preparation of these non-GAAP measures for the periods presented include the items described below:

Depreciation:

The company incurs expense related to its normal use of property, plant and equipment. Acquisition and integration costs:

The Company has incurred charges related to the purchase and integration of acquired businesses. During the periods presented, these costs were primarily related to the ongoing integration of Moritex Corporation, which the company acquired in the fourth quarter of 2023. Amortization of acquisition-related intangible assets:

The Company excludes the amortization of acquired intangible assets from non-GAAP expense and income measures. These items are inconsistent in amount and frequency and are significantly impacted by the timing and size of acquisitions, and include the amortization of customer relationships, completed technologies, and trademarks that originated from prior acquisitions. The largest driver of intangible asset amortization was the acquisition of Moritex Corporation. Reorganization charges:

The Company has incurred charges related to the reorganization of its employees. During the three-month period ended April 5, 2026, these costs consisted primarily of severance and consulting fees. Loss on sale of business:

The Company has recognized a pre-tax loss related to the divestiture of its Japan-focused trading business, which includes direct costs associated with the divestiture incurred during the three-month period ended April 5, 2026. Discrete tax (benefit) expense and tax impact of reconciling items:

Items unrelated to current period ordinary income or (loss) that generally relate to changes in tax laws, adjustments to prior period's actual liability determined upon filing tax returns, adjustments to previously recorded reserves for uncertain tax positions, establishments and adjustments of valuation allowances, stock based compensation, and adjustments to deferred tax positions. We estimate the tax effect of items identified in the reconciliation by applying the statutory tax rate to the pre-tax amount. About Cognex Corporation

For over 40 years, Cognex has been making advanced machine vision easy, paving the way for manufacturing and distribution companies to become faster, smarter, and more efficient through automation. Innovative technology in our vision sensors and systems solves critical manufacturing and distribution challenges, providing unparalleled performance for industries from automotive to consumer electronics to packaged goods.

Cognex makes these tools more capable and easier to deploy thanks to a longstanding focus on AI, helping factories and warehouses improve quality and maximize efficiency without needing highly technical expertise. We are headquartered near Boston, USA, with locations in over 30 countries and more than 30,000 customers worldwide. Learn more at cognex.com.

Investor Relations Contact:
Greer Aviv – Head of Investor Relations
Cognex Corporation
[email protected]

SOURCE Cognex Corporation

Cognex Corporation (CGNX) Q1 2026 Earnings Call Transcript

Customers report faster deployment, improved throughput, and new levels of collaboration

, /PRNewswire/ -- Cognex Corporation (NASDAQ: CGNX), the global leader in industrial machine vision, today announced the general availability of OneVision™, its collaborative AI vision development environment designed to simplify and scale AI-powered inspection across manufacturing operations.

Cognex OneVision: collaborative AI vision, at scale Since its beta launch in June 2025, more than 100 customers worldwide have used OneVision to accelerate AI-powered vision development and deployment, with many progressing from single-line applications to multi-site rollouts in days instead of months. This momentum reflects a broader shift as manufacturers move beyond isolated AI pilots toward connected, enterprise-wide inspection strategies.

"AI vision has long delivered value, but scaling it across operations has remained a barrier," said Matt Moschner, President and CEO of Cognex. "Manufacturers encounter recurring challenges—from fragmented workflows to models that don't adapt across environments. OneVision addresses this by unifying the simplicity of the edge with the scalability of the cloud, helping organizations move from isolated pilots to consistent, enterprise-wide deployment."

Cloud-to-Edge Architecture for Scalable AI Vision
OneVision addresses a persistent challenge in industrial AI: deploying advanced vision applications at enterprise scale without adding complexity or slowing production. This introduces a cloud-to-edge architecture, where AI models are trained, managed, and governed in the cloud, while inspection runs at the edge on Cognex vision systems for real-time, reliable execution. Customers can now centrally manage the entire AI lifecycle—from collecting and labeling production images to refining models—and deploy updates consistently across global fleets of devices. OneVision is optimized to work with Cognex's latest systems, including the In-Sight® 3900 and In-Sight® 6900.

"While OneVision leverages the cloud for development and management, runtime inspection remains fully edge-based," said Reto Wyss, Vice President of Vision Engineering at Cognex. "Once a model is deployed, no connectivity to the cloud is required. Production images stay local and latency is a non-issue."

By centralizing model development and management, OneVision helps manufacturers:

Standardize inspection processes across sites. Reduce duplication of work across teams. Reduce scaling costs by up to 50%. Maintain version control and consistency across deployments. Customer Success: From Pilots to Global Scale
Across industries including automotive, electronics, food and beverage, and healthcare, customers are seeing faster AI application development, improved throughput, and more consistent inspection results—while reducing reliance on specialized expertise and scaling deployments globally.

Essity – AI inspection development: from one year to one day

"With our previous approach, developing a reliable sealing inspection application took more than a year of iteration and tuning, and quality issues could lead to full batch returns and significant material waste," said Amin Tajeddine, Operational Technology and Digitization Manager. "Using OneVision, we were able to build and demonstrate a viable solution in less than a day. OneVision's simplicity and ease of use significantly reduced development effort and gives us confidence in how quickly AI vision applications can be scaled across our operations." Schneider Electric – Standardizing AI inspection for global scale

"OneVision allowed us to develop and validate AI inspection standards centrally and then deploy those same models across our worldwide operations," said Christophe Ernis, Smart Operation Manager, Product Power Division. "That approach helped us double yield, dramatically reduce false rejects, and reduce our dependence on specialized vision expertise. Most importantly, it gives us a repeatable way to scale best practices reliably across our factories." 3M – Improving speed and collaboration in AI vision development

"With OneVision, our engineers can quickly label real production images, build models, and deploy them to cameras with far less effort," said Scott Daniels, Senior Manufacturing Technology Engineer. With general availability now underway, Cognex expects momentum for OneVision to accelerate as manufacturers demand scalable AI vision to drive operational efficiency across global production networks.

About Cognex Corporation
For over 40 years, Cognex has been making advanced machine vision easy, paving the way for manufacturing and distribution companies to become faster, smarter, and more efficient through automation. Innovative technology in our vision sensors and systems solves critical manufacturing and distribution challenges, providing unparalleled performance for industries from automotive to consumer electronics to packaged goods. Cognex makes these tools more capable and easier to deploy thanks to a longstanding focus on AI, helping factories and warehouses improve quality and maximize efficiency without needing highly technical expertise. We are headquartered near Boston, USA, with locations in over 30 countries and more than 30,000 customers worldwide. Learn more at cognex.com.

Media Contact:
Liz Bradley – Head of Communications
Cognex Corporation
[email protected]

IR Contact:
Greer Aviv – Head of Investor Relations
Cognex Corporation
[email protected]

SOURCE Cognex Corporation

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In "long context," investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.

Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.

Below, we take a look at Cognex Corporation (CGNX - Free Report) , a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.

It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. Cognex Corporation currently has a Zacks Rank of #2 (Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.

You can see the current list of Zacks #1 Rank Stocks here >>>

Set to Beat the Market? In order to see if CGNX is a promising momentum pick, let's examine some Momentum Style elements to see if this company holds up.

Looking at a stock's short-term price activity is a great way to gauge if it has momentum, since this can reflect both the current interest in a stock and if buyers or sellers have the upper hand at the moment. It is also useful to compare a security to its industry, as this can help investors pinpoint the top companies in a particular area.

For CGNX, shares are up 17.38% over the past week while the Zacks Electronics - Testing Equipment industry is up 2.37% over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 20.23% compares favorably with the industry's 0.83% performance as well.

Considering longer term price metrics, like performance over the last three months or year, can be advantageous as well. Over the past quarter, shares of Cognex Corporation have risen 18.14%, and are up 109.08% in the last year. On the other hand, the S&P 500 has only moved 10.02% and 28.69%, respectively.

Investors should also pay attention to CGNX's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. CGNX is currently averaging 2,704,779 shares for the last 20 days.

Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with CGNX.

Over the past two months, 5 earnings estimates moved higher compared to 1 lower for the full year. These revisions helped boost CGNX's consensus estimate, increasing from $1.24 to $1.43 in the past 60 days. Looking at the next fiscal year, 4 estimates have moved upwards while there have been 1 downward revision in the same time period.

Bottom LineTaking into account all of these elements, it should come as no surprise that CGNX is a #2 (Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep Cognex Corporation on your short list.

On May 18, 2026, Cognex Corp CGNX shares fell 3.7% to $61.91. The stock has experienced significant volatility, with a 52-week range of $29.00 to $71.90, reflecting both growth and uncertainty in investor sentiment.

GF Value™ verdict: Current price of $61.91 is 22.3% above the GF Value™ estimate of $50.60, indicating it is overvalued.GF Score™: 83/100, suggesting strong overall performance based on multiple factors.Notable signal: Insiders sold $20.5 million in stock over the past three months with no buying activity. Is CGNX Overvalued or Undervalued? Cognex Corp's current price of $61.91 is significantly higher than the GF Value™ estimate of $50.60, resulting in a 22.3% overvaluation. This indicates a lack of margin of safety for potential investors. The GF Valuation label identifies the stock as "Modestly Overvalued," suggesting that while the company demonstrates strong fundamentals, the current market price may not be justified based on intrinsic value. This overvaluation poses a risk, as investors may face price corrections if the stock fails to meet future performance expectations.

GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. With stock prices currently exceeding intrinsic value, investors need to exercise caution, as the potential for future returns may be limited unless Cognex demonstrates exceptional growth.

How Does CGNX's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 73.7x 51.2x Forward P/E 42.6x N/A The current P/E (TTM) of 73.7x is 44% above its 5-year median P/E of 51.2x, indicating that the stock is trading at a premium compared to its historical valuation. This P/E analysis aligns with the GF Value™ verdict, reinforcing the conclusion that CGNX is overvalued at its current price.

What Does CGNX's GF Score™ Tell Us? Metric Rating GF Score™ 83/100 Financial Strength 7/10 Profitability 8/10 Growth 6/10 Valuation 5/10 Momentum 9/10 The GF Score™ of 83/100 indicates that Cognex Corp has strong performance across various metrics, with particularly high ratings in Profitability (8/10) and Momentum (9/10). However, the Valuation rank of 5/10 suggests that the stock may not be appropriately priced relative to its potential. The Financial Strength score of 7/10 further indicates a solid foundation, though the Growth rank of 6/10 implies room for improvement in expanding the business.

What Are Insiders Doing with CGNX Stock? Recent insider activity at Cognex Corp has shown a notable trend, with insiders selling $20.5 million in stock over the last three months and no reported buying. This pattern may raise concerns among potential investors, as the lack of insider buying could indicate a lack of confidence in the stock's short-term performance. Typically, insider purchases can signal positive expectations for the company's future, while selling may reflect an opportunistic strategy or concerns about valuation.

What This Means for Investors Based on the GF Value™ analysis, Cognex Corp CGNX is currently considered overvalued. With a current price of $61.91 significantly above the estimated fair value of $50.60, potential investors may need to exercise caution and consider the associated risks before making investment decisions.

For the complete analysis, visit the Cognex Corp CGNX stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is CGNX's GF Score™?

The GF Score™ for Cognex Corp is 83/100, indicating strong overall performance based on key financial metrics and market analysis.

Is CGNX overvalued or undervalued?

Cognex Corp is currently overvalued, with its stock price of $61.91 exceeding the GF Value™ estimate of $50.60 by 22.3%.

What is CGNX's P/E ratio?

The current P/E ratio for Cognex Corp is 73.7x, which is significantly higher than its 5-year median P/E of 51.2x, confirming its overvalued status.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Investors in Cognex Corporation (CGNX - Free Report) need to pay close attention to the stock based on moves in the options market lately. That is because the Nov. 20, 2026 $40 Call had some of the highest implied volatility of all equity options today.

What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell-off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy.

What do the Analysts Think?Clearly, options traders are pricing in a big move for Cognex shares, but what is the fundamental picture for the company? Currently, Cognex is a Zacks Rank #2 (Buy) in the Electronics - Testing Equipment industry that ranks in the Top 12% of our Zacks Industry Rank. Over the last 60 days, three analysts have increased their earnings estimates for the current quarter, while none dropped the estimates. The net effect has taken our Zacks Consensus Estimate for the current quarter from 30 cents per share to 42 cents in that period.

Given the way analysts feel about Cognex right now, this huge implied volatility could mean there’s a trade developing. Oftentimes, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.

Cognex NASDAQ: CGNX is seeing the early benefits of a leadership transition, an improving market backdrop and a sharper focus on operating efficiency, CFO Dennis Fehr said during a TD Cowen investor event hosted by analyst Joe Giordano.

Aeva Technologies is scaling its lidar-on-chip technology for the automotive and robotics industries, but faces significant net losses. Cognex provides a stable, profitable investment opportunity with a dominant position in the global machine vision market.