Cognex Corporation (NASDAQ:CGNX) has a beta of 1.79, a 12-month trailing P/E ratio of 60.48, and a growth ratio of 4.03. The stock’s Relative Strength Index (RSI) is 63.75, with weekly volatility at 3.26% and ATR at 1.85. The CGNX stock’s 52-week price range has touched low of $35.20 and a $66.62 high. Its shares traded higher over the last trading session, gaining 0.14% on 07/30/20. The shares fell to a low of $62.76 before closing at $65.98. Intraday shares traded counted 1.78 million, which was -68.11% lower than its 30-day average trading volume of 1.06M. CGNX’s previous close was $65.89 while the outstanding shares total 172.41M.
Investors have identified the Scientific & Technical Instruments company Cognex Corporation as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $11.33 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Cognex Corporation (CGNX) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For CGNX, the company has in raw cash 286.02 million on their books with 7.63 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on an incline. In terms of their assets, the company currently has 646475000 million total, with 144581000 million as their total liabilities.
CGNX were able to record 72.03 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by 114.59 million. In cash movements, the company had a total of 79.02 million as operating cash flow.
Potential earnings growth for Cognex Corporation (CGNX)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Cognex Corporation recorded a total of 169.1 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -17.71% coming in sequential stages and their sales for the third quarter increasing by 1.1%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 50.32 million trying to sell their products during the last quarter, with the result yielding a gross income of 118.78 million. This allows shareholders to hold on to 172.41M with the revenue now reading -0.01 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.10 cents a share).
Having a look at the company’s valuation, the company is expected to record 1.16 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on CGNX sounds very interesting.
Is the stock of CGNX attractive?
In related news, Director, ALIAS PATRICK sold 15,000 shares of the company’s stock in a transaction that recorded on Jun 08. The sale was performed at an average price of 57.89, for a total value of 868,371. As the sale deal closes, the Director, SUN ANTHONY now sold 47,000 shares of the company’s stock, valued at 2,677,574. Also, Director, ALIAS PATRICK sold 10,000 shares of the company’s stock in a deal that was recorded on Feb 19. The shares were price at an average price of 52.63 per share, with a total market value of 526,326. Following this completion of acquisition, the Principal Financial Officer, MACDONALD LAURA ANN now holds 11,000 shares of the company’s stock, valued at 576,989. In the last 6 months, insiders have changed their ownership in shares of company stock by 3.50%.
2 out of 16 analysts covering the stock have rated it a Buy, while 8 have maintained a Hold recommendation on Cognex Corporation. 3 analysts has assigned a Sell rating on the CGNX stock. The 12-month mean consensus price target for the company’s shares has been set at $52.31.