Cognex Corporation (NASDAQ: CGNX) stock jumped 3.21% on Friday to $47.95 against a previous-day closing price of $46.46. With 1.93 million shares changed hands, the volume of the stock remained heavier than its average volume of 1.32 million shares. During the session, the Scientific & Technical Instruments company that operates in wider Technology sector, reached to the highest price of $48.17 whereas the lowest price it dropped to was $45.93. The 52-week range on CGNX shows that it touched its highest point at $92.17 and its lowest point at $41.69 during that stretch. It currently has a 1-year price target of $63.47. With its current market cap of 8.02 billion, CGNX has annualized dividend of $0.26 while the current yield stands at 0.54%. Beta for the stock currently stands at 1.66.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of CGNX was down-trending over the past week, with a drop of -5.22%, but this was up by 8.53% over a month. Three-month performance dropped to -29.61% while six-month performance fell -27.35%. The stock lost -46.83% in the past year, while it has lost -38.34% so far this year. A look at the trailing 12-month EPS for CGNX yields 1.55 with Next year EPS estimates of 1.97. For the next quarter, that number is 0.41. This implies an EPS growth rate of 55.90% for this year and 16.88% for next year. EPS is expected to grow by 15.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 13.50%.
Float and Shares Shorts:
At present, 174.15 million CGNX shares are outstanding with a float of 166.59 million shares on hand for trading. On Jul 14, 2022, short shares totaled 5.79 million, which was 3.33% higher than short shares on Jun 14, 2022. In addition to Mr. Robert J. Willett as the firm’s CEO, Pres & Exec. Director, Dr. Robert J. Shillman serves as its Founder, Chairman Emeritus & Adviser.
Through their ownership of 95.18% of CGNX’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 56.27% of CGNX, in contrast to 37.55% held by mutual funds. Shares owned by individuals account for 3.51%. As the largest shareholder in CGNX with 8.85% of the stake, The Vanguard Group, Inc. holds 15,367,358 shares worth 15,367,358. A second-largest stockholder of CGNX, BlackRock Fund Advisors, holds 14,632,758 shares, controlling over 8.42% of the firm’s shares. Walter Scott & Partners Ltd. is the third largest shareholder in CGNX, holding 8,395,528 shares or 4.83% stake. With a 2.88% stake in CGNX, the iShares Core S&P Mid Cap ETF is the largest stakeholder. A total of 5,009,092 shares are owned by the mutual fund manager. The Vanguard Total Stock Market Index, which owns about 2.80% of CGNX stock, is the second-largest Mutual Fund holder. It holds 4,872,339 shares valued at 207.17 million. Brown Capital Management – Small holds 2.27% of the stake in CGNX, owning 3,944,506 shares worth 167.72 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for CGNX since 18 analysts follow the stock currently. There are 6 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 9 believe that the stock is worth HOLDING, 2 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With CGNX analysts setting a high price target of $80.00 and a low target of $40.00, the average target price over the next 12 months is $55.47. Based on these targets, CGNX could surge 66.84% to reach the target high and fall by -16.58% to reach the target low. Reaching the average price target will result in a growth of 15.68% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. CGNX will report FY 2022 earnings on 02/16/2023. Analysts have provided yearly estimates in a range of $1.62 being high and $0.87 being low. For CGNX, this leads to a yearly average estimate of $1.28. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. Cognex Corporation surprised analysts by -$0.06 when it reported $0.34 EPS against a consensus estimate of $0.40. The surprise factor in the prior quarter was $0.00. Based on analyst estimates, the high estimate for the next quarter is $0.46 and the low estimate is $0.02. The average estimate for the next quarter is thus $0.21.
Dividends & Yield:
In terms of dividends, CGNX has a current ratio of $0.26, which is $0.26 over the trailing 12-months, while a dividend of $0.21 is likely to be paid on average over the next five years. Dividend yield is another indicator that appeals to many investors, and CGNX currently yields $0.53. In the past year, CGNX’s dividend yield has been $0.53, but when looking at the stock over the past five years, its yield has been $0.36. Accordingly, CGNX has a current buyback yield of $3.55. This was $3.55 for the TTM, and it was $1.28 for the past five years.
Summary of Insider Activity:
Insiders traded CGNX stock several times over the past three months with 1 Buys and 0 Sells. In these transactions, 3,000 shares were bought while 0 shares were sold. The number of buy transactions has increased to 11 while that of sell transactions has risen to 8 over the past year. The total number of shares bought during that period was 71,387 while 58,202 shares were sold.