Machine vision technology company Cognex (NASDAQ: CGNX) will be reporting earnings this Wednesday after the bell. Here’s what to look for.
Cognex beat analysts’ revenue expectations last quarter, reporting revenues of $252.3 million, up 9.9% year on year. It was a very strong quarter for the company, with a beat of analysts’ EPS and revenue estimates.
Is Cognex a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Cognex’s revenue to grow 13.7% year on year, improving from the 2.5% increase it recorded in the same quarter last year.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Cognex has a history of exceeding Wall Street’s expectations.
Looking at Cognex’s peers in the specialized technology segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Napco delivered year-on-year revenue growth of 11.8%, meeting analysts’ expectations, and Mirion reported revenues up 27.5%, topping estimates by 5.2%. Mirion’s stock price was unchanged following the results.
Read our full analysis of Napco’s results here and Mirion’s results here.
There has been positive sentiment among investors in the specialized technology segment, with share prices up 8.7% on average over the last month. Cognex is up 15.2% during the same time and is heading into earnings with an average analyst price target of $65.50 (compared to the current share price of $57.05).
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