Machine vision technology company Cognex (NASDAQ:CGNX) will be reporting earnings this Wednesday after market hours. Here’s what to look for.
Cognex beat analysts’ revenue expectations by 5.2% last quarter, reporting revenues of $276.9 million, up 18% year on year. It was a satisfactory quarter for the company, with a solid beat of analysts’ revenue estimates but a significant miss of analysts’ full-year EPS guidance estimates.
Is Cognex a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Cognex’s revenue to grow 4.2% year on year to $239.4 million, slowing from the 16.8% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.22 per share.
Analysts covering the company have generally 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, beating revenue estimates every single time over the past two years by 2.8% on average.
Looking at Cognex’s peers in the tech hardware & electronics segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Napco delivered year-on-year revenue growth of 12.2%, beating analysts’ expectations by 0.7%, and OSI Systems reported revenues up 10.5%, topping estimates by 2.4%. Napco traded up 18.6% following the results while OSI Systems was down 7.3%.
Read our full analysis of Napco’s results here and OSI Systems’s results here.
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