CGNX

COGNEX CORP

Industrial Machine Vision

Cognex Corporation designs, develops, manufactures, and markets machine vision products, including barcode readers, vision sensors, and vision systems, used globally to automate manufacturing and distribution processes. Headquartered in Natick, Massachusetts, USA, it has been a leader in the machine vision industry since its founding in 1981.

Latest Financials (2024)

Revenue: $914.5
Net Income: $106.2
EPS: $0.62

Company Details

Founded: 1981
Website: cognex.com
Currency: USD

Key Ratios

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Gross Margin: 1%
Net Margin: 0%
Equity Ratio: 1%
ROE: 0%

Business Overview

Key Offerings

Key offerings include vision software, vision systems, vision sensors, and ID products (e.g., barcode readers). Vision systems and software are the primary revenue drivers, estimated at over 70% of total revenue, with the company having shipped more than 900,000 vision-based products since inception, generating over $3.5 billion in cumulative revenue.

Target Markets

Key end markets include Factory Automation (e.g., Automotive, Semiconductor), Logistics, and Consumer Electronics. Revenue breakdown is approximate: Logistics and Semiconductor have shown recent growth (e.g., 2024 Q3 growth year-on-year), while Automotive has softened. Factory Automation likely constitutes the majority (60-70% of revenue), with Logistics and Semiconductor gaining traction.

Geographic Presence

Geographical presence spans North America, Europe, Asia, Japan, and Latin America. Revenue breakdown is estimated as: United States and Europe combined likely account for 60-70% (U.S. being the largest single market), with Asia (including Japan) contributing 25-30%, and Latin America a smaller share (5-10%). Exact figures vary by quarter, with 2023 data showing stability across regions.

Competitive Position

Competitive Advantages

Key differentiators include a strong IP portfolio in machine vision technology, leadership in AI-powered vision solutions (e.g., In-Sight SnAPP), and over 40 years of industry experience. The company’s ability to ship over 900,000 products and maintain a loyal customer base provides a cost and technology leadership edge.

Market Position

Cognex is recognized as the world leader in the machine vision industry, with a dominant position in vision systems and sensors. It holds a top ranking in factory automation and is expanding leadership in Logistics and Semiconductor segments through recent innovations and acquisitions (e.g., Moritex in 2023).

Key Competitors

Main competitors include Keyence (a direct rival with high margins), Omron, and Basler (in vision systems and sensors). Indirect competitors include general automation firms like Rockwell Automation and Siemens. The competitive landscape is intense, with Cognex differentiating through specialized vision technology.

Strategy & Growth

Go-to-Market Strategy

Cognex employs a hybrid go-to-market strategy with a strong emphasis on direct sales (estimated 60-70% of revenue) and a global network of distributors and regional offices in North America, Japan, Europe, Asia, and Latin America. The company also leverages partnerships to expand into emerging markets, with a focus on the Emerging Customer initiative launched in recent years.

Future Strategy

Strategic priorities for the next 3-5 years include expanding the Emerging Customer initiative to attract new clients, investing in AI-driven product enhancements (e.g., counting tools for In-Sight SnAPP), and strengthening presence in Logistics and Semiconductor markets. Investment focus areas include R&D (10-15% of revenue) and potential acquisitions to bolster optics and imaging capabilities.

Financial Highlights

Fiscal Year 2024

Revenue $914.5
Gross Profit $625.8
Net Income $106.2
View Full Financials

Operations

R&D

R&D is centralized in Natick, Massachusetts, with additional efforts in regional offices globally. Headcount dedicated to R&D is not publicly detaile…

Manufacturing

Manufacturing is primarily in-house, with key facilities located in Natick, Massachusetts, USA. The company outsources some component production, but…

Distribution

Distribution network includes direct sales through regional offices and a network of distributors worldwide. Logistics partners are not explicitly na…