Cognex Corporation cash flow to debt ratio of 320.57% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

Cognex Corporation's free cash flow has increased 76.64% from $134.04M last year to $236.77M, signaling increasing performance

Cognex Corporation's debt to equity ratio is 0.04, which means that the company's assets are healthy financed, signaling financial stability.

Cognex Corporation's debt has decreased relative to shareholder equity from 0.05 last year to 0.04 today, signaling strengthened financials

Cognex Corporation has a net cash position, so leverage is healthy.

Interest expense is not separately reported in Cognex Corporation's latest filing, so interest coverage cannot be calculated.

Cognex Corporation's profit margin has increased (38.26%) in the last year from 11.61% to 16.05%, signaling increasing performance

Cognex Corporation's short-term assets of $697.25M exceed its short-term liabilities of $183.55M

Cognex Corporation's return on assets of 8.02% is higher than the 5.00% threshold, indicating efficient asset utilization

Cognex Corporation's return on equity of 11.48%, is lower than 15.00%, indicating bad performance

Cognex Corporation's operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Cognex Corporation had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Cognex Corporation has positive free cash flow, indicating the company generates cash after capital expenditures

Cognex Corporation has a free cash flow yield of 2.21%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Cognex Corporation's yearly earnings has increased 7.79% since last year from $106.17M to $114.44M, signaling increasing performance

Cognex Corporation's yearly revenue has increased 8.73% since last year from $914.51M to $994.36M, signaling increasing performance

ROIC 8.18% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Cognex Corporation's 3-year revenue CAGR of -0.39% is negative, indicating declining revenue over the past 3 years

Cognex Corporation had revenue growth in 3 out of 5 years, indicating consistent revenue performance

Cognex Corporation had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Cognex Corporation is overvalued relative to its fair value price of 18.19 based on Discounted Cash Flow model

Cognex Corporation has an earnings yield of 1.62%, which is below the 4.00% threshold, indicating the stock may be expensive relative to its earnings

Cognex Corporation is overvalued relative to its fair value price of 9.22 based on EBITDA multiple model

Cognex Corporation has an EV/EBITDA ratio of 48.93x, which exceeds the 20.00x threshold, indicating the stock may be overvalued relative to its operating earnings

Cognex Corporation is overvalued relative to its fair value price of 13.41 based on Earnings Fair Value model

Cognex Corporation's earnings growth over the measurement period is negative; the PEG ratio is not meaningful and the check fails.

Cognex Corporation has a price-to-book ratio of 6.61x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value

Cognex Corporation has a price-to-sales ratio of 9.89x, which exceeds the 8.00x threshold, indicating the stock may be overvalued relative to its revenue