Cognex (NASDAQ:CGNX – Get Free Report) and ClearOne (NASDAQ:CLRO – Get Free Report) are both technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, profitability, dividends, institutional ownership, risk and earnings.
Profitability
This table compares Cognex and ClearOne’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Cognex | 21.50% | 16.24% | 12.05% |
| ClearOne | N/A | -209.91% | -118.38% |
Analyst Ratings
This is a summary of current recommendations and price targets for Cognex and ClearOne, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Cognex | 0 | 7 | 10 | 1 | 2.67 |
| ClearOne | 1 | 0 | 0 | 0 | 1.00 |
Cognex presently has a consensus target price of $71.50, suggesting a potential upside of 41.93%. Given Cognex’s stronger consensus rating and higher probable upside, research analysts clearly believe Cognex is more favorable than ClearOne.
Insider and Institutional Ownership
88.1% of Cognex shares are owned by institutional investors. Comparatively, 9.6% of ClearOne shares are owned by institutional investors. 1.7% of Cognex shares are owned by insiders. Comparatively, 0.2% of ClearOne shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Risk and Volatility
Cognex has a beta of 1.49, meaning that its share price is 49% more volatile than the S&P 500. Comparatively, ClearOne has a beta of 0.36, meaning that its share price is 64% less volatile than the S&P 500.
Valuation & Earnings
This table compares Cognex and ClearOne”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Cognex | $1.13 billion | 7.53 | $114.44 million | $1.43 | 35.23 |
| ClearOne | $11.39 million | 0.99 | -$26.08 million | ($1.15) | -3.67 |
Cognex has higher revenue and earnings than ClearOne. ClearOne is trading at a lower price-to-earnings ratio than Cognex, indicating that it is currently the more affordable of the two stocks.
Summary
Cognex beats ClearOne on 15 of the 15 factors compared between the two stocks.
About Cognex
Cognex Corporation develops machine vision products that help businesses automate the inspection, identification and measurement of manufactured goods and packages. Its offerings include vision systems, barcode readers, vision sensors and software that analyze images captured during production and logistics operations. The company’s technology is used in industries such as automotive, electronics, consumer goods, pharmaceuticals and logistics. Applications include checking product quality, guiding robots and reading codes on items moving through manufacturing and distribution facilities.
About ClearOne
ClearOne, Inc. develops and sells audio and visual communications solutions for conferencing, collaboration, streaming and other professional communication applications. Its products are designed for businesses, educational institutions, government organizations and other organizations that need to support in-person, remote and hybrid interactions. The company’s product portfolio includes conference microphones, speakers, audio processors, mixers, video conferencing equipment, collaboration systems and related software.
Receive News & Ratings for Cognex Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cognex and related companies with MarketBeat.com's FREE daily email newsletter.
