Cognex Corporation (CGNX)
Return on equity (ROE)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 106,171 | 113,234 | 215,525 | 279,881 | 176,186 |
| Total stockholders’ equity | US$ in thousands | 1,517,500 | 1,504,750 | 1,438,390 | 1,430,090 | 1,262,200 |
| ROE | 7.00% | 7.53% | 14.98% | 19.57% | 13.96% |
December 31, 2024 calculation
ROE = Net income ÷ Total stockholders’ equity
= $106,171K ÷ $1,517,500K
= 7.00%
Cognex Corporation's Return on Equity (ROE) has exhibited varying performance over the years. In 2020, the company's ROE stood at 13.96%, indicating a reasonable return generated on shareholders' equity. The following year, the ROE saw a notable improvement, reaching 19.57%, suggesting a more efficient utilization of equity to generate profits.
However, in 2022, the ROE dropped to 14.98%, while in 2023 and 2024, the ROE decreased further to 7.53% and 7.00%, respectively. These declining trends highlight potential challenges in generating profits relative to shareholders' equity in those years.
Overall, Cognex Corporation's ROE performance has been mixed, with periods of improvement followed by declines. It would be essential for the company to assess the factors contributing to the fluctuations in ROE and implement strategies to enhance shareholder value over the long term.
Peer comparison
Dec 31, 2024