Cognex Corp vs Garmin Ltd

Cognex Corp (CGNX) is overvalued and Garmin Ltd (GRMN) is undervalued.

Against our estimates of intrinsic value, GRMN trades at the wider discount: a margin of safety of +28%, against -219% for CGNX.

Values as of the 22 Sept 2026 close.

Cognex Corp (CGNX)

Discounting its cash flows at 11.6% (average of 3 methods) values the shares at $18.46; the price of $58.97 is 219% above that value, and 67% of that value comes from beyond year five.

Leak Score 27/100 on 3 of 12 signals

Garmin Ltd (GRMN)

A 9.7x revenue multiple, adjusted for growth and margin, values the shares at $397.96; the price of $284.67 is 28% below that value.

Leak Score 100/100 on 3 of 12 signals

MetricCGNXGRMN
VerdictOvervaluedUndervalued
Price$58.97$284.67
Intrinsic value$18.46$397.96
Margin of safety-219%+28%
Leak Score27/100 (3/12)100/100 (3/12)
Market cap$9.9B$54.9B
Revenue growth, 5 years4.2%11.6%
Operating margin21.9%27.6%
Net margin16.1%24.5%
Return on equity11.2%21.9%
Debt to equity0.040.02
P/E57.1x29.4x
Forward P/E29.4x25.4x
P/B6.1x6.1x
Dividend yield0.6%1.4%

All stocks in Scientific & Technical Instruments