We Like The Quality Of Cognex's (NASDAQ:CGNX) Earnings
Cognex Corporation's recent earnings report has been well-received by investors, primarily due to its strong free cash flow conversion. The company recorded a negative accrual ratio of -0.10, indicating that its free cash flow significantly exceeded its reported profit. This strong cash conversion and a 10.0% increase in earnings per share suggest that Cognex's statutory profit may even understate its true earnings potential.
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