By Shachi Service provider, Vice President, Index Specialist, ROBO World
Cognex (NASDAQ: CGNX) is a ROBO index member in our Computing and AI subsector and at present holds a 1.53% weight (as of shut 1/22/22). Cognex is a producing firm that makes use of its proprietary machine imaginative and prescient expertise to seize and analyze visible info and automate manufacturing processes for its clients. Cognex designs, develops, and manufactures machine imaginative and prescient techniques, software program, and sensors which are used to determine defects, detect elements, and carry out varied different duties for product meeting.
Cognex helps its clients enhance product high quality, scale back manufacturing prices, and decrease manufacturing prices whereas producing top quality merchandise. Early on, Cognex grew to become the main provider of machine imaginative and prescient applied sciences to semiconductor and client electronics firms like Apple and Unilever. The corporate was instrumental in Apple’s automated inspection of its smartphone meeting. Different notable clients embrace Amazon and BMW.
Extra not too long ago, Cognex is continuous to research new methods to enhance the efficiency of business machine imaginative and prescient techniques and, by R&D, keep themselves as a frontrunner in machine imaginative and prescient, with over 1,000 patents. Latest cutting-edge improvements embrace their 2D & 3D scanners, Edge Intelligence (EI) software program, and deep studying primarily based on industrial picture evaluation.
Why Machine Imaginative and prescient?
Machine imaginative and prescient is necessary the place a human’s imaginative and prescient is insufficient to meet duties associated to accuracy or velocity. Machine imaginative and prescient dramatically lowers the price of manufacturing by decreasing the quantity of labor wanted. It’s crucial for retailers in all industries to make use of machine imaginative and prescient to raised enhance efficiency and decrease manufacturing price. Moreover, the necessity for robotic-guided imaginative and prescient techniques has gained traction throughout industries reminiscent of automotive, meals and beverage, pharmaceutical/medical, semiconductor, and all packaging segments. With the rising variety of retailers transferring manufacturing on-line, every would require giant manufacturing unit operations to spice up large-scale adoption. That, mixed with sturdy expectations that offer chain constraints will ease in 2022, ought to current an enormous alternative for machine imaginative and prescient applied sciences, inserting Cognex in a optimistic place for the longer term. Moreover, if and when provide chain points resolve, Cognex might profit from the anticipated ramp-up in manufacturing in client electronics and automotive. As a result of these elements, we consider Cognex will revenue from macro situations particularly with rising labor shortages and price calls for including gasoline for added investments in automation and machine imaginative and prescient. Cognex is and can proceed to be a rising expertise chief within the robotic guided imaginative and prescient techniques house.
In response to a 2020 report printed by McKinsey, 31% of companies have absolutely automated no less than one enterprise course of. In 2021, we (ROBO World Analysis) noticed super demand for merchandise surrounding the automation of producing & industrial and logistics. (Sub-Sectors in ROBO’s Index: Manufacturing & Industrial 16% & Logistics Automation 13%) Nonetheless, many of those industrial automation firms weren’t capable of sustain with demand attributable to provide constraints. Because of this, industrial and logistics automation shares truly didn’t carry out that nicely in 2021, however importantly, this seems to be as a result of firms have been considerably underreporting the precise state of demand. Machine imaginative and prescient is simply one of many many options concerned in serving to pave the best way for elevated and extra correct productiveness in industrial manufacturing.