Cognex Corporation (CGNX) had been sold off after it presented mixed fourth-quarter results and disappointing Q1 2020 guidance. It undershot Wall Street's Q4 EPS estimates, but topped on revenue even despite some softness in its key end-markets.
As CGNX is a growth stock, its ability to live up to Street's expectations is of high importance to the market, and the unpleasant consequences of its miss are fully explainable.
Nevertheless, while the market's temporary bearishness depressed its valuation, I believe the long-term growth prospects tied to the machine vision industry trends remain