Start here if you're new
what it is
Garmin sells GPS-heavy devices for your wrist, your boat, your plane, and your dashboard.
how it gets paid
Last year Garmin made $7.2B in revenue. Outdoor was the main engine at $1.95B, or 27% of sales.
why it's growing
Revenue grew 15.1% last year. The key number was the 17.23% EPS beat versus estimates.
what just happened
Garmin's latest quarter landed at $2.79 EPS, above the $2.38 estimate, with revenue topping $2.12B.
At a glance
A balance sheet — strong enough to weather a downturn
85/100 earnings predictability — you can trust these numbers
24.7x trailing p/e — priced about right
2.0% dividend yield — cash in your pocket every quarter
24.5% return on capital — every dollar works hard here
xvary composite: 68/100 — average
What they do
Garmin sells GPS-heavy devices for your wrist, your boat, your plane, and your dashboard.
Garmin wins because it sells hardware people actually trust when getting lost is expensive. Return on capital was 24.5% and net margin was 26.4%, which means the company turns sales into real cash, not just slide-deck optimism. Switching costs (changing systems) → replacing devices, apps, maps, and habits → so what: once Garmin is in your cockpit or on your wrist, leaving is annoying and sometimes risky.
How they make money
$7.2B
annual revenue · their business grew +15.1% last year
Outdoor
$1.95B
+16%
Fitness
$1.83B
+31%
Auto OEM
$1.28B
+6%
Aviation
$1.15B
+9%
Marine
$1.01B
+17%
The products that matter
fitness tracking hardware
Fitness Wearables
part of $7.2B revenue
this is the consumer-facing front door. It sits inside the $7.2B revenue base that grew 15.1% last year, and it is where Garmin most directly competes for wrist space and attention.
consumer-facing
specialty navigation devices
Outdoor and Marine
part of $7.2B revenue
these categories matter because buyers care about utility first. That helps Garmin sell on function instead of novelty, which is a better place to defend pricing.
niche resilience
aviation electronics systems
Aviation
part of $7.2B revenue
aviation is the reminder that Garmin is not just a watch company. Specialized hardware inside a 22.7% margin business helps explain why profitability looks better than you would expect from plain consumer electronics.
higher-stakes use
Key numbers
35.5%
operating margin
Operating margin → the share of sales left after running the business → so what: Garmin keeps more from each dollar you spend than most hardware companies.
24.5%
return on capital
Return on capital → profit from money invested in the business → so what: Garmin is still good at turning spending into earnings.
$8.75
2026 EPS est
EPS estimate → expected profit per share → so what: the current price of $201.27 equals about 23 times next year's earnings.
2.0%
dividend yield
Dividend yield → cash paid to you each year relative to the stock price → so what: you get some income while waiting for growth.
Financial health
A
strength
- balance sheet grade A — very strong financial position
- risk rank 3 — safer than 50% of stocks
- price stability 70 / 100
- net profit margin 26.4% — keeps 26 cents of every dollar in revenue
- return on equity 24% — $0.24 profit for every $1 investors have put in
A with balance sheet grade and net profit margin standing out. your money faces less risk here than at most public companies.
Total return vs. market
You invested $10,000 in GRMN 3 years ago → it's now worth $22,440.
The index would have given you $13,920.
source: institutional data · total return
What just happened
beat estimates
Garmin's latest quarter landed at $2.79 EPS, above the $2.38 estimate, with revenue topping $2.12B.
The beat came with full-year revenue of $7.2B, up 15.1% vs. prior year. Gross margin held at 58.5%, which says the company is still pricing well while growing.
$2.12B
revenue
$2.79
eps
58.5%
gross margin
the number that mattered
The key number was the 17.23% EPS beat versus estimates, because it shows Garmin cleared a bar the market thought was reasonable.
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garmin shares have moved quite erratically in 2025.
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this is highlighted, in part, in the equity’s wide 52-week trading range.
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following a rally leading up to our mid-september report, grmn shares have since declined over 15% in value.
-
investors were perhaps disappointed in the company’s third-quarter financial performance.
-
although sales increased 11.7%, to $1.77 billion, the result was lower than our $1.82 billion estimate.
source: company earnings report, 2026
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What could go wrong
garmin's risk profile is specific: it sells premium devices into categories where buyers can compare against apple on the wrist and a free phone app in the car.
med
apple-sized competition
Garmin sells premium devices into categories where Apple, Fitbit, and smartphone apps already train customers to expect more for less.
If Garmin has to discount to defend share, the 22.7% net margin that makes this story work gets pressured fast. That is the cleanest way a 24.7x multiple stops looking reasonable.
med
replacement-cycle slowdown
This page shows a $7.2B device business, not a large recurring-revenue cushion. That means upgrade cycles and discretionary spending still drive more of the story than investors sometimes admit.
If demand cools, revenue growth is the first number to break. If growth breaks while margins slip, the premium setup in this stock changes with it.
med
swiss governance structure
Shareholder rights are governed by swiss law and Garmin's articles of association, which do not map perfectly to U.S. norms.
This does not move demand next quarter. It does matter if outside shareholders ever need influence at a ~$39B company during a tougher stretch.
The key risk is not that Garmin forgets how to build devices. It is that the stock stops getting paid like a premium one if growth and margin stop arriving together.
source: institutional data · regulatory filings · risk analysis
Pay attention to
metric
fy2026 eps estimate
currently $8.75. If that number drifts lower while the stock stays around $201, the valuation gets harder to defend.
trend
revenue growth after 15.1%
last year set a high bar. The next question is whether Garmin stays near that pace or settles back toward ordinary hardware growth.
risk
margin discipline
22.7% net margin is the premium multiple's best friend. If that slips, you should rethink what kind of stock you actually own.
calendar
next earnings report
That is when you find out whether the recent sales miss was a one-quarter wobble or the first hint of lower expectations.
Analyst rankings
short-term outlook
average
momentum score 3 — in human-speak, analysts do not see a strong near-term edge here.
risk profile
average
stability score 3 — typical risk profile. Safer than some consumer tech names, not a defensive utility.
chart momentum
top 20%
technical score 2 — the chart still screens better than most stocks even after the recent pullback.
earnings predictability
85 / 100
management's operating pattern has been consistent. That matters more when the stock already trades at a premium for reliability.
source: institutional data
Institutional activity
institutions have been net buying for 2 consecutive quarters — 508 buyers vs. 351 sellers in 3q2025. total institutional holdings: 0.1B shares. net buying for 2 quarters.
source: institutional data
Price targets
3-5 year target range
$159
$334
$201
current price
$247
target midpoint · +23% from current · 3-5yr high: $405 (+100% · 19% ann'l return)
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