Is Garmin Stock a Good Investment?
Garmin Investment Advice | GRMN |
- Examine Garmin's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Garmin's leadership team and their track record. Good management can help Garmin navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Electronic Equipment space and any emerging trends that could impact Garmin's business and its evolving consumer preferences.
- Compare Garmin's performance and market position to its competitors. Analyze how Garmin is positioned in terms of product offerings, innovation, and market share.
- Check if Garmin pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Garmin's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Garmin stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Garmin is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Solid | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves slightly opposite to the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Garmin Stock
Researching Garmin's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 20.0% of the company shares are held by company insiders. The book value of Garmin was currently reported as 37.73. The company recorded earning per share (EPS) of 7.1. Garmin last dividend was issued on the 14th of June 2024. The entity had 2:1 split on the 16th of August 2006.
To determine if Garmin is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Garmin's research are outlined below:
| About 20.0% of the company shares are held by company insiders |
Garmin uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Garmin. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Garmin's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 21st of February 2024 Upcoming Quarterly Report | View | |
| 1st of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 21st of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Garmin's market capitalization trends
The company currently falls under 'Large-Cap' category with a current market capitalization of 32.45 B. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate Garmin's market, we take the total number of its shares issued and multiply it by Garmin's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.Garmin's profitablity analysis
Garmin's profitability indicators refer to fundamental financial ratios that showcase Garmin's ability to generate income relative to its revenue or operating costs. If, let's say, Garmin is currently losing money, the management's focus should be on how to reverse that trend. However, when revenue exceeds expenses, Garmin's executives or investors may be in less hurry to break that information down - which is where profitability analysis comes into play. Gaining a greater understanding of Garmin's profitability requires more research than a typical breakdown of Garmin's financial statements. By doing a profitability analysis, companies can identify areas needing attention, and investors can make a profitable trade.
The company has Profit Margin (PM) of 0.25 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.22 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.22. Determining Garmin's profitability involves analyzing its financial statements and using various financial metrics to determine if Garmin is a good buy. For example, gross profit margin measures Garmin's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Garmin's profitability and make more informed investment decisions.
The data published in Garmin's official financial statements usually reflect Garmin's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Garmin. For example, before you start analyzing numbers published by Garmin accountants, it's critical to develop an understanding of what Garmin's liquidity, profitability, and earnings quality are in the context of the Household Durables space in which it operates.
Please note, the presentation of Garmin's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Garmin's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Garmin's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Garmin. Please utilize our Beneish M Score to check the likelihood of Garmin's management manipulating its earnings.
Basic technical analysis of Garmin Stock
As of the 12th of May 2024, Garmin retains the Coefficient Of Variation of 414.6, market risk adjusted performance of (0.71), and Risk Adjusted Performance of 0.156. Garmin technical analysis makes it possible for you to employ historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Simply put, you can use this information to find out if the firm will indeed mirror its model of historical price patterns, or the prices will eventually revert. We have collected data for eighteen technical drivers for Garmin, which can be compared to its competitors. Please check out Garmin information ratio, potential upside, as well as the relationship between the Potential Upside and kurtosis to decide if Garmin is priced fairly, providing market reflects its last-minute price of 168.93 per share. Given that Garmin has treynor ratio of (0.72), we strongly advise you to confirm Garmin's regular market performance to make sure the company can sustain itself at a future point.Garmin's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Garmin insiders, such as employees or executives, is commonly permitted as long as it does not rely on Garmin's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Garmin insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Jonathan Burrell over a month ago Disposition of 132600 shares by Jonathan Burrell of Garmin subject to Rule 16b-3 |
Understand Garmin's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Garmin's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.156 | |||
| Market Risk Adjusted Performance | (0.71) | |||
| Mean Deviation | 1.11 | |||
| Downside Deviation | 0.9642 | |||
| Coefficient Of Variation | 414.6 | |||
| Standard Deviation | 2.15 | |||
| Variance | 4.62 | |||
| Information Ratio | 0.2024 | |||
| Jensen Alpha | 0.56 | |||
| Total Risk Alpha | 0.2531 | |||
| Sortino Ratio | 0.4512 | |||
| Treynor Ratio | (0.72) | |||
| Maximum Drawdown | 13.51 | |||
| Value At Risk | (1.42) | |||
| Potential Upside | 1.93 | |||
| Downside Variance | 0.9297 | |||
| Semi Variance | (0.02) | |||
| Expected Short fall | (1.33) | |||
| Skewness | 4.15 | |||
| Kurtosis | 21.53 |
| Risk Adjusted Performance | 0.156 | |||
| Market Risk Adjusted Performance | (0.71) | |||
| Mean Deviation | 1.11 | |||
| Downside Deviation | 0.9642 | |||
| Coefficient Of Variation | 414.6 | |||
| Standard Deviation | 2.15 | |||
| Variance | 4.62 | |||
| Information Ratio | 0.2024 | |||
| Jensen Alpha | 0.56 | |||
| Total Risk Alpha | 0.2531 | |||
| Sortino Ratio | 0.4512 | |||
| Treynor Ratio | (0.72) | |||
| Maximum Drawdown | 13.51 | |||
| Value At Risk | (1.42) | |||
| Potential Upside | 1.93 | |||
| Downside Variance | 0.9297 | |||
| Semi Variance | (0.02) | |||
| Expected Short fall | (1.33) | |||
| Skewness | 4.15 | |||
| Kurtosis | 21.53 |
Consider Garmin's intraday indicators
Garmin intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Garmin stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Garmin time-series forecasting models is one of many Garmin's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Garmin's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Garmin Stock media impact
Far too much social signal, news, headlines, and media speculation about Garmin that are available to investors today. That information is available publicly through Garmin media outlets and privately through word of mouth or via Garmin internal channels. However, regardless of the origin, that massive amount of Garmin data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Garmin news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Garmin relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Garmin's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Garmin alpha.
Be your own money manager
Our tools can tell you how much better you can do entering a position in Garmin without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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Garmin Corporate Executives
Elected by the shareholders, the Garmin's board of directors comprises two types of representatives: Garmin inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Garmin. The board's role is to monitor Garmin's management team and ensure that shareholders' interests are well served. Garmin's inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Garmin's outside directors are responsible for providing unbiased perspectives on the board's policies.
| Douglas Boessen | Chief Financial Officer, Treasurer | Profile |
How to buy Garmin Stock?
To provide specific investment advice or recommendations on Garmin stock, we recommend investors consider the following general factors when evaluating Garmin. This will help you to make an informed decision on whether to include Garmin in one of your diversified portfolios:- Examine Garmin's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Garmin's leadership team and their track record. Good management can help Garmin navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Electronic Equipment space and any emerging trends that could impact Garmin's business and its evolving consumer preferences.
- Compare Garmin's performance and market position to its competitors. Analyze how Garmin is positioned in terms of product offerings, innovation, and market share.
- Check if Garmin pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Garmin's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Garmin stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Garmin is a good investment.
Already Invested in Garmin?
The danger of trading Garmin is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Garmin is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Garmin. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Garmin is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether Garmin offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Garmin's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Garmin Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Garmin Stock: Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Garmin. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in population. To learn how to invest in Garmin Stock, please use our How to Invest in Garmin guide.You can also try the Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
Complementary Tools for Garmin Stock analysis
When running Garmin's price analysis, check to measure Garmin's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Garmin is operating at the current time. Most of Garmin's value examination focuses on studying past and present price action to predict the probability of Garmin's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Garmin's price. Additionally, you may evaluate how the addition of Garmin to your portfolios can decrease your overall portfolio volatility.
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Is Garmin's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Garmin. If investors know Garmin will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Garmin listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Garmin is measured differently than its book value, which is the value of Garmin that is recorded on the company's balance sheet. Investors also form their own opinion of Garmin's value that differs from its market value or its book value, called intrinsic value, which is Garmin's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Garmin's market value can be influenced by many factors that don't directly affect Garmin's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Garmin's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Garmin is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Garmin's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.