Why NYSE:GRMN qualifies as a high growth stock.

Our stock screener has identified GARMIN LTD (NYSE:GRMN) as a potential breakout candidate. This technical breakout setup pattern occurs when the stock consolidates after a strong uptrend. While the actual breakout is uncertain, it may be worth keeping an eye on NYSE:GRMN.

Technical analysis of NYSE:GRMN

At ChartMill, a crucial aspect of their analysis is the assignment of a Technical Rating to each stock. This rating, ranging from 0 to 10, is calculated daily by considering numerous technical indicators and properties.

We assign a technical rating of 10 out of 10 to GRMN. Both in the recent history as in the last year, GRMN has proven to be a steady performer, scoring decent points in every aspect analyzed.

• Both the short term and long term trends are positive. This is a very positive sign.
• Looking at the yearly performance, GRMN did better than 90% of all other stocks. We also observe that the gains produced by GRMN over the past year are nicely spread over this period.
• GRMN is part of the Household Durables industry. There are 67 other stocks in this industry. GRMN outperforms 90% of them.
• GRMN is currently trading near its 52 week high, which is a good sign. The S&P500 Index however is also trading near new highs, which makes the performance in line with the market.
• GRMN is currently showing a bull flag pattern! A bull flag pattern occurs when prices pull back slightly after a strong rise up. This may be a nice opportunity for an entry.

Our latest full technical report of GRMN contains the most current technical analsysis.

Why is NYSE:GRMN a setup?

ChartMill also assign a Setup Rating to every stock. With this score it is determined to what extend the stock has been trading in a range in the recent days and weeks. This score also ranges from 0 to 10 and is updated daily. The setup score evaluates various short term technical indicators. NYSE:GRMN scores a 7 out of 10:

Besides having an excellent technical rating, GRMN also presents a decent setup pattern. Prices have been consolidating lately and the volatility has been reduced. There is a resistance zone just above the current price starting at 212.73. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 210.06, a Stop Loss order could be placed below this zone.

Why NYSE:GRMN may be interesting for high growth investors.

• With a favorable trend in its quarter-to-quarter (Q2Q) earnings per share (EPS), GARMIN LTD highlights its ability to generate increasing profitability, showcasing a 41.13% growth.
• GARMIN LTD has achieved 24.15% growth in its revenue over the previous quarter, signaling positive momentum in its financial performance and potential market opportunities.
• The average next Quarter EPS Estimate by analysts was adjusted by 30.28%, reflecting the evolving market expectations for the company's EPS growth.
• In the most recent financial report, GARMIN LTD reported a 41.13% increase in quarterly earnings compared to the previous quarter. This notable growth indicates positive momentum in the company's financials, suggesting an upward trend
• GARMIN LTD shows accelerating EPS growth: when comparing the current Q2Q growth of 41.13% to the previous year Q2Q growth of 13.71%, we see the growth rate improving.
• With positive growth in its operating margin over the past year, GARMIN LTD showcases its ability to improve profitability through effective cost control and operational efficiency. This growth underscores the company's commitment to enhancing its financial performance.
• GARMIN LTD has shown positive growth in its free cash flow (FCF) over the past year, indicating improved cash generation and financial strength. This growth highlights the company's ability to effectively manage its cash flows and generate surplus funds.
• GARMIN LTD demonstrates a strong Return on Equity(ROE) of 20.22%. This indicates the company's ability to generate favorable returns for shareholders and reflects its efficient utilization of capital. GARMIN LTD shows promising potential for continued success.
• GARMIN LTD exhibits a favorable Debt-to-Equity ratio at 0.0. This highlights the company's ability to limit excessive debt levels and maintain a strong equity base, demonstrating its financial stability and risk management practices.
• With 62.99% of the total shares held by institutional investors, GARMIN LTD showcases a healthy distribution of ownership. This suggests a mix of institutional and retail investors, fostering a dynamic market for the stock.
• GARMIN LTD has consistently surpassed EPS estimates in the last 4 quarters, reflecting its strong financial performance and effective management. This trend suggests the company's ability to generate positive earnings surprises and drive shareholder value.
• GARMIN LTD has maintained a healthy Relative Strength (RS) over the analyzed period, with a current 90.31 rating. This demonstrates the stock's ability to outperform its peers and indicates its competitive positioning. GARMIN LTD is well-positioned for potential price growth opportunities.

More ideas for high growth momentum breakouts can be found on ChartMill in our High Growth Momentum Breakout screen.

Keep in mind

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.