GARMIN LTD (GRMN) Fundamental Analysis & Valuation

NYSE:GRMN • CH0114405324

Current stock price

230.16 USD
-5.91 (-2.5%)
At close:
230.16 USD
0 (0%)
After Hours:

This GRMN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. GRMN Profitability Analysis

1.1 Basic Checks

  • In the past year GRMN was profitable.
  • In the past year GRMN had a positive cash flow from operations.
  • Each year in the past 5 years GRMN has been profitable.
  • Each year in the past 5 years GRMN had a positive operating cash flow.
GRMN Yearly Net Income VS EBIT VS OCF VS FCFGRMN Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B

1.2 Ratios

  • GRMN's Return On Assets of 15.13% is amongst the best of the industry. GRMN outperforms 98.33% of its industry peers.
  • The Return On Equity of GRMN (18.54%) is better than 88.33% of its industry peers.
  • GRMN has a better Return On Invested Capital (16.78%) than 95.00% of its industry peers.
  • GRMN had an Average Return On Invested Capital over the past 3 years of 15.16%. This is significantly above the industry average of 9.21%.
  • The last Return On Invested Capital (16.78%) for GRMN is above the 3 year average (15.16%), which is a sign of increasing profitability.
Industry RankSector Rank
ROA 15.13%
ROE 18.54%
ROIC 16.78%
ROA(3y)14.93%
ROA(5y)14.23%
ROE(3y)18.31%
ROE(5y)17.66%
ROIC(3y)15.16%
ROIC(5y)14.86%
GRMN Yearly ROA, ROE, ROICGRMN Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • GRMN has a better Profit Margin (22.96%) than 98.33% of its industry peers.
  • GRMN's Profit Margin has been stable in the last couple of years.
  • Looking at the Operating Margin, with a value of 25.89%, GRMN belongs to the top of the industry, outperforming 98.33% of the companies in the same industry.
  • GRMN's Operating Margin has been stable in the last couple of years.
  • With an excellent Gross Margin value of 58.74%, GRMN belongs to the best of the industry, outperforming 96.67% of the companies in the same industry.
  • In the last couple of years the Gross Margin of GRMN has remained more or less at the same level.
Industry RankSector Rank
OM 25.89%
PM (TTM) 22.96%
GM 58.74%
OM growth 3Y6.98%
OM growth 5Y0.56%
PM growth 3Y4.66%
PM growth 5Y-0.63%
GM growth 3Y0.57%
GM growth 5Y-0.18%
GRMN Yearly Profit, Operating, Gross MarginsGRMN Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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9

2. GRMN Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GRMN is creating value.
  • The number of shares outstanding for GRMN remains at a similar level compared to 1 year ago.
  • Compared to 5 years ago, GRMN has more shares outstanding
  • There is no outstanding debt for GRMN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
GRMN Yearly Shares OutstandingGRMN Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M 150M
GRMN Yearly Total Debt VS Total AssetsGRMN Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B 10B

2.2 Solvency

  • An Altman-Z score of 16.09 indicates that GRMN is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 16.09, GRMN belongs to the top of the industry, outperforming 98.33% of the companies in the same industry.
  • There is no outstanding debt for GRMN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 16.09
ROIC/WACC3.38
WACC4.96%
GRMN Yearly LT Debt VS Equity VS FCFGRMN Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B 8B

2.3 Liquidity

  • A Current Ratio of 3.63 indicates that GRMN has no problem at all paying its short term obligations.
  • GRMN has a better Current ratio (3.63) than 68.33% of its industry peers.
  • A Quick Ratio of 2.60 indicates that GRMN has no problem at all paying its short term obligations.
  • GRMN has a better Quick ratio (2.60) than 91.67% of its industry peers.
Industry RankSector Rank
Current Ratio 3.63
Quick Ratio 2.6
GRMN Yearly Current Assets VS Current LiabilitesGRMN Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. GRMN Growth Analysis

3.1 Past

  • The Earnings Per Share has grown by an nice 15.68% over the past year.
  • The Earnings Per Share has been growing by 10.78% on average over the past years. This is quite good.
  • The Revenue has grown by 15.06% in the past year. This is quite good.
  • The Revenue has been growing by 11.59% on average over the past years. This is quite good.
EPS 1Y (TTM)15.68%
EPS 3Y18.53%
EPS 5Y10.78%
EPS Q2Q%15.77%
Revenue 1Y (TTM)15.06%
Revenue growth 3Y14.24%
Revenue growth 5Y11.59%
Sales Q2Q%16.59%

3.2 Future

  • The Earnings Per Share is expected to grow by 8.62% on average over the next years. This is quite good.
  • GRMN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.80% yearly.
EPS Next Y11.83%
EPS Next 2Y10.09%
EPS Next 3Y9.07%
EPS Next 5Y8.62%
Revenue Next Year11.47%
Revenue Next 2Y10.12%
Revenue Next 3Y9.18%
Revenue Next 5Y7.8%

3.3 Evolution

  • The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
GRMN Yearly Revenue VS EstimatesGRMN Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B 8B 10B
GRMN Yearly EPS VS EstimatesGRMN Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5 10 15

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2

4. GRMN Valuation Analysis

4.1 Price/Earnings Ratio

  • A Price/Earnings ratio of 26.89 indicates a quite expensive valuation of GRMN.
  • Compared to the rest of the industry, the Price/Earnings ratio of GRMN indicates a slightly more expensive valuation: GRMN is more expensive than 70.00% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of GRMN to the average of the S&P500 Index (24.88), we can say GRMN is valued inline with the index average.
  • A Price/Forward Earnings ratio of 24.04 indicates a rather expensive valuation of GRMN.
  • GRMN's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. GRMN is more expensive than 68.33% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 22.19, GRMN is valued at the same level.
Industry RankSector Rank
PE 26.89
Fwd PE 24.04
GRMN Price Earnings VS Forward Price EarningsGRMN Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Based on the Enterprise Value to EBITDA ratio, GRMN is valued a bit more expensive than the industry average as 75.00% of the companies are valued more cheaply.
  • The rest of the industry has a similar Price/Free Cash Flow ratio as GRMN.
Industry RankSector Rank
P/FCF 32.5
EV/EBITDA 20.46
GRMN Per share dataGRMN EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40

4.3 Compensation for Growth

  • The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
  • GRMN has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)2.27
PEG (5Y)2.49
EPS Next 2Y10.09%
EPS Next 3Y9.07%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. GRMN Dividend Analysis

5.1 Amount

  • With a Yearly Dividend Yield of 1.79%, GRMN has a reasonable but not impressive dividend return.
  • Compared to an average industry Dividend Yield of 1.31, GRMN pays a bit more dividend than its industry peers.
  • GRMN's Dividend Yield is comparable with the S&P500 average which is at 1.90.
Industry RankSector Rank
Dividend Yield 1.79%

5.2 History

  • The dividend of GRMN is nicely growing with an annual growth rate of 7.90%!
  • GRMN has paid a dividend for at least 10 years, which is a reliable track record.
  • As GRMN did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)7.9%
Div Incr Years8
Div Non Decr Years8
GRMN Yearly Dividends per shareGRMN Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1 2 3

5.3 Sustainability

  • 39.90% of the earnings are spent on dividend by GRMN. This is a low number and sustainable payout ratio.
  • The dividend of GRMN is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP39.9%
EPS Next 2Y10.09%
EPS Next 3Y9.07%
GRMN Yearly Income VS Free CF VS DividendGRMN Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B
GRMN Dividend Payout.GRMN Dividend Payout, showing the Payout Ratio.GRMN Dividend Payout.PayoutRetained Earnings

More info and screens

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GRMN Fundamentals: All Metrics, Ratios and Statistics

GARMIN LTD

NYSE:GRMN (3/27/2026, 8:22:39 PM)

After market: 230.16 0 (0%)

230.16

-5.91 (-2.5%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryHousehold Durables
Earnings (Last)02-18
Earnings (Next)04-28
Inst Owners57.53%
Inst Owner Change0.2%
Ins Owners15%
Ins Owner Change-0.3%
Market Cap44.30B
Revenue(TTM)7.25B
Net Income(TTM)1.66B
Analysts54.67
Price Target246.86 (7.26%)
Short Float %1.88%
Short Ratio2.98
Dividend
Industry RankSector Rank
Dividend Yield 1.79%
Yearly Dividend3.45
Dividend Growth(5Y)7.9%
DP39.9%
Div Incr Years8
Div Non Decr Years8
Ex-Date06-15
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.8%
Min EPS beat(2)-0.56%
Max EPS beat(2)14.17%
EPS beat(4)2
Avg EPS beat(4)5.17%
Min EPS beat(4)-5.23%
Max EPS beat(4)14.17%
EPS beat(8)6
Avg EPS beat(8)14.71%
EPS beat(12)9
Avg EPS beat(12)11.71%
EPS beat(16)12
Avg EPS beat(16)10%
Revenue beat(2)1
Avg Revenue beat(2)1.01%
Min Revenue beat(2)-1.18%
Max Revenue beat(2)3.2%
Revenue beat(4)3
Avg Revenue beat(4)1.65%
Min Revenue beat(4)-1.18%
Max Revenue beat(4)4.59%
Revenue beat(8)7
Avg Revenue beat(8)3.94%
Revenue beat(12)11
Avg Revenue beat(12)3.8%
Revenue beat(16)12
Avg Revenue beat(16)1.74%
PT rev (1m)7.63%
PT rev (3m)9.3%
EPS NQ rev (1m)5.89%
EPS NQ rev (3m)5.64%
EPS NY rev (1m)7.83%
EPS NY rev (3m)7.57%
Revenue NQ rev (1m)4.34%
Revenue NQ rev (3m)4.34%
Revenue NY rev (1m)4.39%
Revenue NY rev (3m)4.58%
Valuation
Industry RankSector Rank
PE 26.89
Fwd PE 24.04
P/S 6.11
P/FCF 32.5
P/OCF 27.12
P/B 4.94
P/tB 5.53
EV/EBITDA 20.46
EPS(TTM)8.56
EY3.72%
EPS(NY)9.57
Fwd EY4.16%
FCF(TTM)7.08
FCFY3.08%
OCF(TTM)8.49
OCFY3.69%
SpS37.64
BVpS46.62
TBVpS41.64
PEG (NY)2.27
PEG (5Y)2.49
Graham Number94.75
Profitability
Industry RankSector Rank
ROA 15.13%
ROE 18.54%
ROCE 20.23%
ROIC 16.78%
ROICexc 23.8%
ROICexgc 27.89%
OM 25.89%
PM (TTM) 22.96%
GM 58.74%
FCFM 18.81%
ROA(3y)14.93%
ROA(5y)14.23%
ROE(3y)18.31%
ROE(5y)17.66%
ROIC(3y)15.16%
ROIC(5y)14.86%
ROICexc(3y)21.44%
ROICexc(5y)20.66%
ROICexgc(3y)25.02%
ROICexgc(5y)24.32%
ROCE(3y)18.28%
ROCE(5y)17.92%
ROICexgc growth 3Y12.24%
ROICexgc growth 5Y0.37%
ROICexc growth 3Y12.27%
ROICexc growth 5Y1.83%
OM growth 3Y6.98%
OM growth 5Y0.56%
PM growth 3Y4.66%
PM growth 5Y-0.63%
GM growth 3Y0.57%
GM growth 5Y-0.18%
F-Score8
Asset Turnover0.66
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 143.28%
Cap/Sales 3.73%
Interest Coverage 250
Cash Conversion 79.1%
Profit Quality 81.91%
Current Ratio 3.63
Quick Ratio 2.6
Altman-Z 16.09
F-Score8
WACC4.96%
ROIC/WACC3.38
Cap/Depr(3y)120.27%
Cap/Depr(5y)142.22%
Cap/Sales(3y)3.51%
Cap/Sales(5y)4.36%
Profit Quality(3y)87.09%
Profit Quality(5y)76.38%
High Growth Momentum
Growth
EPS 1Y (TTM)15.68%
EPS 3Y18.53%
EPS 5Y10.78%
EPS Q2Q%15.77%
EPS Next Y11.83%
EPS Next 2Y10.09%
EPS Next 3Y9.07%
EPS Next 5Y8.62%
Revenue 1Y (TTM)15.06%
Revenue growth 3Y14.24%
Revenue growth 5Y11.59%
Sales Q2Q%16.59%
Revenue Next Year11.47%
Revenue Next 2Y10.12%
Revenue Next 3Y9.18%
Revenue Next 5Y7.8%
EBIT growth 1Y17.7%
EBIT growth 3Y22.21%
EBIT growth 5Y12.22%
EBIT Next Year25.2%
EBIT Next 3Y13.95%
EBIT Next 5Y12.48%
FCF growth 1Y10.01%
FCF growth 3Y35.98%
FCF growth 5Y7.54%
OCF growth 1Y14.02%
OCF growth 3Y27.49%
OCF growth 5Y7.55%

GARMIN LTD / GRMN Fundamental Analysis FAQ

What is the ChartMill fundamental rating of GARMIN LTD (GRMN) stock?

ChartMill assigns a fundamental rating of 7 / 10 to GRMN.


What is the valuation status of GARMIN LTD (GRMN) stock?

ChartMill assigns a valuation rating of 2 / 10 to GARMIN LTD (GRMN). This can be considered as Overvalued.


Can you provide the profitability details for GARMIN LTD?

GARMIN LTD (GRMN) has a profitability rating of 9 / 10.


What are the PE and PB ratios of GARMIN LTD (GRMN) stock?

The Price/Earnings (PE) ratio for GARMIN LTD (GRMN) is 26.89 and the Price/Book (PB) ratio is 4.94.


What is the financial health of GARMIN LTD (GRMN) stock?

The financial health rating of GARMIN LTD (GRMN) is 9 / 10.