Garmin (NYSE:GRMN) Announces Earnings Results

Garmin (NYSE:GRMN) issued its earnings results on Wednesday. The scientific and technical instruments company reported $2.79 earnings per share for the quarter, topping the consensus estimate of $2.39 by $0.40, FiscalAI reports. The company had revenue of $2.12 billion for the quarter, compared to analyst estimates of $2.01 billion. Garmin had a return on equity of 19.42% and a net margin of 22.63%.The business’s revenue was up 16.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $2.41 EPS. Garmin updated its FY 2026 guidance to 9.350-9.350 EPS.

Here are the key takeaways from Garmin’s conference call:

• Garmin reported record fourth-quarter and full-year results with consolidated revenue up 17% in Q4 to $2.125 billion and full-year revenue up 15% to $7.246 billion, driving record operating income and pro forma EPS growth of 16% year-over-year.
• Management guided to continued growth for 2026—revenue of approximately $7.9 billion (≈9% increase) and operating income expected to exceed $2 billion for the first time, with pro forma EPS projected near $9.35.
• The fitness (wearables) segment was a major driver—2025 fitness revenue rose 33% to $2.36 billion, operating income grew 50%, and the company expects fitness to be the largest contributor to 2026 consolidated growth.
• Management warned of industry-wide memory cost pressures and generationally high tariffs that pressured costs; Garmin is increasing inventories and using vertical integration to mitigate impacts, but 2026 gross margin is expected to be ~20 bps lower (~58.5%).
• Auto OEM remains a loss-making area (2025 operating loss $49M) but Garmin announced a significant Mercedes-Benz domain controller program with meaningful ramp in early 2027, signaling potential future scale while near-term revenue is expected to decline in 2026.

Garmin Price Performance

NYSE:GRMN traded up $0.17 during trading hours on Thursday, hitting $237.63. The company had a trading volume of 563,692 shares, compared to its average volume of 1,022,528. Garmin has a 52 week low of $169.26 and a 52 week high of $261.69. The company has a market capitalization of $45.70 billion, a PE ratio of 29.37, a price-to-earnings-growth ratio of 2.29 and a beta of 1.00. The stock has a 50-day moving average price of $207.37 and a 200 day moving average price of $220.33.

Garmin Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 26th. Shareholders of record on Friday, March 12th will be paid a dividend of $1.05 per share. The ex-dividend date of this dividend is Friday, March 12th. This represents a $4.20 annualized dividend and a dividend yield of 1.8%. Garmin’s dividend payout ratio (DPR) is 44.33%.

Insider Buying and Selling at Garmin

In other Garmin news, COO Patrick Desbois sold 3,678 shares of the firm’s stock in a transaction on Wednesday, January 7th. The stock was sold at an average price of $210.40, for a total transaction of $773,851.20. Following the completion of the transaction, the chief operating officer owned 61,798 shares of the company’s stock, valued at approximately $13,002,299.20. This trade represents a 5.62% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Clifton A. Pemble sold 10,431 shares of the stock in a transaction dated Tuesday, December 16th. The stock was sold at an average price of $206.23, for a total transaction of $2,151,185.13. Following the completion of the transaction, the chief executive officer owned 135,180 shares of the company’s stock, valued at approximately $27,878,171.40. The trade was a 7.16% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 17,073 shares of company stock valued at $3,540,774. 15.38% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in GRMN. State Street Corp grew its holdings in Garmin by 1.8% during the 3rd quarter. State Street Corp now owns 7,250,844 shares of the scientific and technical instruments company’s stock valued at $1,785,304,000 after buying an additional 126,677 shares in the last quarter. Northern Trust Corp grew its stake in shares of Garmin by 3.8% during the fourth quarter. Northern Trust Corp now owns 1,719,677 shares of the scientific and technical instruments company’s stock worth $348,836,000 after acquiring an additional 63,283 shares during the last quarter. Dimensional Fund Advisors LP raised its stake in Garmin by 6.5% in the 4th quarter. Dimensional Fund Advisors LP now owns 1,591,369 shares of the scientific and technical instruments company’s stock valued at $322,837,000 after purchasing an additional 96,850 shares during the last quarter. Disciplined Growth Investors Inc. MN grew its stake in Garmin by 0.4% during the 2nd quarter. Disciplined Growth Investors Inc. MN now owns 1,419,365 shares of the scientific and technical instruments company’s stock worth $296,250,000 after purchasing an additional 5,213 shares in the last quarter. Finally, AQR Capital Management LLC grew its position in shares of Garmin by 15.7% during the third quarter. AQR Capital Management LLC now owns 1,348,955 shares of the scientific and technical instruments company’s stock worth $330,373,000 after buying an additional 182,548 shares in the last quarter. Institutional investors own 81.60% of the company’s stock.

More Garmin News

Here are the key news stories impacting Garmin this week:

• Positive Sentiment: Q4 beats: Garmin reported record Q4 revenue of ~$2.12B and pro forma EPS of $2.79, ahead of consensus, with double‑digit segment growth driving the upside. Read More.
• Positive Sentiment: Stronger FY2026 guidance: management set FY26 pro forma EPS at $9.35 and revenue at ~$7.9B — above Street forecasts — giving clearer forward earnings visibility. Read More.
• Positive Sentiment: Capital returns boosted: a proposed ~17% dividend increase and a new $500M buyback were announced, supporting total shareholder return and reducing free‑float. Read More.
• Positive Sentiment: Wearables and product momentum: fitness wearables surged (reported at ~42% growth), plus new product launches across fitness, marine and aviation that are supporting higher‑margin hardware and services. Read More.
• Neutral Sentiment: Margins mixed: gross margin was roughly flat/edged lower but operational improvements offset some pressure — watch upcoming margin commentary for sustainability. Read More.
• Negative Sentiment: Insider selling and analyst caution: several insiders have recently sold small stakes and a subset of analysts remain cautious (some underweight/hold), which could temper multiple expansion despite the beat. Read More.
• Negative Sentiment: Valuation and upside limits: the stock already re‑rated on the release, so future gains depend on execution against FY26 guidance and continued wearable margin strength — risks to upside if growth or margins slip. Read More.

Analyst Upgrades and Downgrades

Several research firms recently weighed in on GRMN. Weiss Ratings restated a “buy (b)” rating on shares of Garmin in a report on Thursday, January 22nd. Tigress Financial reiterated a “strong-buy” rating on shares of Garmin in a report on Friday, December 19th. Longbow Research upgraded Garmin from a “neutral” rating to a “buy” rating and set a $250.00 price objective on the stock in a research note on Wednesday, December 3rd. Barclays set a $240.00 price target on shares of Garmin in a research report on Thursday. Finally, Morgan Stanley boosted their target price on Garmin from $193.00 to $195.00 and gave the stock an “underweight” rating in a report on Thursday, October 30th. One investment analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $249.00.

Garmin Company Profile

Garmin Ltd. is a technology company best known for designing and manufacturing navigation, communication and information devices that leverage global positioning system (GPS) technology. The company serves a diverse set of markets including consumer fitness and wearables, automotive navigation, aviation avionics, marine electronics and outdoor handheld devices. Garmin’s products combine hardware, mapping and software services to deliver location-aware solutions for personal, recreational and professional uses.

Garmin’s product lineup includes wearable fitness and multisport watches (Forerunner, Fenix, Venu), cycling computers and accessories (Edge, Varia), handheld and handheld-mounted GPS devices for outdoor activities, automotive and portable navigation units, marine chartplotters and fishfinders, and certified avionics for fixed- and rotary-wing aircraft.