Garmin (NYSE:GRMN) Announces Earnings Results, Beats Estimates By $0.24 EPS
by Jessica Moore · The Cerbat GemGarmin (NYSE:GRMN – Get Free Report) issued its earnings results on Wednesday. The scientific and technical instruments company reported $2.08 EPS for the quarter, beating the consensus estimate of $1.84 by $0.24, FiscalAI reports. The firm had revenue of $1.75 billion during the quarter, compared to the consensus estimate of $1.72 billion. Garmin had a net margin of 23.26% and a return on equity of 20.07%. The business’s quarterly revenue was up 14.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.61 earnings per share. Garmin updated its FY 2026 guidance to 9.350-9.350 EPS.
Here are the key takeaways from Garmin’s conference call:
- Record Q1 results — consolidated revenue rose 14% to $1.75 billion, gross margin expanded to 59.4%, operating income was $432 million (+30%), and pro forma EPS was $2.08 (+29%).
- Fitness led growth with revenue up 42% to $547 million driven by higher unit volumes and demand for advanced wearables; management expects Fitness to be the biggest contributor to 2026 consolidated growth.
- Management is maintaining its February full‑year guidance despite the strong start, noting Q1 is seasonally the weakest quarter and saying it will reassess as the year progresses.
- Cost and tariff pressures — inventory rose to ~$1.9 billion with elevated safety stock, Marine margins were compressed by higher tariffs, the company expects ongoing tariff/input cost headwinds (with more impact likely in 2027), and no tariff refund receivable has been recorded.
- Auto OEM outlook is mixed — revenue was roughly flat (+1%) this quarter and is expected to decline in 2026 as BMW volumes wind down, but Garmin anticipates a significant Mercedes‑Benz program ramp beginning in 2027 while the segment remains non‑GAAP‑profitable for 2026.
Garmin Stock Down 0.6%
Shares of NYSE:GRMN opened at $249.60 on Friday. The firm has a market cap of $48.14 billion, a price-to-earnings ratio of 27.83, a PEG ratio of 3.03 and a beta of 0.96. Garmin has a 12 month low of $184.47 and a 12 month high of $273.32. The company’s fifty day simple moving average is $247.43 and its 200 day simple moving average is $223.42.
Garmin Announces Dividend
The business also recently disclosed a quarterly dividend, which will be paid on Friday, March 26th. Investors of record on Friday, March 12th will be issued a dividend of $1.05 per share. This represents a $4.20 dividend on an annualized basis and a dividend yield of 1.7%. The ex-dividend date is Friday, March 12th. Garmin’s dividend payout ratio (DPR) is presently 41.86%.
Insider Activity
In other Garmin news, EVP Matthew Munn sold 5,275 shares of the stock in a transaction dated Thursday, February 26th. The stock was sold at an average price of $250.97, for a total transaction of $1,323,866.75. Following the completion of the transaction, the executive vice president owned 9,876 shares in the company, valued at approximately $2,478,579.72. This represents a 34.82% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, COO Patrick Desbois sold 6,694 shares of the business’s stock in a transaction dated Thursday, February 26th. The shares were sold at an average price of $251.65, for a total value of $1,684,545.10. Following the completion of the sale, the chief operating officer owned 58,540 shares in the company, valued at approximately $14,731,591. This trade represents a 10.26% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 40,725 shares of company stock worth $10,213,222. 15.38% of the stock is currently owned by insiders.
Hedge Funds Weigh In On Garmin
Large investors have recently bought and sold shares of the company. Atlas Capital Advisors Inc. bought a new position in shares of Garmin during the 4th quarter worth approximately $34,000. DV Equities LLC bought a new stake in shares of Garmin in the fourth quarter worth $46,000. Itau Unibanco Holding S.A. boosted its holdings in Garmin by 23.0% during the fourth quarter. Itau Unibanco Holding S.A. now owns 283 shares of the scientific and technical instruments company’s stock worth $57,000 after purchasing an additional 53 shares during the last quarter. Garton & Associates Financial Advisors LLC bought a new position in Garmin in the fourth quarter valued at $62,000. Finally, State of Wyoming grew its position in Garmin by 26.2% in the fourth quarter. State of Wyoming now owns 352 shares of the scientific and technical instruments company’s stock valued at $71,000 after purchasing an additional 73 shares in the last quarter. Institutional investors and hedge funds own 81.60% of the company’s stock.
Analysts Set New Price Targets
GRMN has been the subject of several research analyst reports. Weiss Ratings reissued a “buy (b)” rating on shares of Garmin in a report on Thursday, January 22nd. JPMorgan Chase & Co. lifted their target price on Garmin from $265.00 to $285.00 and gave the stock a “neutral” rating in a report on Thursday, April 16th. Morgan Stanley set a $249.00 target price on Garmin in a research note on Thursday. Zacks Research upgraded Garmin from a “hold” rating to a “strong-buy” rating in a report on Monday, February 23rd. Finally, Barclays dropped their price target on Garmin from $240.00 to $238.00 and set an “equal weight” rating on the stock in a research report on Thursday. Two equities research analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Garmin currently has a consensus rating of “Moderate Buy” and an average price target of $268.40.
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.