Worldwide provider of navigation, communications and information devices, Garmin Ltd. (GRMN - Analyst Report) recently announced the launch of portable Head-Up Display (HUD) for smartphone navigation apps.
The HUD facilitates easy viewing of navigation information. It projects the information on a transparent film on the windshield or an attached reflector lens. The information is procured through a Bluetooth-enabled smartphone, which features the Garmin StreetPilot1 or NAVIGON app. The information is displayed within the line of sight of the driver in order to avoid distraction.
The comprehensible information includes details about traffic situations and interchanges. It features turn arrows, distance between turns current speed of the vehicle and speed limit. It also projects the estimated time of arrival. It also informs drivers about potential traffic delays and upcoming safety camera locations.
Garmin’s HUD will pair wirelessly with Bluetooth-enabled iPhone, Android and Windows-based phones. Garmin StreetPilot and NAVIGON apps start at $29.99 for a regional map with turn-by-turn navigation. Garmin is selling the HUD for $129.99.
Garmin is well positioned in the personal navigation devices market, although competitive pressures have affected its business. Garmin has continued with product launches right through the year, including the fleet 590 and a portable fleet management GPS system. New products and the company’s OEM approach will continue to expand margins for the company.
In the first quarter of fiscal 2013, Garmin reported revenues of $532.0 million, down 30.8% sequentially from the seasonally strong fourth quarter. Revenues declined 4.4% year over year, mainly due to continued declines in the PND market. Volumes dropped 50.0% sequentially and 7.4% from the year-ago quarter. The Auto/Mobile segment was down 42.2% sequentially and 9.6% from the year-ago quarter.
Currently, Garmin has a Zacks Rank #4 (Sell). Other stocks that have been performing well and are worth considering include Yahoo Inc. (YHOO - Analyst Report), Facebook Inc. (FB - Analyst Report) and Akamai Tech (AKAM - Analyst Report). Both Yahoo and Akamai carry a Zacks Rank #1 (Strong Buy) while Facebook carries a Zacks Rank #2 (Buy).