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Garmin (GRMN) Gains As Market Dips: What You Should Know
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Garmin (GRMN - Free Report) closed at $136.71 in the latest trading session, marking a +0.51% move from the prior day. This change outpaced the S&P 500's 0.3% loss on the day. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.2%.
Prior to today's trading, shares of the maker of personal navigation devices had gained 2.87% over the past month. This has outpaced the Computer and Technology sector's gain of 0.63% and lagged the S&P 500's gain of 3.11% in that time.
Investors will be hoping for strength from Garmin as it approaches its next earnings release. In that report, analysts expect Garmin to post earnings of $1.41 per share. This would mark a year-over-year decline of 18.5%. Meanwhile, our latest consensus estimate is calling for revenue of $1.37 billion, up 1.01% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.68 per share and revenue of $4.96 billion, which would represent changes of +10.51% and +18.44%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Garmin. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.26% lower. Garmin currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Garmin has a Forward P/E ratio of 23.95 right now. Its industry sports an average Forward P/E of 23.19, so we one might conclude that Garmin is trading at a premium comparatively.
We can also see that GRMN currently has a PEG ratio of 3.52. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. GRMN's industry had an average PEG ratio of 2.05 as of yesterday's close.
The Electronics - Miscellaneous Products industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 88, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GRMN in the coming trading sessions, be sure to utilize Zacks.com.
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Garmin (GRMN) Gains As Market Dips: What You Should Know
Garmin (GRMN - Free Report) closed at $136.71 in the latest trading session, marking a +0.51% move from the prior day. This change outpaced the S&P 500's 0.3% loss on the day. At the same time, the Dow lost 0.25%, and the tech-heavy Nasdaq gained 0.2%.
Prior to today's trading, shares of the maker of personal navigation devices had gained 2.87% over the past month. This has outpaced the Computer and Technology sector's gain of 0.63% and lagged the S&P 500's gain of 3.11% in that time.
Investors will be hoping for strength from Garmin as it approaches its next earnings release. In that report, analysts expect Garmin to post earnings of $1.41 per share. This would mark a year-over-year decline of 18.5%. Meanwhile, our latest consensus estimate is calling for revenue of $1.37 billion, up 1.01% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $5.68 per share and revenue of $4.96 billion, which would represent changes of +10.51% and +18.44%, respectively, from the prior year.
It is also important to note the recent changes to analyst estimates for Garmin. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.26% lower. Garmin currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Garmin has a Forward P/E ratio of 23.95 right now. Its industry sports an average Forward P/E of 23.19, so we one might conclude that Garmin is trading at a premium comparatively.
We can also see that GRMN currently has a PEG ratio of 3.52. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. GRMN's industry had an average PEG ratio of 2.05 as of yesterday's close.
The Electronics - Miscellaneous Products industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 88, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow GRMN in the coming trading sessions, be sure to utilize Zacks.com.