Garmin stock: buy or sell?

GRMN stock price: $96.58 -3.24% At close on February 21st, 2020

Updated on:
February 21st, 2020

3

After several days of continuous hikes in past weeks, Garmin eased -3.24% to $96.58. On Wednesday GRMN rocketed a dazzling 6.32%.

Garmin Ltd. designs, develops, manufactures, markets, and distributes a range of navigation, communication, and information devices worldwide.

Should I buy Garmin stock?

You can't be a successful trader if you don't follow a methodolgy or system that assist you in choosing companies and the correct market timing. That's why is so important to choose your own trading strategy that fits your character as inversor. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.

None of our preferred buy setups matches with Garmin stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Garmin stock a buy?

Financial institutions and banks post stock ratings everyday. Unfortunately, we couldn't detect any rating for GRMN stock for the last 30 days.

Garmin stock analysis

Daily outlook

After topping to all time highs on Wednesday, Garmin eased -3.24% on Feb 21st to $96.58.

After reaching all time highs on Wednesday, Garmin eased -3.24% on Feb/21 to $96.58. On Wednesday, GRMN hit new all time highs, pushing higher previous ATH of $102.42 recorded on Jan/28. New ATHs are usual entry points for many trading setups as there aren't higher resistences. In this session, Garmin stock crossed down the SMA50d line. If you are using SMA50d line as stop loss trigger, double check your position in this stock.

GRMN stock chart (daily)

Weekly outlook

Despite of the negative close ($96.58, -1.63%), Garmin marked new all time high at $105.58.

Price pattern shows an uptrend with two rising tops and bottoms, and now trading upwards to the $102.42 resistance. Since SMA10d and SMA20w crossed up early September, GRMN price climbed $16.03 per share (19.90%). Since late August 2019 when GRMN stock price broke up the SMA20w line, it gained $19.20 (24.81%).

GRMN stock chart (weekly)

Garmin stock price history

Garmin stock went public on December 8th, 2000 with a price of $4.551. Since then, GRMN stock grew a 2,022.60%, with a yearly average of 106.50%. If you had invested right after GRMN's IPO a $1,000 in Garmin stock in 2000, it would worth $20,226.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Garmin stock historical price chart

GRMN stock reached all-time highs on Wednesday with a price of $105.58.

Garmin stock price target

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last 30 days we have not detected any price forecast for Garmin stock by any trusted analyst.

Financials and fundamental analysis

Earnings date and Earnings per Share

Garmin reported super good results for 2018-Q4 . Garmin boosted Earnings per Share (EPS) by 29.10%, beating experts consensus of $0.79. Garmin posted $1.02.
GRMN earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a0.91n/a
2017-Q32017-11-010.660.7513.6%
2017-Q42018-02-210.750.795.3%
2018-Q12018-05-020.560.6821.4%
2018-Q22018-08-010.870.9913.8%
2018-Q32018-10-310.75133.3%
2018-Q42019-02-200.791.0229.1%
2019-Q1-n/an/an/a
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

In 2018, Garmin annual sales jumped a very good 7.24% to $3,347.44 million dollars from $3,121.56 marked in 2017. When comparing 2018 vs 2017, on the other hand, profit margin (that is, the net income divided by revenues) slightly fell a -1.98% to 20.73%.

GRMN annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$2,630 M-$612 M23.3%-
2014$2,871 M9.15%$364 M12.7%-40.53%
2015$2,820 M-1.76%$456 M16.2%25.26%
2016$3,019 M7.03%$511 M16.9%11.96%
2017$3,122 M3.41%$709 M22.7%38.80%
2018$3,347 M7.24%$694 M20.7%-2.11%

Quarterly financial results

Garmin posted $932.11 million in sales for 2018-Q4, a 15.07% up compared to previous quarter. Reported quarter earnings marked $190.15 million with a profit margin of 20.40%. Profit margin decreased a -2.34% compared to previous quarter when profit margin was 22.74%. When comparing turnover to same quarter last year, Garmin sales marked a great gain and escalated a 8.04%.
GRMN quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$817 M-$171 M20.9%-
2017-Q3$743 M-9.04%$147 M19.8%-13.77%
2017-Q4$863 M16.11%$128 M14.9%-12.83%
2018-Q1$711 M-17.61%$129 M18.2%0.68%
2018-Q2$894 M25.82%$190 M21.3%47.13%
2018-Q3$810 M-9.44%$184 M22.7%-3.22%
2018-Q4$932 M15.07%$190 M20.4%3.22%
2019-Q1$766 M-17.82%$140 M18.3%-26.28%

Garmin ownership

When you are planning to buy shares of a company, it's always worth to review its ownership structure.

Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Garmin, 27.02% of all outstanding shares are owned by its staff.

In case of Garmin stock, 49.48% of its shares are held by institutions (mutual funds, pension funds, big banks and other large financial institutions). Bearish positions for GRMN stock account 0.00%, no big difference from last month.

For a better context understanding, the next table shows ownership data compared to other related stocks:

GRMN
Market cap$18.4 B
Total shares190.1 M
Float shares145.6 M
  - Institutional holdings (%)49.5%
  - Insider holdings (%)27.0%
Shares in short selling0.0%

Garmin summary

Friday, February 21st, 2020
Open$99.33
Close$96.58
Day range$96.50 - $99.62
Previous close$99.81
Session gain-3.24%
Average true range$2.53
50d mov avg$98.25
100d mov avg$94.70
200d mov avg$86.82
Daily patternlt06c
Weekly pattern lb02a

Garmin performance

To measure stock performance is always good to compare with competitors or related stocks. We selected as the bechmarking frame for Garmin stock.
Stock3m6m12m
GRMNGarmin-0.05%24.81%19.32%

Garmin competitors

Unfortunately, we could not find any public company that could be defined as Garmin competitor. This doesn't mean Garmin does not have any competitor in the market, it's just we could not detected it.

    Latest Garmin stock news