Garmin (GRMN) May Find a Bottom Soon, Here's Why You Should Buy the Stock Now

Core Viewpoint - Garmin (GRMN) has shown a downtrend recently, losing 7.2% over the past week, but a hammer chart pattern suggests a potential trend reversal as buying interest may be emerging to counteract selling pressure [1][2]. Technical Analysis - The hammer chart pattern indicates a possible bottoming out, with reduced selling pressure, suggesting that bulls may be regaining control [2][5]. - A hammer pattern forms when there is a small difference between opening and closing prices, with a long lower wick, indicating that the stock made a new low but closed near its opening price [4][5]. - This pattern is significant when it occurs at the bottom of a downtrend, signaling a potential trend reversal as bears may have lost control [5][6]. Fundamental Analysis - There is a strong consensus among Wall Street analysts to raise earnings estimates for Garmin, which supports the bullish case for the stock [2][7]. - The consensus EPS estimate for the current year has increased by 2.4% over the last 30 days, indicating analysts' agreement on the company's potential for better earnings [8]. - Garmin currently holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks, which typically outperform the market [9][10].