Garmin (GRMN) came out with quarterly earnings of $2.17 per share, beating the Zacks Consensus Estimate of $1.96 per share. This compares to earnings of $1.58 per share a year ago. These figures are adjusted for non- recurring items. While Garmin has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. ...

Core Viewpoint - Garmin is expected to report strong earnings growth and revenue increase in its upcoming earnings disclosure, indicating positive business trends Group 1: Stock Performance - Garmin closed at $208.36, reflecting a +1.56% change from the previous day, outperforming the S&P 500's gain of 0.52% [1] - Over the past month, Garmin's shares gained 1.14%, underperforming the Computer and Technology sector's 9.55% gain and the S&P 500's 5.95% gain [1] Group 2: Earnings and Revenue Estimates - Garmin is projected to report earnings of $1.95 per share, representing a year-over-year growth of 23.42%, with revenue expected to be $1.73 billion, a 15.01% increase compared to the previous year [2] - For the entire year, the Zacks Consensus Estimates forecast earnings of $7.99 per share and revenue of $6.83 billion, indicating changes of +8.12% and +8.48% respectively compared to the previous year [3] Group 3: Analyst Estimates and Rankings - Recent adjustments to analyst estimates for Garmin reflect short-term business trends, with positive revisions indicating analyst optimism about profitability [3] - Garmin currently holds a Zacks Rank of 3 (Hold), with the Zacks Consensus EPS estimate having moved 2.16% higher over the past month [5] Group 4: Valuation Metrics - Garmin's Forward P/E ratio is 25.67, which is a premium compared to the industry average Forward P/E of 19.04 [6] - The company has a PEG ratio of 2.3, compared to the Electronics - Miscellaneous Products industry's average PEG ratio of 1.74 [7] Group 5: Industry Context - The Electronics - Miscellaneous Products industry, part of the Computer and Technology sector, has a Zacks Industry Rank of 149, placing it in the bottom 40% of all industries [8]

Company Performance - Garmin's stock closed at $205.48, with a daily increase of +0.26%, outperforming the S&P 500, which fell by 0.53% [1] - Over the past month, Garmin's shares have appreciated by 8.87%, surpassing the Computer and Technology sector's gain of 8.67% and the S&P 500's gain of 5.17% [1] Upcoming Earnings - Garmin is projected to report earnings of $1.95 per share, reflecting a year-over-year growth of 23.42% [2] - The consensus estimate anticipates revenue of $1.73 billion, indicating a 15.01% increase from the same quarter last year [2] Full Year Estimates - For the full year, earnings are projected at $7.94 per share and revenue at $6.83 billion, showing changes of +7.44% and +8.48% respectively from the previous year [3] - Recent changes to analyst estimates indicate optimism regarding Garmin's business and profitability [3] Valuation Metrics - Garmin has a Forward P/E ratio of 25.83, which is a premium compared to the industry average Forward P/E of 18.72 [5] - The current PEG ratio for Garmin is 2.31, compared to the industry average PEG ratio of 1.65 [6] Industry Context - The Electronics - Miscellaneous Products industry, which includes Garmin, has a Zacks Industry Rank of 139, placing it in the bottom 44% of over 250 industries [7] - The top 50% rated industries outperform the bottom half by a factor of 2 to 1 [7]

Financial Performance - Garmin reported quarterly earnings of $1.61 per share, missing the Zacks Consensus Estimate of $1.65 per share, but showing an increase from $1.42 per share a year ago, representing an earnings surprise of -2.42% [1] - The company posted revenues of $1.54 billion for the quarter ended March 2025, missing the Zacks Consensus Estimate by 2%, compared to year-ago revenues of $1.38 billion [2] Market Performance - Garmin shares have lost about 1.1% since the beginning of the year, while the S&P 500 has declined by 5.5% [3] - The current Zacks Rank for Garmin is 3 (Hold), indicating that the shares are expected to perform in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the coming quarter is $1.89 on revenues of $1.68 billion, and for the current fiscal year, it is $7.87 on revenues of $6.77 billion [7] - The estimate revisions trend for Garmin is mixed, and changes in estimates for the coming quarters and current fiscal year are anticipated following the recent earnings report [6][7] Industry Context - Garmin belongs to the Zacks Electronics - Miscellaneous Products industry, which is currently in the bottom 42% of over 250 Zacks industries, indicating potential challenges ahead [8] - The performance of Garmin's stock may be influenced by the overall outlook for the industry, as research shows that the top 50% of Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1 [8]