Garmin has moved -1.1% so far today on a volume of 577,343, compared to its average of 992,077. In contrast, the S&P 500 index moved -0.9%.
Over the last 52 weeks, the stock has seen a high of $138.25 and a low of $76.37 while lagging the S&P 500 index by -14.2%. Garmin Ltd. designs, develops, manufactures, markets, and distributes a range of wireless devices in the Americas, the Asia Pacific, Australian Continent, Europe, the Middle East, and Africa. The large-cap Technology company has 18,700 full time employees and is based in Schaffhausen, Switzerland. Garmin has returned a 3.1% dividend yield over the last 12 months.
Snapshot of the Company's Income Statement, Balance Sheet, and Cash Flows:
| 2018-12-29 | 2019-12-28 | 2020-12-26 | 2021-12-25 | |
|---|---|---|---|---|
| Revenue | $3,347,444,000 | $3,757,505,000 | $4,186,573,000 | $4,982,795,000 |
| Gross Margins | 59.14% | 59.45% | 59.27% | 58.01% |
| Gross Margins Growth | n/a | 0.52% | -0.3% | -2.13% |
| Operating Margins | 23.25% | 25.17% | 25.18% | 24.46% |
| Operating Margins Growth | n/a | 8.26% | 0.04% | -2.86% |
| Earnings Per Share | $3.66 | $4.99 | $5.17 | $5.61 |
| EPS Growth | n/a | 36.34% | 3.61% | 8.51% |
| Free Cash Flow | $763,765,000 | $580,518,000 | $949,866,000 | $704,782,000 |
| FCF Growth | n/a | -23.99% | 63.62% | -25.8% |
Basic Valuation Metrics:
Compared to the Technology sector's average of 26.5, Garmin has a trailing twelve month price to earnings (P/E) ratio of 18.3 and, based on its Eps guidance of 5.43, an expected P/E ratio of 16.9. The firm's price to earnings growth (PEG) is 1.65, which indicates that it is overvalued in terms of its expected rate of earnings growth. . Garmin's price to book (P/B) ratio is 3.0 compared to its sector average of 5.57.
As of the date of publication, the company is trading 56.3% above its fair value as expressed by Benjamin Graham's formula. We calculate the Graham number as follows:
√(22.5 * TTM earnings per share * book value per share) = √(22.5 * 5 * 30.587) = $58.66
Sentiment Overview:
The company has a very low short interest since 1.1% of the company's shares are tied to short positions. Institutions own 55.5% of Garmin's shares, while the insider ownership rate stands at 19.97%. The biggest shareholder is Vanguard Group, Inc. with a 8.98% stake in the company worth approximately $1,631,277,070.
