Garmin (NYSE:GRMN) Releases Earnings Results, Beats Expectations By $0.51 EPS

Garmin (NYSE:GRMN) issued its quarterly earnings data on Wednesday. The scientific and technical instruments company reported $2.81 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.30 by $0.51, FiscalAI reports. The firm had revenue of $2.02 billion during the quarter, compared to analysts’ expectations of $1.93 billion. Garmin had a return on equity of 20.07% and a net margin of 23.26%.Garmin’s revenue was up 11.4% on a year-over-year basis. During the same period in the previous year, the firm posted $2.17 earnings per share. Garmin updated its FY 2026 guidance to 10.000-10.000 EPS.

Here are the key takeaways from Garmin’s conference call:

• Record results and raised guidance: Second-quarter revenue rose 11% to $2.02 billion, operating income increased 30% to $616 million, and pro forma EPS grew 29% to $2.81. Garmin raised full-year 2026 guidance to approximately $8.05 billion in revenue and $10.00 in pro forma EPS.
• Fitness remained the key growth engine: Fitness revenue increased 25% to $757 million, supported by strong advanced-wearable demand. Early demand for the new screenless CIRQA wearable exceeded expectations, with Garmin reporting supply constraints and a five- to eight-week shipping backlog.
• Broad-based segment momentum continued: Marine revenue rose 14% and Aviation revenue increased 8%, while Outdoor is expected to improve in the second half as new products launch. Garmin highlighted strong aviation OEM backlogs, resilient aftermarket demand, and positive reception for its new AXIS integrated cockpit platform.
• Margin performance was unusually strong but faces cost pressures: Gross margin expanded to 62.4%, helped by favorable product mix, vertical integration, and a $21 million tariff refund. Management expects higher memory and other component costs to weigh on margins in the second half, though the company plans to mitigate the impact through pricing, sourcing, and other measures.
• Auto OEM faces a second-half downturn: Garmin expects Auto OEM revenue to decline and the segment to return to an operating loss in the back half of 2026 as BMW volumes peak, before the next major Mercedes-Benz program begins ramping in early 2027.

Garmin Stock Up 17.1%

Shares of NYSE:GRMN traded up $43.30 during trading on Wednesday, hitting $296.95. 1,801,818 shares of the company traded hands, compared to its average volume of 900,140. The stock has a market capitalization of $57.27 billion, a price-to-earnings ratio of 33.23, a PEG ratio of 2.86 and a beta of 0.90. Garmin has a one year low of $186.67 and a one year high of $302.69. The business’s fifty day moving average is $239.62 and its 200-day moving average is $235.51.

Wall Street Analyst Weigh In

A number of analysts recently commented on GRMN shares. Morgan Stanley set a $249.00 price objective on Garmin in a research note on Thursday, April 30th. Weiss Ratings reiterated a “buy (b)” rating on shares of Garmin in a report on Monday, June 8th. Zacks Research lowered Garmin from a “strong-buy” rating to a “hold” rating in a research note on Friday, May 1st. Tigress Financial increased their price objective on shares of Garmin from $320.00 to $325.00 and gave the stock a “strong-buy” rating in a research report on Wednesday, May 20th. Finally, Wall Street Zen lowered Garmin from a “buy” rating to a “hold” rating in a research report on Saturday, June 20th. One analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, Garmin currently has a consensus rating of “Moderate Buy” and an average price target of $269.40.

Insider Transactions at Garmin

In related news, CFO Douglas G. Boessen sold 2,000 shares of the business’s stock in a transaction that occurred on Friday, June 5th. The stock was sold at an average price of $237.91, for a total transaction of $475,820.00. Following the sale, the chief financial officer owned 26,049 shares of the company’s stock, valued at $6,197,317.59. The trade was a 7.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Joseph J. Hartnett sold 643 shares of Garmin stock in a transaction dated Tuesday, June 9th. The stock was sold at an average price of $263.57, for a total value of $169,475.51. Following the transaction, the director directly owned 21,277 shares in the company, valued at approximately $5,607,978.89. The trade was a 2.93% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 14.80% of the company’s stock.

Institutional Investors Weigh In On Garmin

Several large investors have recently modified their holdings of the stock. State Street Corp boosted its holdings in shares of Garmin by 1.8% in the third quarter. State Street Corp now owns 7,250,844 shares of the scientific and technical instruments company’s stock worth $1,785,304,000 after buying an additional 126,677 shares during the period. Northern Trust Corp raised its stake in Garmin by 3.8% during the 4th quarter. Northern Trust Corp now owns 1,719,677 shares of the scientific and technical instruments company’s stock valued at $348,836,000 after purchasing an additional 63,283 shares during the period. Dimensional Fund Advisors LP lifted its holdings in shares of Garmin by 6.5% in the fourth quarter. Dimensional Fund Advisors LP now owns 1,591,369 shares of the scientific and technical instruments company’s stock valued at $322,837,000 after purchasing an additional 96,850 shares in the last quarter. Disciplined Growth Investors Inc. MN grew its holdings in shares of Garmin by 0.4% during the second quarter. Disciplined Growth Investors Inc. MN now owns 1,419,365 shares of the scientific and technical instruments company’s stock valued at $296,250,000 after buying an additional 5,213 shares in the last quarter. Finally, AQR Capital Management LLC lifted its stake in Garmin by 15.7% in the 3rd quarter. AQR Capital Management LLC now owns 1,348,955 shares of the scientific and technical instruments company’s stock worth $330,373,000 after acquiring an additional 182,548 shares in the last quarter. 81.60% of the stock is owned by institutional investors.

Key Headlines Impacting Garmin

Here are the key news stories impacting Garmin this week:

• Positive Sentiment: Strong quarterly beat: Garmin reported adjusted earnings of $2.81 per share, above the roughly $2.27–$2.30 consensus, while revenue rose 11.4% year over year to $2.02 billion versus estimates of approximately $1.93 billion. EPS also increased from $2.17 in the year-ago quarter. Garmin announces second quarter 2026 results
• Positive Sentiment: Fitness momentum: Garmin’s fitness business reportedly grew 25%, highlighting strong demand for wearables and connected-training products and helping offset continuing concerns about the Auto OEM business. Garmin’s Fitness Business Explodes 25%, Stock Surges
• Positive Sentiment: Guidance raised: Garmin now expects fiscal 2026 EPS of $10.00 and revenue of $8.1 billion, ahead of consensus estimates of approximately $9.57 EPS and $8.0 billion revenue. The outlook upgrade supports expectations for continued earnings growth. Garmin Q2 Earnings and Revenues Beat Estimates
• Positive Sentiment: Broader ecosystem expansion: Garmin’s recent acquisitions of TrainingPeaks and TrainHeroic add athlete-coaching software and potentially increase recurring digital revenue opportunities. Why Garmin Stock Is Up Today
• Neutral Sentiment: At recent levels, Garmin trades above the reported median analyst price target of $268.50, making further upside increasingly dependent on sustained growth and additional estimate revisions.
• Negative Sentiment: Reported insider activity over the past six months consisted of sales and no purchases. While these transactions may be routine, they could temper investor sentiment after the sharp rally.

Garmin Company Profile

Garmin Ltd. is a technology company best known for designing and manufacturing navigation, communication and information devices that leverage global positioning system (GPS) technology. The company serves a diverse set of markets including consumer fitness and wearables, automotive navigation, aviation avionics, marine electronics and outdoor handheld devices. Garmin’s products combine hardware, mapping and software services to deliver location-aware solutions for personal, recreational and professional uses.

Garmin’s product lineup includes wearable fitness and multisport watches (Forerunner, Fenix, Venu), cycling computers and accessories (Edge, Varia), handheld and handheld-mounted GPS devices for outdoor activities, automotive and portable navigation units, marine chartplotters and fishfinders, and certified avionics for fixed- and rotary-wing aircraft.