Garmin stock hits all-time high with strong Q4 performance, but may be fully valued.

From Nasdaq: 2025-02-23 23:10:38

Garmin (NYSE: GRMN) reported Q4 earnings of $2.41 per share on sales of $1.82 billion, beating estimates. The stock surged to all-time highs around $240 post-earnings. Wearables led a 23% revenue growth, with Fitness segment up 31% and Outdoor segment up 29%. The company forecasts 8% revenue growth in 2025, exceeding Wall Street expectations.

GRMN stock has returned 91% since the start of 2024, outperforming the S&P 500. However, the stock has shown volatility over the past four years. Consider the Trefis High Quality Portfolio for a smoother ride. Despite GRMN’s strong Q4 performance and positive outlook for 2025, the stock may be fully valued at current levels.

Garmin’s Q4 operating margin expanded by 530 basis points to 28.3%, driving a 40% increase in earnings per share. The company expects to capitalize on recent and upcoming product launches in 2025, projecting 8% revenue growth and adjusted earnings per share of $7.80. GRMN stock is trading at 33x trailing earnings, potentially fully priced at $240. Investors may want to wait for a pullback for better entry points.



Read more at Nasdaq: Garmin Stock Hits All-Time High: Time to Cash In or Ride the Wave?