Garmin Stock Surges on Strong Q2 Results and Raised Guidance
Garmin (GRMN) saw its stock rise by over 22% for the week following record second-quarter results, driven in part by strong performance from its fitness segment. The company raised full-year revenue guidance to 11% year-over-year growth and expects nearly 17% earnings per share (EPS) growth due to improved margins. Investors are also taking note of Garmin's robust financial position: the firm holds $4.4 billion in cash with no debt, which represents about 8% of its market cap. This liquidity is expected to benefit shareholders through dividends and buybacks as well as support future product launches like the screenless Cirqa smart band. Despite a current P/E ratio near 30 based on this year's guidance, analysts suggest that Garmin’s strong cash reserves may make it still an attractive long-term investment for those looking beyond its 2026 projections.
Tickers: $GRMN
Topics: financial_performance guidance_upgrade stock_price_reaction