Garmin Ltd.

(New York Stock Exchange)
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Bullish +64

Garmin Ltd. Just Recorded A 14% EPS Beat: Here's What Analysts Are Forecasting Next

AI-generated analysis

πŸ“ˆ Garmin Ltd. reported a 14% earnings-per-share beat on revenues of US$1.8 billion for its first quarter.

πŸ“Š The seven analysts covering the stock currently forecast 2026 revenues of US$7.99b, representing a 7.0% improvement from the prior 12 months.

πŸ’° Statutory earnings per share are predicted to rise 4.1% to US$9.37 in 2026, maintaining previous analyst models.

🎯 The consensus price target remains unchanged at US$262 following the release of the quarterly results.

πŸ“‰ Analyst estimates show Garmin is expected to grow revenues at an annualized rate of 9.5% through 2026.

🌍 This projected growth rate aligns closely with the company's historical average of 9.6% over the past five years.

⚑ The stock is expected to outperform the broader industry, which analysts estimate will see only a 4.9% annual revenue growth.

πŸ“Š The bullish analyst price target stands at US$320 while the most bearish view values the stock at US$220.

πŸ” There are currently no significant changes in sentiment from Wall Street regarding Garmin's business prospects after this quarter.

⚠️ Readers are warned about a single identified risk or warning sign that requires attention before investment.

πŸ’Έ The company has not yet provided updated estimates beyond 2026, though some data is available for analysis.

πŸ”— Full analyst estimates extending to 2028 can be found on the Simply Wall St platform mentioned in the article.

Bullish Signals
  • Garmin Ltd. beat earnings expectations with statutory EPS outperforming analyst estimates by a solid 14%.
  • Revenues hit US$1.8 billion for the first quarter, surpassing market expectations.
  • Analysts forecast 2026 revenues of US$7.99 billion, representing a credible 7.0% improvement compared to the last 12 months.
  • Statutory earnings per share are predicted to increase by 4.1% to reach US$9.37 in 2026.
  • The company is expected to achieve an annualised revenue growth of 9.5% to the end of 2026, which aligns with its strong historical growth trend.
  • Garmin's projected growth rate significantly outpaces the broader industry, which is expected to see revenues grow at just 4.9% annually.
Risk Factors
  • Analysts have maintained their previous revenue and earnings per share estimates despite the strong beat, indicating a lack of positive momentum shift or upside revision in their bullish case.
  • The consensus price target remains largely unchanged at US$262, suggesting current market valuations are not reacting strongly to the recent positive earnings surprise.
  • There is significant divergence in analyst sentiment, with price targets ranging from a bearish US$220 to a bullish US$320, highlighting uncertainty about future stock performance.
  • While Garmin is expected to grow faster than the wider industry, its long-term trajectory relies heavily on maintaining historical trends that have already been priced into current estimates.
Full Analysis
Garmin Ltd. (NYSE:GRMN) reported a strong first-quarter performance, achieving an earnings per share (EPS) beat of 14% against analyst expectations and posting revenues of US$1.8 billion, which surpassed forecasts. Following the release of these results on May 2, 2026, a review of analyst sentiment revealed that coverage remains largely unchanged; seven analysts covering the stock are projecting fiscal 2026 revenues of US$7.99 billion and statutory EPS of US$9.37. These figures align closely with pre-earnings estimates of US$7.98 billion in revenue and US$9.37 in EPS, indicating that the positive results did not trigger any significant revisions to future growth models or business outlooks. The consensus price target for Garmin remains steady at US$262 per share, though a spread of opinions persists among individual analysts, with the most bullish valuation reaching US$320 and the most bearish sitting at US$220. In terms of long-term trajectory, analysts forecast an annualized revenue growth rate of 9.5% through the end of 2026, which is nearly identical to the company's historical nine-point-six percent annual growth over the past five years. This sustained growth is expected to outpace the broader industry average, which aggregates to approximately 4.9% annual revenue expansion. Despite the positive quarterly data and maintained forecasts, the article notes that there is one identified warning sign for investors to consider regarding the company's long-term health. The analysis concludes that Garmin continues to perform in line with established earnings per share estimates and revenue targets, suggesting business stability rather than a new shift in investor sentiment. However, readers are cautioned that these general analyses rely on historical data and forecasts without accounting for recent price-sensitive announcements or specific individual financial situations, and thus do not constitute direct investment advice.