Fundamental analysis · SEC EDGAR · TTM through 28/03/2026

Fundamental analysis of Garmin Ltd

GRMN · NYSE · Technology

Fundamental quality

ATTRACTIVE

83

out of 100

Garmin Ltd fits the profile of a quality compounder: it pairs high return on capital (ROE 18.7%) with wide margins (net margin 23.3%) and a business that keeps growing (11.6% a year). On fundamental quality it scores 83 out of 100, profiling it as a company with solid fundamentals. Its weakest area is its growth (revenue +11.6%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Garmin makes specialized GPS devices: high-end sports watches, avionics for light aircraft, marine navigation and bike computers. It survived the death of the car navigator by reinventing itself as the brand for serious athletes and pilots.

What will shape its future

  • Premium watches for runners, cyclists and adventurers, its growth and margin engine.
  • Avionics and marine, regulated and loyal niches where it has almost no rivals.
  • A debt-free balance sheet and a dividend — rarities in consumer electronics.

Breakdown by area

I.Growth
64

EPS growth: 11% · Revenue growth: 11.6%

II.Profitability
87

Net margin: 23.3% · ROE: 18.7% · ROIC: 23.4%

III.Financial health
95

Net debt/EBITDA: -1.07x · FCF: 19.4%

Source: SEC EDGAR · TTM through 28/03/2026

The score includes +1 for dividend strength: 6 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.

The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 101 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 71%
ROEbeats 55%
Growthbeats 42%
Cash generationbeats 39%
Less debtbeats 87%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Garmin Ltd strengths

  • High gross margin (59.1%), pointing to pricing power.
  • Strong free-cash-flow generation (FCF margin of 19.4%): profit turns into real cash.
  • High net margin (23.3%), high even for its sector: the business is clearly profitable.
  • Strong return on equity (ROE of 18.7%): it puts shareholder capital to good use.

Garmin Ltd risks and weaknesses

  • No clear weaknesses in the recent fundamentals, though the system doesn't assess qualitative factors (competition, regulation, management).

Garmin Ltd historical evolution

YearRevenueNet incomeFree cash flowNet debt
20204,187992950-1,458
20214,9831,082705-1,498
20224,860974544-1,279
20235,2281,2901,183-1,693
20246,2971,4111,239-2,079
20257,2461,6641,363-2,279

Between 2020 and 2025, revenue went from $4,187M to $7,246M (+73%) and net income went from $992M to $1,664M (+68%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the quarter ended March 28, 2026, versus the quarter ended March 29, 2025 (SEC filings):

  • Revenue+14.2%
  • Net income+21.7%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$2.68

per share, yearly

39.9% of earnings

Payout

6 straight years raising it

Growth

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Garmin Ltd cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Garmin Ltd a good company to invest in?

In terms of business quality, Garmin Ltd scores 83 out of 100 in our analysis, placing it as a company of high fundamental quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Garmin Ltd a profitable company?

Very. Garmin Ltd shows a net margin of 23.3% and an ROE of 18.7%, typical of a highly profitable business.

Does Garmin Ltd have a lot of debt?

No. Garmin Ltd has a net cash position: more cash than debt.

Is Garmin Ltd growing?

Its revenue has grown 11.6% annualized in recent years and its earnings per share 11%.

Does Garmin Ltd generate cash?

Yes. It converts about 19.4% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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