From wearables to avionics: equity research Garmin Ltd.

Abstract

This report forms part of a comprehensive equity research on Garmin Ltd., a leader in advanced navigation technologies. This section begins with an overview of Garmin’s stock and focuses on three key segments: outdoor, marine, and auto. After analyzing Garmin’s balance sheet and benchmarking key figures against peers, revenue projections for these segments are made. Segment-specific discount rates, ranging from 7.86% to 11.36%, are derived using the WACC. Employing a Discounted Cash Flow model alongside scenario analysis, sensitivity testing, and Monte Carlo simulations, a target share price of $140.58 is estimated. Combined with the Dividend Discount Model and Multiple Valuation from the complementary report section, a YE25 target price of $139.43 is projected. Based on analyses from both parts of the report, this section recommends selling Garmin shares.