Element Capital Management LLC Takes Position in Garmin Ltd. $GRMN

Key Points

• Element Capital Management LLC has acquired a new position in Garmin Ltd., purchasing 12,580 shares valued at approximately $2.73 million in the first quarter.
• Garmin reported a 20.4% increase in quarterly revenue year-over-year, with earnings per share of $2.17, exceeding analysts' estimates of $1.90.
• The company declared a quarterly dividend of $0.90 per share, yielding 1.5%, with a payout ratio of 44.39%.

Element Capital Management LLC purchased a new position in shares of Garmin Ltd. (NYSE:GRMN - Free Report) in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor purchased 12,580 shares of the scientific and technical instruments company's stock, valued at approximately $2,731,000.

Other large investors also recently bought and sold shares of the company. TFC Financial Management Inc. grew its stake in Garmin by 1,633.3% during the 1st quarter. TFC Financial Management Inc. now owns 156 shares of the scientific and technical instruments company's stock valued at $34,000 after acquiring an additional 147 shares in the last quarter. Wayfinding Financial LLC purchased a new stake in Garmin during the 1st quarter valued at about $34,000. Zions Bancorporation National Association UT purchased a new stake in Garmin during the 1st quarter valued at about $38,000. Garde Capital Inc. purchased a new stake in Garmin during the 1st quarter valued at about $40,000. Finally, Olde Wealth Management LLC purchased a new stake in Garmin during the 1st quarter valued at about $43,000. Hedge funds and other institutional investors own 81.60% of the company's stock.

Garmin Price Performance

Shares of GRMN traded up $0.8360 during midday trading on Tuesday, reaching $233.4360. The stock had a trading volume of 861,415 shares, compared to its average volume of 937,830. Garmin Ltd. has a 1-year low of $160.94 and a 1-year high of $246.50. The company's fifty day simple moving average is $218.60 and its two-hundred day simple moving average is $210.14. The company has a market cap of $44.94 billion, a price-to-earnings ratio of 28.78, a PEG ratio of 2.59 and a beta of 0.99.

Garmin (NYSE:GRMN - Get Free Report) last announced its quarterly earnings results on Wednesday, July 30th. The scientific and technical instruments company reported $2.17 EPS for the quarter, topping the consensus estimate of $1.90 by $0.27. Garmin had a net margin of 23.21% and a return on equity of 20.00%. The firm had revenue of $1.81 billion for the quarter, compared to analyst estimates of $1.68 billion. During the same period last year, the business earned $1.58 EPS. Garmin's revenue for the quarter was up 20.4% compared to the same quarter last year. Garmin has set its FY 2025 guidance at 8.000-8.000 EPS. On average, sell-side analysts forecast that Garmin Ltd. will post 7.8 earnings per share for the current year.

Garmin Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 26th. Shareholders of record on Friday, September 12th will be given a dividend of $0.90 per share. This represents a $3.60 annualized dividend and a yield of 1.5%. Garmin's payout ratio is currently 44.39%.

Analysts Set New Price Targets

GRMN has been the subject of several analyst reports. JPMorgan Chase & Co. increased their price target on shares of Garmin from $215.00 to $250.00 and gave the company a "neutral" rating in a research note on Thursday, July 17th. Morgan Stanley increased their price target on shares of Garmin from $172.00 to $186.00 and gave the company an "underweight" rating in a research note on Thursday, July 31st. Finally, Barclays reissued an "underweight" rating and issued a $167.00 price target (up previously from $152.00) on shares of Garmin in a research note on Wednesday, July 30th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Hold rating and two have given a Sell rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $222.00.

Insider Buying and Selling at Garmin

In other news, CFO Douglas G. Boessen sold 1,859 shares of Garmin stock in a transaction dated Thursday, July 3rd. The shares were sold at an average price of $215.00, for a total value of $399,685.00. Following the sale, the chief financial officer owned 29,146 shares of the company's stock, valued at $6,266,390. The trade was a 6.00% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Clifton A. Pemble sold 7,899 shares of Garmin stock in a transaction dated Monday, June 16th. The shares were sold at an average price of $203.25, for a total transaction of $1,605,471.75. Following the completion of the sale, the chief executive officer directly owned 141,626 shares in the company, valued at approximately $28,785,484.50. The trade was a 5.28% decrease in their position. The disclosure for this sale can be found here. Company insiders own 15.38% of the company's stock.

Garmin Company Profile

Garmin Ltd. designs, develops, manufactures, markets, and distributes a range of wireless devices worldwide. Its Fitness segment offers running and multi-sport watches; cycling products; smartwatch devices; scales and monitors; and fitness accessories. This segment also provides Garmin Connect and Garmin Connect Mobile, which are web and mobile platforms where users can track and analyze their fitness, activities and workouts, and wellness data; and Connect IQ, an application development platform.