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Garmin (GRMN) Expands Portfolio With New JL Audio Speakers

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Garmin (GRMN - Free Report) continues to expand its portfolio offerings in a bid to drive its customer momentum across various end markets. Its portfolio strength remains the key growth driver. GRMN shares have gained 55.9% in the past year, outperforming the industry’s rally of 39.2%.

The latest introduction of JL Audio Custom Fit speakers is a testament to the same.

These mid-range speakers, which are available in two sizes — 2.75 inches and 3.50 inches, are compatible with many popular vehicles as they are designed for easy drop-in installation.

The new speakers offer extended high-frequency response and feature DMA-optimized motor systems that help deliver greater linearity and lower distortion.

Also, these speakers offer optimal flux density, as they are equipped with neodymium magnets.

Hence, Garmin is expected to gain strong traction among various vehicle makers and owners with JL Audio Custom Fit speakers, which offer robust sound quality.

Thus, the latest move is likely to benefit Garmin’s performance in the automotive market in the days ahead.

In fourth-quarter 2023, the company generated sales of $127.02 million from the auto OEM end-market, up 54% from the prior-year quarter.

For 2024, Garmin expects sales from the same market to rise 50% year over year.

Garmin Ltd. Price and Consensus

 

Garmin Ltd. Price and Consensus

Garmin Ltd. price-consensus-chart | Garmin Ltd. Quote

Expanding Portfolio

In addition to the latest move, Garmin recently announced advancements in the FltPlan safety management system, which now comes with updated features of the Flight Risk Assessment Tool (“FRAT”). The company has made flight risk assessment submissions simple to save pilots’ time in data input so that they can quickly complete a FRAT before a flight. This move has added strength to GRMN’s aviation offerings.

The company launched the Forerunner 165 Series, an affordable GPS-running smartwatch, featuring personalized training plans and health metrics on a bright AMOLED display.

GRMN introduced the Panoptix PS70, a live sonar system powered by the Garmin RapidReturn technology, providing real-time underwater visibility at greater depths.

Further, the company unveiled the GPSMAP 16x3 chart plotters, featuring a high-resolution 16-inch touchscreen display with built-in navigation and sonar support to offer superior clarity and sunlight readability, even with polarized sunglasses.

GRMN introduced affordable COMM and NAV/COMM radios with a slim 1.3-inch bezel height form factor, featuring a full-color LCD display, intuitive user interface, and worldwide frequency database.

Garmin’s growing endeavors to expand its portfolio will continue aiding its overall financial performance in the near term.

GRMN expects 2024 revenues to be $5.75 billion, indicating year-over-year growth of 10%. The Zacks Consensus Estimate for 2024 net sales is pegged at $5.77 billion.

The company expects pro-forma earnings of $5.40 per share. The consensus mark for 2024 earnings is pegged at $5.43 per share.

Zacks Rank & Other Stocks to Consider

Currently, Garmin carries a Zacks Rank #2 (Buy).

Some other top-ranked stocks in the broader technology sector are Airbnb (ABNB - Free Report) , Badger Meter (BMI - Free Report) and AMETEK (AME - Free Report) , each carrying a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Shares of Airbnb have gained 23.5% in the year-to-date period. The long-term earnings growth rate for ABNB is 16.85%.

Shares of Badger Meter have risen 3% in the year-to-date period. The long-term earnings growth rate for BMI is 12.27%.

Shares of AMETEK have expanded 12.1% in the year-to-date period. The long-term earnings growth rate for AME is 9.19%.


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