Garmin (GRMN) Valuation Check After Launch Of Premium Quatix 8 Pro Nautical Smartwatch

Garmin (GRMN) just unveiled the quatix 8 Pro, a premium nautical smartwatch with built-in satellite and cellular connectivity that focuses on safety, communication and vessel control for mariners and outdoor users. See our latest analysis for Garmin. For context, Garmin's recent stream of product launches in marine wearables, automotive cabins and vehicle audio comes after a 90 day share price return of a 14.27% decline and a year to date share price return of 4.49%. The 3 year total shareholder return of about 13x suggests longer term holders have seen very large gains, while current momentum looks more muted. If this kind of connected tech story interests you, it could be a good moment to widen the lens and look at other high growth tech and AI stocks shaping the next wave of devices. With Garmin shares down 14% over 90 days but still up 4.5% year to date, and trading at roughly an 18% discount to one intrinsic value estimate, the real question is whether this represents a genuine buying opportunity or whether the market is already pricing in future growth. Most Popular Narrative: 8.5% Undervalued With Garmin last closing at US$211.52 against a narrative fair value around US$231, the current setup turns on how future earnings and margins play out. The analysts have a consensus price target of $213.833 for Garmin based on their expectations of its future earnings growth, profit margins and other risk factors. However, there is a degree of disagreement amongst analysts, with the most bullish reporting a price target of $285.0, and the most bearish reporting a price target of just $167.0. Read the complete narrative. Curious what earnings path and profit profile sit behind that valuation gap, and why the implied future P/E stays well above the sector? The full narrative lays out specific growth, margin and discount rate assumptions that drive this fair value. Result: Fair Value of $231 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, risks around higher operating expenses and softer Marine or Outdoor demand could still pressure margins and challenge the upbeat earnings path in that fair value story. Find out about the key risks to this Garmin narrative. Another View: Market Multiple Risk There is a twist when you look at Garmin through its P/E. The shares trade at about 25.9x earnings, compared with roughly 11.7x for the US Consumer Durables industry, 24.5x for peers, and a fair ratio estimate of 20.1x, which points to valuation stretch rather than a discount. So if earnings grow as expected but the market shifts closer to that fair ratio, what happens to the upside in the first narrative? See what the numbers say about this price — find out in our valuation breakdown. NYSE:GRMN P/E Ratio as at Jan 2026 Build Your Own Garmin Narrative If you look at these numbers and come to a different conclusion, or just prefer your own work, you can build a full view in minutes: Do it your way A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Garmin. Looking for more investment ideas? If Garmin has you thinking more broadly about your portfolio, you can continue your research. The Simply Wall St screener highlights other approaches you might find useful. Explore long term income potential by scanning these 12 dividend stocks with yields > 3% that may suit investors who want regular cash returns from established businesses. Consider the development of artificial intelligence by checking out these 25 AI penny stocks that focus on real revenue opportunities in this fast evolving theme. Look for potential mispriced opportunities with these 883 undervalued stocks based on cash flows, where share prices appear out of step with underlying cash flow estimates. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.