Bank of America Securities analyst Ronald Epstein has maintained their bearish stance on GRMN stock, giving a Sell rating today.
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Ronald Epstein has given his Sell rating due to a combination of factors that suggest Garmin’s current stock valuation may already reflect its potential. Despite Garmin’s strong financial performance in the fourth quarter of 2024, with significant growth in the Fitness and Outdoor segments and improved operating margins, Epstein remains cautious. The company’s 2025 outlook is seen as conservative, with expected revenue growth of 8% and a slight decrease in operating margins.
Garmin’s proposed increase in dividends indicates confidence, but Epstein believes the stock’s current market price of $214.78 exceeds his price objective of $185.00. This valuation, in his view, fully appreciates the company’s potential, leaving limited upside for investors. Therefore, the Underperform rating is maintained, reflecting concerns about the stock’s ability to achieve further growth beyond its current valuation.
Epstein covers the Industrials sector, focusing on stocks such as Boeing, Embraer SA, and General Dynamics. According to TipRanks, Epstein has an average return of 14.3% and a 61.23% success rate on recommended stocks.
In another report released today, Barclays also maintained a Sell rating on the stock with a $188.00 price target.