Latest Ratios: P/E Ratio 33.5x · EV/EBITDA 25.9x · ROE 19.8%. (1999–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $55.5B | $39.8B | $40.5B | $24.7B | $17.8B | $26.3B | $23.0B | $18.6B | $12.0B | $11.2B | $9.2B |
| Enterprise Value | $53.4B | $37.7B | $38.6B | $23.1B | $16.7B | $24.9B | $21.6B | $17.6B | $10.8B | $10.4B | $8.3B |
| P/E Ratio → | 33.48 | 23.92 | 28.68 | 19.16 | 18.31 | 24.27 | 23.15 | 19.55 | 17.30 | 16.19 | 17.96 |
| P/S Ratio | 7.66 | 5.49 | 6.43 | 4.72 | 3.67 | 5.28 | 5.48 | 4.96 | 3.59 | 3.64 | 3.04 |
| P/B Ratio | 6.21 | 4.43 | 5.16 | 3.52 | 2.87 | 4.30 | 4.16 | 3.89 | 2.89 | 2.96 | 2.69 |
| P/FCF | 40.70 | 29.19 | 32.69 | 20.90 | 32.87 | 37.40 | 24.23 | 32.21 | 15.83 | 22.09 | 15.08 |
| P/OCF | 33.96 | 24.36 | 28.28 | 17.94 | 22.60 | 25.96 | 20.23 | 26.66 | 13.07 | 17.01 | 13.01 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 5.20 | 6.13 | 4.42 | 3.43 | 4.99 | 5.15 | 4.70 | 3.23 | 3.35 | 2.76 |
| EV / EBITDA | 25.86 | 18.26 | 21.75 | 18.20 | 13.97 | 18.10 | 18.27 | 16.78 | 12.36 | 13.71 | 11.73 |
| EV / EBIT | 28.46 | 18.72 | 22.76 | 19.25 | 15.64 | 20.60 | 20.47 | 18.66 | 13.89 | 15.14 | 13.17 |
| EV / FCF | — | 27.67 | 31.15 | 19.56 | 30.72 | 35.37 | 22.77 | 30.52 | 14.24 | 20.34 | 13.69 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 58.7% | 58.7% | 58.7% | 57.5% | 57.7% | 58.0% | 59.3% | 59.5% | 59.1% | 57.8% | 55.6% |
| Operating Margin | 25.9% | 25.9% | 25.3% | 20.9% | 21.1% | 24.5% | 25.2% | 25.2% | 23.3% | 21.7% | 20.7% |
| Net Profit Margin | 23.0% | 23.0% | 22.4% | 24.7% | 20.0% | 21.7% | 23.7% | 25.3% | 20.7% | 22.5% | 16.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 19.8% | 19.8% | 19.0% | 19.5% | 15.8% | 18.6% | 19.3% | 21.3% | 17.4% | 19.2% | 15.1% |
| ROA | 16.1% | 16.1% | 15.5% | 15.8% | 12.5% | 14.5% | 15.0% | 16.5% | 13.4% | 14.6% | 11.3% |
| ROIC | 21.9% | 21.9% | 21.0% | 15.6% | 15.9% | 20.7% | 19.9% | 20.9% | 19.9% | 18.3% | 18.4% |
| ROCE | 21.6% | 21.6% | 20.7% | 15.8% | 15.9% | 19.9% | 19.2% | 19.7% | 18.0% | 16.9% | 16.9% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.02 | 0.02 | 0.02 | 0.02 | 0.02 | 0.01 | 0.01 | 0.01 | — | — | — |
| Debt / EBITDA | 0.09 | 0.09 | 0.09 | 0.09 | 0.10 | 0.05 | 0.06 | 0.05 | — | — | — |
| Net Debt / Equity | — | -0.23 | -0.24 | -0.23 | -0.19 | -0.23 | -0.25 | -0.20 | -0.29 | -0.23 | -0.25 |
| Net Debt / EBITDA | -1.01 | -1.01 | -1.08 | -1.24 | -0.98 | -1.04 | -1.17 | -0.93 | -1.37 | -1.18 | -1.19 |
| Debt / FCF | — | -1.53 | -1.55 | -1.34 | -2.15 | -2.03 | -1.46 | -1.69 | -1.58 | -1.75 | -1.39 |
| Interest Coverage | — | — | — | — | — | — | — | — | — | — | — |
Net cash position: cash ($2.3B) exceeds total debt ($196M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.63 | 3.63 | 3.54 | 3.41 | 3.26 | 2.94 | 3.15 | 2.95 | 2.89 | 2.85 | 2.89 |
| Quick Ratio | 2.60 | 2.60 | 2.56 | 2.38 | 2.01 | 2.10 | 2.50 | 2.22 | 2.28 | 2.23 | 2.27 |
| Cash Ratio | 1.59 | 1.59 | 1.66 | 1.50 | 1.20 | 1.27 | 1.59 | 1.36 | 1.50 | 1.27 | 1.42 |
| Asset Turnover | — | 0.66 | 0.65 | 0.61 | 0.63 | 0.63 | 0.60 | 0.61 | 0.62 | 0.62 | 0.67 |
| Inventory Turnover | 1.69 | 1.69 | 1.76 | 1.65 | 1.36 | 1.70 | 2.24 | 2.02 | 2.43 | 2.52 | 2.76 |
| Days Sales Outstanding | — | 63.12 | 57.00 | 56.91 | 49.33 | 61.78 | 74.06 | 68.65 | 62.13 | 69.86 | 63.73 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.2% | 1.7% | 1.4% | 2.3% | 3.8% | 1.9% | 2.0% | 2.2% | 2.5% | 3.4% | 5.2% |
| Payout Ratio | 39.9% | 39.9% | 40.6% | 43.3% | 69.8% | 45.4% | 45.4% | 43.8% | 42.7% | 55.1% | 94.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.0% | 4.2% | 3.5% | 5.2% | 5.5% | 4.1% | 4.3% | 5.1% | 5.8% | 6.2% | 5.6% |
| FCF Yield | 2.5% | 3.4% | 3.1% | 4.8% | 3.0% | 2.7% | 4.1% | 3.1% | 6.3% | 4.5% | 6.6% |
| Buyback Yield | 0.4% | 0.6% | 0.2% | 0.4% | 1.3% | 0.1% | 0.1% | 0.1% | 0.1% | 0.8% | 1.1% |
| Total Shareholder Yield | 1.6% | 2.3% | 1.6% | 2.7% | 5.1% | 2.0% | 2.1% | 2.4% | 2.6% | 4.2% | 6.3% |
| Shares Outstanding | — | $194M | $193M | $192M | $193M | $193M | $192M | $191M | $190M | $189M | $189M |
Includes 30+ ratios · 27 years · Updated daily
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Quick answers to the most common questions about buying GRMN stock.
Garmin Ltd.'s current P/E ratio is 33.5x. The historical average is 20.0x. This places it at the 100th percentile of its historical range.
Garmin Ltd.'s current EV/EBITDA is 25.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 14.7x.
Garmin Ltd.'s return on equity (ROE) is 19.8%. The historical average is 23.2%.
Based on historical data, Garmin Ltd. is trading at a P/E of 33.5x. This is at the 100th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Garmin Ltd.'s current dividend yield is 1.19% with a payout ratio of 39.9%.
Garmin Ltd. has 58.7% gross margin and 25.9% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Garmin Ltd.'s Debt/EBITDA ratio is 0.1x, indicating low leverage. A ratio below 2x is generally considered financially healthy.
Key Metrics
Top Statement Risk
Consumer demand cyclicality
Metrics are mathematically derived from official filings.
Margin Expansion Defies Seasonality
Gross margin reached 62.4% in 2026Q2, up from 58.8% a year earlier, per reported financials, while operating margin expanded to 30.4% from 26.0%, indicating sustained pricing power and mix benefits.
The sequential improvement in gross margin from 59.4% in 2026Q1 to 62.4% in 2026Q2, despite typical seasonal patterns, suggests that product mix shifts toward higher-margin categories are driving profitability. Operating margin expansion outpaced gross margin gains, reflecting operating leverage as revenue growth accelerates. Net margin of 26.8% in 2026Q2 is near the highest in the ten-quarter window, underscoring that earnings quality is not solely dependent on top-line growth.
ROIC Cyclicality Masks Underlying Strength
ROIC improved to 6.6% in 2026Q2 from 4.1% in 2024Q1, per quarterly data, but remains below the cost of capital, suggesting that capital efficiency is still recovering from seasonal troughs.
ROIC has shown a clear upward trajectory from 4.1% in 2024Q1 to 6.6% in 2026Q2, with each year's Q2 showing sequential improvement (4.8% in 2024Q2, 5.7% in 2025Q2, 6.6% in 2026Q2). This indicates that the company is compounding returns on invested capital, driven by margin expansion rather than asset turnover, which has remained stable around 0.17-0.20. However, ROIC still trails the cost of capital, implying that the market's premium valuation may be pricing in future efficiency gains.
Inventory Build Pressures Cash Cycle
Cash conversion cycle lengthened to 231 days in 2026Q2 from 205 days a year earlier, per reported figures, driven by a rise in days inventory outstanding to 228 from 205, signaling potential demand softness.
The CCC has been volatile, ranging from 190 to 244 days over the past ten quarters, with the latest reading at 231 days reflecting a significant inventory build. DIO increased to 228 days in 2026Q2 from 192 days in 2025Q4, suggesting that Garmin may be stocking up in anticipation of demand or facing slower sell-through. DSO improved to 47 days from 57 days in 2026Q1, indicating efficient receivables collection, but the inventory overhang warrants monitoring as it could tie up cash and signal demand cyclicality.
Minimal Debt Masks Strategic Optionality
Debt-to-equity remains at 0.02 with debt-to-EBITDA at 0.27 in 2026Q2, per balance sheet data, indicating negligible leverage and ample borrowing capacity for acquisitions or buybacks.
Garmin's leverage is exceptionally low, with total debt of $178M against $2.3B cash, resulting in a net cash position. The D/EBITDA ratio of 0.27 is stable across the period, and interest coverage is not reported, but given the minimal debt, interest expense is likely immaterial. This conservative capital structure provides significant financial flexibility, but investors should note that the company's low leverage may also indicate a lack of aggressive capital deployment, which could be a drag on ROE.
Liquidity Cushion Absorbs Seasonal Swings
Current ratio stands at 3.03 in 2026Q2, down from 4.36 in 2026Q1, per quarterly data, but remains well above 2.0, providing a strong buffer against working capital volatility.
The current ratio has fluctuated between 2.88 and 4.36 over the past ten quarters, with the latest reading at 3.03 reflecting seasonal inventory builds and payables timing. The quick ratio of 2.08 indicates that even excluding inventory, Garmin can cover current liabilities nearly twice over. This liquidity position suggests that the company can weather demand cyclicality without straining its balance sheet, though the decline from the prior quarter's peak warrants monitoring.
P/E Misleads on Growth Sustainability
The trailing P/E of 36.46 and PEG of 3.41, per valuation data, may overstate expensiveness given Garmin's low capital intensity and high cash conversion, but they also imply market expectations of sustained double-digit growth.
The P/E ratio is commonly applied to Garmin as a hardware company, but its asset-light model and high gross margins (62.4%) make earnings less cyclical than typical manufacturers. However, the PEG of 3.41 suggests that the market is pricing in growth that may be difficult to sustain, especially as revenue growth decelerated from 20.4% in 2025Q2 to 11.4% in 2026Q2. Investors should focus on EV/EBITDA (28.24) and P/FCF (44.31) to better capture the company's cash generation, but even these multiples imply a premium that may not be justified if consumer demand softens.