Garmin GRMN shares rallied 11% in the last trading session to close at $192.71. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 18.6% loss over the past four weeks.
The upswing was likely driven by a broader market rally following US President Donald Trump’s announcement of pausing the reciprocal tariffs for 90 days. However, a baseline tariff of 10% on imports would continue to apply.
This maker of personal navigation devices is expected to post quarterly earnings of $1.62 per share in its upcoming report, which represents a year-over-year change of +14.1%. Revenues are expected to be $1.55 billion, up 12% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Garmin, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on GRMN going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Garmin belongs to the Zacks Electronics - Miscellaneous Products industry. Another stock from the same industry, Timken TKR, closed the last trading session 10.9% higher at $63.61. Over the past month, TKR has returned -23.2%.
Timken's consensus EPS estimate for the upcoming report has changed -1.8% over the past month to $1.44. Compared to the company's year-ago EPS, this represents a change of -18.6%. Timken currently boasts a Zacks Rank of #4 (Sell).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Garmin Ltd. (GRMN): Free Stock Analysis Report Timken Company (The) (TKR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
