What Garmin (GRMN)'s Expanded Cycling Tech Means for Shareholders

• In September 2025, Garmin launched the Edge 550 and Edge 850 cycling computers and Rally 110 and 210 power meters, introducing advanced training, safety, and performance features for both recreational and competitive cyclists.
• This comprehensive update to Garmin’s cycling ecosystem highlights the company’s commitment to innovation and its focus on meeting the evolving needs of the cycling community.
• We’ll explore how Garmin’s expanded cycling product lineup could affect its long-term investment narrative and market opportunities.

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Garmin Investment Narrative Recap

For Garmin shareholders, the core belief centers on ongoing innovation driving growth across fitness, outdoor, aviation, marine, and automotive markets, with careful attention to margins and demand trends. The recent launch of advanced cycling computers and power meters strengthens Garmin’s reputation for product leadership, but does not transform the short-term outlook; the primary near-term catalyst remains new service subscriptions, while the largest risk still lies in operating expenses outpacing revenue growth if demand weakens or costs escalate.

Among the recent announcements, the launch of Garmin Connect+ premium service stands out, as it has the clearest link to improving subscription-based revenue and margins, a vital catalyst for the current investment case. While the new cycling products further diversify the hardware suite and add value for enthusiasts, Garmin’s margin trajectory is likely to hinge most on its ability to convert hardware users into long-term software or services customers.

On the flip side, rising R&D and SG&A costs are a risk investors should keep on their radar if revenue momentum slows...

Read the full narrative on Garmin (it's free!)

Garmin's narrative projects $8.5 billion revenue and $1.8 billion earnings by 2028. This requires 7.9% yearly revenue growth and a $0.2 billion earnings increase from $1.6 billion today.

Uncover how Garmin's forecasts yield a $213.83 fair value, a 10% downside to its current price.

Exploring Other Perspectives

Nine private investors in the Simply Wall St Community estimate Garmin’s fair value between US$119 and US$285 per share. While many are focused on revenue growth from new products, some highlight how operating expenses could be a drag if those launches do not translate into accelerating sales; review these alternative viewpoints before forming your own outlook.

Explore 9 other fair value estimates on Garmin - why the stock might be worth less than half the current price!

Build Your Own Garmin Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Garmin research is our analysis highlighting 3 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Garmin research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Garmin's overall financial health at a glance.

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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.

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