Garmin stock faces holiday test after record quarter and raised outlook

Garmin reported record operating results for the third quarter ended September 26, 2026, and raised its full-year outlook. In its October 28 release carried by Garmin Ltd. via PR Newswire, the company pointed to broad demand across markets and recently launched products.

Growth Broadens Across Core Markets

Consolidated revenue increased 12 percent from the prior-year quarter to 1.986 billion US dollars. Operating income climbed 34 percent to 612 million US dollars, while gross margin expanded to 63.3 percent from 59.1 percent.

Fitness revenue rose 16 percent to 694.3 million US dollars, led by wearable demand. Outdoor revenue gained 20 percent to 597.3 million US dollars, supported by adventure watches. Marine revenue increased 16 percent to 309.9 million US dollars, and aviation sales advanced 5 percent to 252.7 million US dollars.

Auto OEM remained the weak spot. Revenue in the segment fell 20 percent to 131.9 million US dollars, and Garmin recorded an operating loss of 11.9 million US dollars. The contrast leaves the company's consumer and marine businesses carrying more of the growth burden while automotive remains a drag.

Higher Guidance Meets Cost Pressure

Garmin now expects 2026 revenue of 8.15 billion US dollars and pro forma diluted earnings per share of 10.80 US dollars. The company also raised its full-year gross-margin assumption to 61.0 percent and its operating-margin assumption to 29.0 percent; the projected tax rate remains 16.5 percent.

Chief Executive Officer Cliff Pemble said the higher outlook reflects performance through the first three quarters and momentum entering the holiday selling season. The quarter's margin expansion also benefited from favorable product mix, lower product costs and about 33 million US dollars in refunds of previously paid tariffs. Management cautioned that memory costs are part of the margin outlook and could weigh more heavily as the year progresses.

Investor Focus Turns To Execution

Garmin stock traded at 260.10 euros on Lang & Schwarz at 12:06 CET on Tuesday, November 10, 2026. The quote provides a current trading reference, while the company's raised earnings targets give investors a fresh benchmark for the holiday quarter.

The broader U.S. market backdrop is available through current S&P 500 market reports.

Investors will next weigh holiday demand, memory-related cost inflation and the weak Auto OEM business against Garmin's raised targets. More news and analyses on Garmin stock remain available as the company moves toward its next quarterly update.