GMRN – Given management’s confidence in their growth, programs, and product lines, bearish market expectations are unwarranted, and upside is likely

• Garmin Ltd. (GRMN:USA) currently trades above recent averages relative to UAFRS-based (Uniform) Earnings, with an 18.0x Uniform P/E. Even at these levels, the market is pricing in bearish expectations for the firm, which is unwarranted given management’s confidence in their growth, 2020 programs, and retrofit product lines. As such, outperformance is likely justified
• Specifically, management is confident about the potential of new programs starting in 2020, improvements in their retrofit product lines, and double-digit growth in four of their five segments