Garmin Expands Marine Portfolio With MM55 & 55-HR Devices

Garmin GRMN launched the JL Audio MediaMaster 55 and 55-HR next-generation marine and powersports source units.

The MM55 features a 2.8-inch full-color LCD display with larger icons, simplified menus and a refreshed color palette, while the MM55-HR is a versatile helm device that can be mounted in various areas around a boat or vehicle, enhancing its efficiency.

These devices also offer connectivity options like digital AM/FM tuner, DAB+ radio, Bluetooth, analog AUX input and USB connection. With advanced Bluetooth Low Energy technology, users can control the devices using the MediaMaster Remote App or a compatible multifunction display.

Garmin is expected to gain solid traction across anglers, sailors, mariners and boat owners on the back of its newly launched devices.

Expanding Marine Portfolio Aid Prospects

Per a Skyquest report, the global marine electronics market is expected to reach $8.13 billion by 2030, witnessing a CAGR of 5.2% between 2023 and 2030. Garmin is well-positioned to capitalize on this solid growth opportunity on the back of its expanding marine offerings.

Recently, the company introduced the Panoptix PS22-IF Ice Fishing Bundle, a live sonar solution for hardwater anglers. The bundle features an ECHOMAP UHD2 73sv touchscreen combo and two Panoptix sonar modes for ice fishing.

Garmin introduced the Force Kraken trolling motor series, available with a 48-inch shaft length for smaller boat sizes. Its wireless integration with Garmin chartplotters and smartwatches allows for easy route creation and installation of live sonar. Anglers can navigate from anywhere with the included wireless remote, and a compatible Garmin smartwatch can be connected for control.

It also expanded its GPSMAP x3 family with the introduction of GPSMAP 16x3 chartplotters. These chartplotters boast a high-resolution 16-inch touchscreen display with built-in navigation and sonar support, offering superior clarity and sunlight readability, even with polarized sunglasses.

Portfolio Strength: Key Catalyst

Garmin shares have rallied 36.5% in the year-to-date period, outperforming the industry's growth of 13.9%. The company has been riding on its portfolio strength. Hence, expanding marine offerings bodes well for its overall portfolio strength.

Garmin recently added two slimline radios to the GTR 205 COMM radio series for the experimental aviation market. The newly launched GTR 205x and GTR 205xR are all-in-one radios and stereo intercoms with Bluetooth functionality for phone calls and media entertainment. Pilots can stream music, receive calls, view phone numbers, and see device strength and battery life on the panel-mount version.

It expanded its outdoor offerings with the launch of a laser range finder, Approach Z30, to deliver an enhanced experience to golfers with its advanced ranging performance and Range Relay feature.

Garmin also partnered with Alphabet's Google to bolster its smartwatch offerings.

Per the terms, Alphabet's YouTube Music app is now available on Garmin IQ Connect smartwatches, allowing users to add playlists and podcasts to their devices.

A strengthening portfolio is expected to continue driving Garmin's overall financial performance in the upcoming period.

For 2024, Garmin expects total revenues of $5.75 billion. The Zacks Consensus Estimate for 2024 total revenues stands at $5.90 billion, indicating year-over-year growth of 12.9%.

It expects 2024 earnings at $5.40 per share. The consensus mark for 2024 earnings is pegged at $5.77 per share, indicating a 3.2% rise from the year-ago figure. The figure has been revised upward by 0.5% in the past 60 days.

Zacks Rank & Other Stocks to Consider

Currently, Garmin carries a Zacks Rank #3 (Hold).

Some better-ranked stocks in the broader technology sector are PayPal PYPL and Badger Meter BMI, each sporting a Zacks Rank #1 (Strong Buy) at present.

PayPal shares have gained 0.7% in the year-to-date period. The long-term earnings growth rate for PYPL is 14.79%.

Badger Meter shares have gained 27% in the year-to-date period. The long-term earnings growth rate for BMI is currently projected at 15.57%.

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