Garmin stock enters holiday quarter with higher outlook amid cost risks

Published on 11/12/2026 at 12:09 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Garmin stock enters the holiday quarter after record third-quarter results and higher guidance. Rising memory costs remain the key margin risk.

Record quarter meets higher outlook

Garmin reported record third-quarter revenue and operating income on October 28, 2026.
Management raised full-year guidance as holiday-season demand supports the business.
Higher memory costs remain a material margin risk for the fourth quarter and 2027.

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Garmin Ltd. reported record operating results for the third quarter ended September 26, 2026, and raised its full-year outlook on October 28. The company said consolidated revenue reached 1.99 billion US dollars, up 12 percent from the prior-year quarter, while operating income rose 34 percent to 612 million US dollars.

The company also reported a gross margin of 63.3 percent and an operating margin of 30.8 percent. GAAP earnings per share reached 2.80 US dollars, while pro forma earnings per share rose 39 percent to 2.76 US dollars. Garmin attributed the stronger profitability to product mix, lower product costs and other operating factors, including tariff refunds.

Guidance rises into holiday season

Garmin raised its full-year 2026 outlook after the record quarter. The company said demand across its markets, product launches and retailer promotion plans support the important fourth quarter. The outlook puts the focus on execution during the holiday selling season, when demand for fitness and outdoor products is especially relevant to the group.

Management also highlighted a less favorable cost backdrop. Memory and other raw-material prices are rising, and the effect is expected to increase as lower-cost inventory is replaced with components bought at current market prices. That creates a margin risk even as Garmin enters the final quarter with stronger sales momentum.

Garmin Newsroom said the quarter also included the launch of the f?nix 9 and f?nix 9 Pro adventure watch series. The company further reported progress in aviation, including its 1,000th G1000 integrated flight deck retrofit and more than 2,500 aircraft equipped with Garmin Autoland.

What investors watch next

Garmin stock traded at 267.30 euros on Lang & Schwarz at 12:03 CET on Thursday, November 12, 2026. Investors will focus on holiday demand, the pace of component-cost inflation and the ability of Garmin's product mix to protect profitability. The Auto OEM business and the timing of new programs will also remain relevant to the earnings outlook.