Trimble Inc. (TRMB)’s Financial Results Comparing With Garmin Ltd. (NASDAQ:GRMN)

Trimble Inc. (NASDAQ:TRMB) and Garmin Ltd. (NASDAQ:GRMN) compete with each other in the Scientific & Technical Instruments sector. We will analyze and contrast their risk, analyst recommendations, profitability, dividends, institutional ownership, earnings and valuation.

Earnings & Valuation

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Trimble Inc. 3.11B 3.13 282.80M 1.03 39.00
Garmin Ltd. 3.35B 4.72 694.08M 3.66 23.17

Table 1 shows the top-line revenue, earnings per share (EPS) and valuation for Trimble Inc. and Garmin Ltd. Garmin Ltd. appears to has higher revenue and earnings than Trimble Inc. When business has higher price-to-earnings means it is more expensive than its counterpart presently. Trimble Inc. is thus presently the expensive of the two stocks because it has a higher price-to-earnings ratio.

Profitability

Table 2 hightlights the net margins, return on equity and return on assets of the two companies.

Net Margins Return on Equity Return on Assets
Trimble Inc. 9.09% 10.9% 5.4%
Garmin Ltd. 20.72% 17.5% 13.7%

Volatility and Risk

Trimble Inc. has a beta of 2.18 and its 118.00% more volatile than S&P 500. From a competition point of view, Garmin Ltd. has a 0.96 beta which is 4.00% less volatile compared to S&P 500.

Liquidity

The current Quick Ratio of Trimble Inc. is 0.7 while its Current Ratio is 1. Meanwhile, Garmin Ltd. has a Current Ratio of 2.9 while its Quick Ratio is 2.3. Garmin Ltd. is better positioned to pay off its short-term and long-term debts than Trimble Inc.

Dividends

Garmin Ltd. offers an annual dividend of $2.12 per share, bundled with 2.56% dividend yield. No dividend is paid out by Trimble Inc.

Analyst Ratings

The Ratings and Recommendations for Trimble Inc. and Garmin Ltd. are featured in the next table.

Sell Ratings Hold Ratings Buy Ratings Rating Score
Trimble Inc. 0 0 2 3.00
Garmin Ltd. 1 2 0 2.67

Trimble Inc.?s consensus target price is $43.5, while its potential upside is 12.29%. Meanwhile, Garmin Ltd.?s consensus target price is $75.75, while its potential downside is -9.21%. The results provided earlier shows that Trimble Inc. appears more favorable than Garmin Ltd., based on analyst view.

Institutional & Insider Ownership

Roughly 98.4% of Trimble Inc. shares are held by institutional investors while 46.1% of Garmin Ltd. are owned by institutional investors. Insiders held roughly 0.3% of Trimble Inc.’s shares. Comparatively, Garmin Ltd. has 1.2% of it’s share held by insiders.

Performance

Here are the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of both pretenders.

Performance (W) Performance (M) Performance (Q) Performance (HY) Performance (Y) Performance (YTD)
Trimble Inc. -0.74% 6.88% 6.59% -4.89% 7.56% 22.3%
Garmin Ltd. 1.42% 22.49% 27.66% 24.42% 43.97% 33.83%

For the past year Trimble Inc.’s stock price has smaller growth than Garmin Ltd.

Summary

Garmin Ltd. beats on 13 of the 16 factors Trimble Inc.

Trimble Inc. provides technology solutions to enhance the work processes of office and mobile field professionals worldwide. The company’s Engineering and Construction segment offers field and office software for route selection and design; systems to guide and control construction equipment; systems to monitor, track, and manage assets, equipment, and workers; software to share and communicate data; 3D conceptual design and modeling software; building information modeling software; integrated site layout and measurement systems; applications for sub-contractors and trades; integrated workplace management services software; capital program and facility management solutions; field based data collection systems; and communication systems and back-office software. Its Field Solutions segment provides guidance and positioning, and automated application systems; and information management solutions, as well as systems to collect authoritative field data. The company’s Mobile Solutions segment offers fleet and transportation management, analytics, routing, mapping, reporting, and predictive modeling solution; and work management and scheduling, and worker safety and mobility solutions. Its Advanced Devices segment supplies global navigation satellite system modules (GNSS), licensing and complementary technologies, and GNSS-integrated sub-system solutions; global positioning system receivers and embedded modules; and precision products. The company serves agriculture, architecture, civil engineering, survey and land administration, construction, geospatial, environmental management, natural resources, transportation, and utility sectors, as well as governments. The company was formerly known as Trimble Navigation Limited and changed its name to Trimble Inc. in October 2016. Trimble Inc. was founded in 1978 and is headquartered in Sunnyvale, California.

Garmin Ltd., together with its subsidiaries, designs, develops, manufactures, markets, and distributes a range of navigation, communication, and information devices worldwide. It operates through five segments: Auto, Aviation, Marine, Outdoor, and Fitness. The Auto segment offers personal navigation devices; infotainment solutions; and action cameras, as well as mobile applications under the Garmin and NAVIGON names. The Aviation segment provides navigation, communication, flight control, hazard avoidance, weather radar, radar altimeter, datalink weather, in-cockpit and cloud connectivity, automated logbook, voice and touch control, and other products and services; wearables, portables, and apps; and traffic collision avoidance, and terrain awareness and warning systems. It also offers controller-pilot data link, a suite of automatic dependent surveillance broadcast solutions. The Marine segment provides chartplotters and multi-function displays, fish finders, sounders, autopilot systems, radars, compliant instrument displays, VHF communication radios, handhelds and wrist-worn devices, sailing products, and entertainment products. The Outdoor segment offers outdoor handhelds, wearable devices, golf devices, and dog tracking and training/pet obedience devices. The Fitness segment provides running/multi-sport watches, cycling computers, cycling power meters, cycling safety and awareness products, and activity tracking devices, as well as Garmin Connect and Garmin Connect Mobile, which are Web and mobile platforms for users to track and analyze their fitness and wellness data. The company sells its global positioning system receivers and accessories to retail outlets; and aviation products to aviation dealers and aircraft manufacturers through a network of independent dealers and distributors. Garmin Ltd. was founded in 1990 and is based in Schaffhausen, Switzerland.