Garmin (GRMN) Expands Automotive Solutions With dezlCam OTR710
Garmin GRMN is consistently working toward strengthening its navigator offerings on the back of advanced features.
This is evident from the fact that the company recently released the dezlCam OTR710 truck navigator.
dezlCam OTR710 is equipped with high-definition dash cam featuring a wide 140-degree field of view that records complete driving and saves accident-related videos.
On the back of the enriched dash cam, the navigator provides tech-enabled driving assistance to drivers so that they can drive safely. Also, dezlCam OTR710 can be easily integrated with Garmin dezl Headsets, an Instinct 2 – dezl Edition smartwatch and BC 50 wireless backup camera.
With the dezlCam OTR710, Garmin aims to provide an enhanced driving experience to the truck drivers. Hence, Garmin is likely to witness a strong adoption of dezlCam OTR710 owing to a built-in dash cam.
This, in turn, is expected to aid the performance of GRMN’s automotive segment in the near term.
The automotive segment generated sales of $138.3 million, accounting for 11.8% of total first-quarter 2022 revenues. Also, revenues were up 11% from the prior-year quarter’s reading.
The latest move is likely to contribute well to GRMN’s top-line growth. This, in turn, is likely to help Garmin win investors’ confidence in the days ahead.
Shares of Garmin have been down 23.6% in the year-to-date period, outperforming the Computer and Technology sector’s decline of 29.4%.
Garmin Ltd. Price and Consensus
Garmin Ltd. price-consensus-chart | Garmin Ltd. Quote
Efforts to Boost Prospects
With the useful features of dezlCam OTR710, Garmin remains well-poised to capitalize on the prospects present in the booming automotive navigation systems market.
The market is witnessing significant growth owing to the increasing adoption of car GPS navigation system, rising demand for accurate navigation products and growing investments in automotive infrastructure.
Per a Market Research Future report, the underlined market is expected to be worth $43 billion by 2027, seeing a CAGR of 7% between 2021 and 2027.
Expanding Automotive Offerings
The latest move bodes well for GRMN’s growing efforts toward expanding its automotive segment.
Apart from the recent release of dezlCam OTR710, last month, Garmin launched the dezl OTR series of trucking navigators that features arrival planning with automatic birds-eye satellite imagery for high-resolution aerial views during truck entrances, at security gates and for loading at dock destinations.
GRMN also unveiled the dezl Headset series featuring high-quality audio, active noise cancellation and a battery life of up to 50 hours to provide a better travel experience to drivers on the road.
In February, Garmin launched the Instinct 2 – dezl Edition smartwatch to help truck drivers track of their health while on the road.
With the consistent increase in the number of automotive solutions, Garmin is bolstering its automotive segment, which became integral to GRMN.
Zacks Rank & Stocks to Consider
Currently, Garmin carries a Zacks Rank #3 (Hold). Investors interested in the broader Zacks Computer & Technology sector can consider some better-ranked stocks like Aspen Technology AZPN, Agilent Technologies A and Analog Devices ADI. While Aspen technology sports a Zacks Rank #1 (Strong Buy), Agilent Technologies and Analog Devices carry a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Aspen technology has returned 23.5% in the year-to-date period. The long-term earnings growth rate for AZPN is currently projected at 18.4%.
Analog Devices has lost 15.5% in the year-to-date period. The long-term earnings growth rate for ADI is currently projected at 12.3%.
Agilent Technologies has lost 22.8% in the year-to-date period. The long-term earnings growth rate for A is currently projected at 10%.
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