The tech sector is on fire. Fueled by the AI boom, companies like Nvidia, Apple, and Microsoft have been handing investors triple-digit returns this year. But let's be honest – these stocks are getting expensive. Nvidia is trading at more than 200 times earnings! Are these high-flyers about to come crashing back down to earth? Wall Street legend Eric Fry is warning about a potential “tech reset.” He’s telling his readers, “The ‘easy ride’ might be over for now.”
So, what's an investor to do? Do you jump into these overbought tech giants and risk getting burnt? Or do you sit on the sidelines and watch everyone else get rich?
The good news is, you don't have to choose.
We've identified a company that has been quietly crushing both Apple and Microsoft in the last year – AND pays a solid dividend. This is the kind of under-the-radar gem you need in your portfolio right now, especially with so much uncertainty in the market.
Here's the play:
Garmin (GRMN): The Undisputed Champion of Navigation
Garmin might not be the sexiest name in tech. It's not developing the next ChatGPT or launching a fleet of self-driving cars. But the company is incredibly profitable, consistently growing, and has built a dominant position in a market that's set to explode.
What market is that? Fitness trackers
Statista estimates that the global fitness tracker market is worth nearly $40 billion today – up from less than $10 billion in 2017. And the boom isn’t going to stop anytime soon. By 2029, this market is projected to be worth more than $56 billion.
Garmin has long been the leader in GPS navigation systems – for cars, boats, planes… and even for us regular folks who just want to find our way to the nearest Starbucks. But the company has also built a dominant position in the fitness tracker space with its popular Forerunner and Fenix smartwatches.
These wrist-worn gadgets are no longer just for tracking your steps and calories. They’re packed with advanced features, such as heart rate monitoring, sleep tracking, and even blood oxygen levels. And with the rise of interest in personalized healthcare and preventative medicine, demand is set to skyrocket.
Here’s why Garmin (GRMN) is a strong buy right now:
- Outperforming the Giants: Garmin’s stock is up an incredible 61% over the last year, more than doubling the gains of both Apple and the broader S&P 500.
- Strong and Consistent Growth: The company recently reported a 20% year-over-year increase in operating income, along with a 14% revenue increase.
- Profitability Powerhouse: Garmin boasts impressive margins on its products and services – far exceeding those of its peers in the communication equipment industry.
- Solid Dividend Payer: In addition to strong growth, Garmin pays a respectable dividend, making it an attractive option for both income-seeking and growth investors.
What's the Guru Saying?
Chad Stone, Managing Editor of Money & Markets Daily, is bullish on Garmin, calling it a “Strong Bullish” Buy. He highlights the stock’s impressive ratings in Adam O’Dell’s Green Zone Power Ratings system, including a 95 rating for Momentum. He says:
“This is why I love our system. Garmin isn’t making headlines on all the popular financial news sites. It’s a relatively boring company that’s focused on developing pinpoint accurate GPS technology for everyone from the U.S. military to you and me training for 5K. And yet, GRMN stock is up 61% over the last year, more than doubling AAPL and the broader S&P 500.”
Stone is confident that Garmin’s strong fundamentals and its growing dominance in the fitness tracker market will continue to fuel its growth, making it a solid buy for long-term investors. Click here to read Chad’s full analysis.
What Should You Do?
When a stock is flying under the radar, like Garmin is right now, it’s time to take notice. The fundamentals are strong, the growth potential is huge, and the demand for fitness trackers is only going to increase. So, what are you waiting for? Add Garmin (GRMN) to your watchlist RIGHT NOW.
But Garmin is just the beginning. Investors are second-guessing themselves after the Fed's major rate cut. Will this be a “good” rate cut that stimulates economic growth or a “bad” rate cut that pushes us into recession? Tomorrow, we'll reveal a stock that could hand you triple-digit returns. The kicker, this stock is likely to soar, no matter who wins the election!
