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ARM vs. GRMN: A Head-to-Head Stock Comparison

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Here’s a clear look at ARM and GRMN, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

ARM trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, GRMN is a standard domestic listing.

SymbolARMGRMN
Company NameArm Holdings plcGarmin Ltd.
CountryUnited KingdomSwitzerland
GICS SectorInformation TechnologyConsumer Discretionary
GICS IndustrySemiconductors & Semiconductor EquipmentHousehold Durables
Market Capitalization161.69 billion USD49.48 billion USD
ExchangeNasdaqGSNYSE
Listing DateSeptember 14, 2023December 8, 2000
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of ARM and GRMN by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

ARM vs. GRMN: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolARMGRMN
5-Day Price Return9.18%4.70%
13-Week Price Return-1.58%19.69%
26-Week Price Return42.93%18.39%
52-Week Price Return11.39%49.41%
Month-to-Date Return7.88%4.40%
Year-to-Date Return23.74%24.63%
10-Day Avg. Volume4.17M0.74M
3-Month Avg. Volume4.67M0.87M
3-Month Volatility47.93%25.45%
Beta2.571.04

Profitability

Return on Equity (TTM)

ARM

10.64%

Semiconductors & Semiconductor Equipment Industry

Max
47.13%
Q3
23.50%
Median
9.94%
Q1
0.86%
Min
-20.69%

ARM’s Return on Equity of 10.64% is on par with the norm for the Semiconductors & Semiconductor Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

GRMN

19.82%

Household Durables Industry

Max
27.70%
Q3
17.40%
Median
12.87%
Q1
7.33%
Min
-5.50%

In the upper quartile for the Household Durables industry, GRMN’s Return on Equity of 19.82% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

ARM vs. GRMN: A comparison of their Return on Equity (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Net Profit Margin (TTM)

ARM

16.96%

Semiconductors & Semiconductor Equipment Industry

Max
52.41%
Q3
23.88%
Median
10.17%
Q1
1.21%
Min
-32.15%

ARM’s Net Profit Margin of 16.96% is aligned with the median group of its peers in the Semiconductors & Semiconductor Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.

GRMN

23.21%

Household Durables Industry

Max
16.37%
Q3
9.18%
Median
6.63%
Q1
3.85%
Min
-3.29%

GRMN’s Net Profit Margin of 23.21% is exceptionally high, placing it well beyond the typical range for the Household Durables industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

ARM vs. GRMN: A comparison of their Net Profit Margin (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Operating Profit Margin (TTM)

ARM

18.51%

Semiconductors & Semiconductor Equipment Industry

Max
58.09%
Q3
27.54%
Median
11.18%
Q1
3.31%
Min
-28.36%

ARM’s Operating Profit Margin of 18.51% is around the midpoint for the Semiconductors & Semiconductor Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.

GRMN

26.02%

Household Durables Industry

Max
21.32%
Q3
12.25%
Median
9.93%
Q1
5.57%
Min
-1.07%

GRMN’s Operating Profit Margin of 26.02% is exceptionally high, placing it well above the typical range for the Household Durables industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

ARM vs. GRMN: A comparison of their Operating Profit Margin (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Profitability at a Glance

SymbolARMGRMN
Return on Equity (TTM)10.64%19.82%
Return on Assets (TTM)8.01%16.05%
Net Profit Margin (TTM)16.96%23.21%
Operating Profit Margin (TTM)18.51%26.02%
Gross Profit Margin (TTM)97.14%58.94%

Financial Strength

Current Ratio (MRQ)

ARM

4.99

Semiconductors & Semiconductor Equipment Industry

Max
6.58
Q3
4.24
Median
2.73
Q1
2.13
Min
1.02

ARM’s Current Ratio of 4.99 is in the upper quartile for the Semiconductors & Semiconductor Equipment industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

GRMN

3.01

Household Durables Industry

Max
6.09
Q3
3.79
Median
2.54
Q1
1.23
Min
0.83

GRMN’s Current Ratio of 3.01 aligns with the median group of the Household Durables industry, indicating that its short-term liquidity is in line with its sector peers.

ARM vs. GRMN: A comparison of their Current Ratio (MRQ) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Debt-to-Equity Ratio (MRQ)

ARM

0.00

Semiconductors & Semiconductor Equipment Industry

Max
1.09
Q3
0.48
Median
0.25
Q1
0.01
Min
0.00

Falling into the lower quartile for the Semiconductors & Semiconductor Equipment industry, ARM’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

GRMN

0.00

Household Durables Industry

Max
1.89
Q3
0.87
Median
0.34
Q1
0.19
Min
0.00

Falling into the lower quartile for the Household Durables industry, GRMN’s Debt-to-Equity Ratio of 0.00 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

ARM vs. GRMN: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Interest Coverage Ratio (TTM)

ARM

6.95

Semiconductors & Semiconductor Equipment Industry

Max
174.00
Q3
74.71
Median
26.06
Q1
6.43
Min
-7.80

ARM’s Interest Coverage Ratio of 6.95 is positioned comfortably within the norm for the Semiconductors & Semiconductor Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

GRMN

73.26

Household Durables Industry

Max
140.40
Q3
77.14
Median
24.53
Q1
5.69
Min
-17.01

GRMN’s Interest Coverage Ratio of 73.26 is positioned comfortably within the norm for the Household Durables industry, indicating a standard and healthy capacity to cover its interest payments.

ARM vs. GRMN: A comparison of their Interest Coverage Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Financial Strength at a Glance

SymbolARMGRMN
Current Ratio (MRQ)4.993.01
Quick Ratio (MRQ)4.771.88
Debt-to-Equity Ratio (MRQ)0.000.00
Interest Coverage Ratio (TTM)6.9573.26

Growth

Revenue Growth

ARM vs. GRMN: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

ARM vs. GRMN: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

ARM

0.00%

Semiconductors & Semiconductor Equipment Industry

Max
3.72%
Q3
1.51%
Median
0.69%
Q1
0.00%
Min
0.00%

ARM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

GRMN

1.22%

Household Durables Industry

Max
9.61%
Q3
3.97%
Median
2.00%
Q1
0.18%
Min
0.00%

GRMN’s Dividend Yield of 1.22% is consistent with its peers in the Household Durables industry, providing a dividend return that is standard for its sector.

ARM vs. GRMN: A comparison of their Dividend Yield (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Dividend Payout Ratio (TTM)

ARM

0.00%

Semiconductors & Semiconductor Equipment Industry

Max
205.27%
Q3
88.01%
Median
27.13%
Q1
0.00%
Min
0.00%

ARM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

GRMN

38.63%

Household Durables Industry

Max
129.55%
Q3
65.55%
Median
42.15%
Q1
6.45%
Min
0.00%

GRMN’s Dividend Payout Ratio of 38.63% is within the typical range for the Household Durables industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

ARM vs. GRMN: A comparison of their Dividend Payout Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Dividend at a Glance

SymbolARMGRMN
Dividend Yield (TTM)0.00%1.22%
Dividend Payout Ratio (TTM)0.00%38.63%

Valuation

Price-to-Earnings Ratio (TTM)

ARM

230.50

Semiconductors & Semiconductor Equipment Industry

Max
106.30
Q3
61.93
Median
38.96
Q1
23.71
Min
13.06

At 230.50, ARM’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Semiconductors & Semiconductor Equipment industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

GRMN

31.62

Household Durables Industry

Max
33.67
Q3
19.33
Median
12.58
Q1
9.62
Min
6.48

A P/E Ratio of 31.62 places GRMN in the upper quartile for the Household Durables industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

ARM vs. GRMN: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Price-to-Sales Ratio (TTM)

ARM

39.10

Semiconductors & Semiconductor Equipment Industry

Max
19.99
Q3
10.21
Median
5.23
Q1
2.88
Min
1.13

With a P/S Ratio of 39.10, ARM trades at a valuation that eclipses even the highest in the Semiconductors & Semiconductor Equipment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

GRMN

7.34

Household Durables Industry

Max
2.54
Q3
1.39
Median
0.90
Q1
0.54
Min
0.19

With a P/S Ratio of 7.34, GRMN trades at a valuation that eclipses even the highest in the Household Durables industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

ARM vs. GRMN: A comparison of their Price-to-Sales Ratio (TTM) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Price-to-Book Ratio (MRQ)

ARM

24.45

Semiconductors & Semiconductor Equipment Industry

Max
14.22
Q3
6.94
Median
4.29
Q1
1.99
Min
0.67

At 24.45, ARM’s P/B Ratio is at an extreme premium to the Semiconductors & Semiconductor Equipment industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

GRMN

4.95

Household Durables Industry

Max
3.26
Q3
2.01
Median
1.38
Q1
1.00
Min
0.58

At 4.95, GRMN’s P/B Ratio is at an extreme premium to the Household Durables industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

ARM vs. GRMN: A comparison of their Price-to-Book Ratio (MRQ) against their respective Semiconductors & Semiconductor Equipment and Household Durables industry benchmarks.

Valuation at a Glance

SymbolARMGRMN
Price-to-Earnings Ratio (TTM)230.5031.62
Price-to-Sales Ratio (TTM)39.107.34
Price-to-Book Ratio (MRQ)24.454.95
Price-to-Free Cash Flow Ratio (TTM)226.6144.01