William Blair has upgraded Iridium Communications Inc. (IRDM) from Market Perform to Outperform, projecting a potential upside of over 20% in the coming year. This positive outlook comes despite a recent 9% decline in the company's stock following its earnings report. The firm attributes the resilience to Iridium's robust free cash flow, which it believes will withstand even a recessionary climate.
The analyst highlights Iridium’s strategic partnerships as a significant strength. Its collaborations with Garmin Ltd. (GRMN, Financial) and the U.S. government are described as “very healthy.” Moreover, there is speculation that Garmin may introduce a watch with Iridium's satellite connectivity within the next 18 months, which could further boost Iridium’s market position.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for Garmin Ltd (GRMN, Financial) is $207.26 with a high estimate of $265.00 and a low estimate of $159.00. The average target implies an upside of 8.87% from the current price of $190.38. More detailed estimate data can be found on the Garmin Ltd (GRMN) Forecast page.
Based on the consensus recommendation from 10 brokerage firms, Garmin Ltd's (GRMN, Financial) average brokerage recommendation is currently 3.0, indicating "Hold" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Garmin Ltd (GRMN, Financial) in one year is $153.24, suggesting a downside of 19.51% from the current price of $190.3777. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Garmin Ltd (GRMN) Summary page.
