Garmin share price takes a dive – Apple related?
Garmin’s share price has today taken a 2% tumble. Not huge in the grand scheme of things but the relative fall compared to the NASDAQ is even greater than 2%. So we should not dismiss this as an ‘insignificant’ event.
I have just reported that Apple is now more widely thought to be planning a competitor to the Fenix 6 / Fenix 7 with a Series 8 Watch purported to be planned for 2022. That Series 8 watch is thought to specifically include a variant that is intended for a more rugged environment. ie a competitor to watches designed for an active OUTDOORS lifestyle as typified by Casio and Garmin products.
Garmin’s Fenix range is one of the biggest earners of bottom-line dollars for the company and I have frequently said on this blog that broad competition by Apple is much closer to hand than many people assume. Whilst an Apple Watch will never be able to meet the rigours of a week-long wilderness adventure or take you up beyond Everest base camp, the VAST majority of the millions who buy a Fenix, buy them for pseudo-lifestyle reasons. The worry is that people who like to buy a Fenix might instead choose to like to buy an Apple. Bang goes 80% of the Fenix sales.
This is probably bigger news than you think…