The first time I saw a Garmin (GRMN) GPS was in a rental car when I visited San Francisco with my parents. After loading our luggage in the trunk we were greeted with a little screen asking us where we would like to go. We typed in the address to our hotel. Garmin navigated us through a series of lefts, rights and then announced we arrived at our destination. I remember thinking it would've been difficult to navigate all the one way streets with a traditional map. Garmin took a lot of stress out of our vacation by taking us all over the streets of San Francisco, across the Golden Gate bridge, to Sausalito, into Muir Woods and my favorite part Napa Valley's wine country. 

 

Since then, Garmin's GPS systems became standard equipment on most everyone's dashboard. At least until iPhone and Android users realized they could use their cell phone with Apple or Google Maps. What happened to Garmin? Did it go out of business?

 

Judging by it's stock price, it looks like Garmin is alive and well. It's currently trading around $162 per share. Right around it's all-time high of $178. Does that surprise you?

Click on the image above to view a full size chart of Garmin.

I came across Garmin's stock while reading the annual report of a boat manufacturer. I loved boating as a kid so boat companies are on my circle of competence list. The CEO mentioned in his annual letter to shareholders that many of his boats came with Garmin as standard equipment. I thought Garmin must be doing something special to have a CEO specifically call out their brand. At this point, I'd like to tell you I stayed focused and finished reading the CEO's annual letter, but curiosity got the best of me. I quickly launched QuickFS.net (my go to website for analyzing company financials). I typed Garmin into the company search window and put the company through my initial financial screening to see if they are worth researching. 

Most times when I check a company's financials I come up empty handed, but this Garmin looked very promising. Garmin went to the top of my list of companies to research. 

 

When I finally got around to digging into Garmin I was pleasantly surprised to find their technology all over the boat. They make: 

The story gets even better because my wife and I were talking to our neighbor who owns a small plane and loves to fly. He mentioned he had autopilot on his plane. He said it's nice because his wife is afraid to take the controls, so autopilot gives him a break on the longer flights. I knew larger aircraft had autopilot, but not the smaller planes. He said, “the technology available for small planes is pretty amazing. Garmin has a technology called Autoland. If something happens to the pilot, you can push the Autoland button. Garmin will take control of the plane, communicate with the nearest tower and safely land the plane.” I was blown away by this company. Not only have they reinvented themselves, but they are doing it in mission critical applications within specialized markets.    

Those are just a few of the spaces Garmin operates in. They do a whole lot more than marine and aviation; its a fascinating company using technology to make the world a safer place.

 

I know not everyone has the time to research companies, but to be honest neither did I until I created an investing group that met twice a month. Since I had to present a company every two weeks, it forced me to do my homework and be prepared to make an interesting presentation. I now look at investing and researching companies as a treasure hunt. Sometimes the stock may be an average company, but sometimes you uncover a hidden gem that's been tossed aside like Garmin. That's what makes investing exciting.

 

If you'd like to learn more about Garmin and other fascinating companies, then stay tuned. I'm planning to do a series called Spotlight Stock Reviews this fall. These are one-hour presentations on great businesses I've come across on my investing journey. You'll learn about the company, financial position, competitive advantages, management team and if the company is on sale. Click on the link for additional information about Spotlight Stock Reviews and join the wait list. 

 

 

I bought one of the first iPods after watching Steve Jobs pitch them at an Apple event. I loved the idea of having all my music loaded on an iPod and having the ability to take it in the car or on a walk. The real magic of the iPod was discovering the world of Podcasts. 

 

When podcasts first began, I had no idea what a Podcast was, so I clicked on it and all these genres came up: 

Naturally, I clicked on Business. Podcasts were just getting started back then, so there wasn't the selection there is today. Within the business section I found investing podcasts. Since I was trying to figure out how to invest like Warren Buffett, I was excited to find shows like Gannon on Investing & The Value Guys that looked for bargains stocks. The sound quality wasn't great, but I didn't care because I was learning so much about investing. As more podcasters came on the scene, the investing and personal finance section began expanding. I started going for walks twice a day just to listen to my podcasts. I even looked forward to my commute to and from work. I had my own private Investing University that I could take anywhere. 

 

Podcasts have contributed greatly to my investing education over the years. The thing I love most about podcasts is how convenient they are to consume. They are short (typically 15 to 30 minutes long) perfect for a walk around the neighborhood. I had the whole family listening to Dave Ramsey's personal finance podcast on the way to Mimi's house (a 40 minute ride). Only time will tell, but hopefully Teddy picked up some of Dave's teachings and the importance of being debt free. 

 

One of my favorite podcasts is called Motley Fool Money. I don't follow the Motley Fool's investing style or subscribe to their newsletters, but they have introduced to new companies and keep me updated on current investing and company news. If you're looking to get your investing university started, then the Motley Fool is my first recommendation. Fool On!