Scotts Miracle-Gro Company (NYSE: SMG) has seen a decline in its stock price by -3.86 in relation to its previous close of 69.21. However, the company has experienced a -2.49% decline in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-05-06 that Scotts Miracle-Gro (SMG) records lower sales in the Hawthorne segment in Q2 partly resulting from the weakness in the hydroponic industry.
Is It Worth Investing in Scotts Miracle-Gro Company (NYSE: SMG) Right Now?
The 36-month beta value for SMG is at 1.77. Analysts have varying views on the stock, with 2 analysts rating it as a “buy,” 2 rating it as “overweight,” 5 as “hold,” and 0 as “sell.”
The public float for SMG is 42.25M, and currently, shorts hold a 10.69% of that float. The average trading volume for SMG on May 09, 2024 was 790.15K shares.
SMG’s Market Performance
SMG’s stock has seen a -2.49% decrease for the week, with a -12.52% drop in the past month and a 16.41% gain in the past quarter. The volatility ratio for the week is 3.32%, and the volatility levels for the past 30 days are at 3.41% for Scotts Miracle-Gro Company The simple moving average for the last 20 days is -3.42% for SMG stock, with a simple moving average of 12.80% for the last 200 days.
Analysts’ Opinion of SMG
Many brokerage firms have already submitted their reports for SMG stocks, with Truist repeating the rating for SMG by listing it as a “Hold.” The predicted price for SMG in the upcoming period, according to Truist is $75 based on the research report published on April 05, 2024 of the current year 2024.
Stifel gave a rating of “Hold” to SMG, setting the target price at $72 in the report published on July 13th of the previous year.
SMG Trading at -3.84% from the 50-Day Moving Average
After a stumble in the market that brought SMG to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -14.64% of loss for the given period.
Volatility was left at 3.41%, however, over the last 30 days, the volatility rate increased by 3.32%, as shares sank -7.93% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +9.33% upper at present.
During the last 5 trading sessions, SMG fell by -2.49%, which changed the moving average for the period of 200-days by -2.49% in comparison to the 20-day moving average, which settled at $68.61. In addition, Scotts Miracle-Gro Company saw 4.38% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at SMG starting from Hagedorn Partnership, L.P., who sale 86,356 shares at the price of $65.41 back on Mar 04 ’24. After this action, Hagedorn Partnership, L.P. now owns 13,777,012 shares of Scotts Miracle-Gro Company, valued at $5,648,846 using the latest closing price.
Hagedorn Partnership, L.P., the 10% Owner of Scotts Miracle-Gro Company, sale 15,000 shares at $58.40 during a trade that took place back on Feb 23 ’24, which means that Hagedorn Partnership, L.P. is holding 13,881,368 shares at $876,000 based on the most recent closing price.
Stock Fundamentals for SMG
Current profitability levels for the company are sitting at:
- -0.01 for the present operating margin
- 0.22 for the gross margin
The net margin for Scotts Miracle-Gro Company stands at -0.1. The total capital return value is set at -0.01. Equity return is now at value -47.64, with -7.80 for asset returns.
Based on Scotts Miracle-Gro Company (SMG), the company’s capital structure generated 1.1 points at debt to capital in total, while cash flow to debt ratio is standing at 0.27. The debt to equity ratio resting at -11.23. The interest coverage ratio of the stock is -0.15.
Currently, EBITDA for the company is 97.8 million with net debt to EBITDA at 15.98. When we switch over and look at the enterprise to sales, we see a ratio of 1.9. The receivables turnover for the company is 3.91for trailing twelve months and the total asset turnover is 0.87. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.83.
Conclusion
In conclusion, Scotts Miracle-Gro Company (SMG) has had a mixed performance lately. Opinion on the stock among analysts is mixed, with some giving it a “buy” rating and others a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
