Zacks Research Brokers Raise Earnings Estimates for SMG

Key Points

• Zacks Research raised its earnings outlook for Scotts Miracle-Gro (NYSE:SMG), lifting Q2 2027 EPS estimates to $4.26 from $4.10 and also increasing forecasts for FY2027 and FY2028.
• Scotts Miracle-Gro recently beat Wall Street expectations, reporting Q1 EPS of $4.53 versus the $3.97 consensus and revenue of $1.46 billion, up 2.7% year over year.
• Analyst sentiment remains mixed but broadly constructive, with an average “Moderate Buy” rating and a consensus price target of $73.50, while the stock traded near $56.37 and also carried a 4.7% dividend yield.

The Scotts Miracle-Gro Company (NYSE:SMG - Free Report) - Equities researchers at Zacks Research upped their Q2 2027 EPS estimates for Scotts Miracle-Gro in a report issued on Monday, May 18th. Zacks Research analyst Team now anticipates that the basic materials company will post earnings per share of $4.26 for the quarter, up from their prior estimate of $4.10. The consensus estimate for Scotts Miracle-Gro's current full-year earnings is $4.35 per share. Zacks Research also issued estimates for Scotts Miracle-Gro's Q3 2027 earnings at $2.59 EPS, FY2027 earnings at $4.50 EPS, Q2 2028 earnings at $4.22 EPS and FY2028 earnings at $4.73 EPS.

Scotts Miracle-Gro (NYSE:SMG - Get Free Report) last issued its quarterly earnings results on Wednesday, April 29th. The basic materials company reported $4.53 earnings per share for the quarter, beating the consensus estimate of $3.97 by $0.56. Scotts Miracle-Gro had a negative return on equity of 79.61% and a net margin of 3.27%.The company had revenue of $1.46 billion during the quarter, compared to the consensus estimate of $1.41 billion. During the same period in the previous year, the firm posted $3.98 EPS. Scotts Miracle-Gro's revenue was up 2.7% on a year-over-year basis.

Several other equities analysts also recently weighed in on SMG. Weiss Ratings reiterated a "hold (c)" rating on shares of Scotts Miracle-Gro in a research report on Monday, May 4th. Wells Fargo & Company dropped their price objective on shares of Scotts Miracle-Gro from $75.00 to $72.00 and set an "overweight" rating for the company in a research note on Wednesday, April 8th. Jefferies Financial Group reiterated a "buy" rating and set a $79.00 price objective on shares of Scotts Miracle-Gro in a report on Wednesday, April 29th. Stifel Nicolaus set a $76.00 target price on shares of Scotts Miracle-Gro in a research report on Tuesday, May 12th. Finally, JPMorgan Chase & Co. downgraded shares of Scotts Miracle-Gro from an "overweight" rating to a "neutral" rating and lowered their target price for the company from $70.00 to $67.00 in a report on Thursday, March 26th. Four investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $73.50.

Scotts Miracle-Gro Stock Down 2.0%

Shares of NYSE:SMG opened at $56.37 on Wednesday. The company has a market cap of $3.28 billion, a P/E ratio of 31.49 and a beta of 1.88. The business has a fifty day simple moving average of $62.56 and a 200-day simple moving average of $61.40. Scotts Miracle-Gro has a 52 week low of $52.00 and a 52 week high of $72.35.

Scotts Miracle-Gro Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, June 5th. Shareholders of record on Friday, May 22nd will be given a dividend of $0.66 per share. This represents a $2.64 dividend on an annualized basis and a yield of 4.7%. The ex-dividend date of this dividend is Friday, May 22nd. Scotts Miracle-Gro's payout ratio is 147.49%.

Insider Buying and Selling

In other news, EVP Mark J. Scheiwer purchased 693 shares of the company's stock in a transaction on Tuesday, February 24th. The stock was bought at an average cost of $71.44 per share, for a total transaction of $49,507.92. Following the completion of the purchase, the executive vice president directly owned 15,370 shares of the company's stock, valued at $1,098,032.80. The trade was a 4.72% increase in their position. The purchase was disclosed in a document filed with the SEC, which is available at this hyperlink. 24.40% of the stock is owned by corporate insiders.

Institutional Trading of Scotts Miracle-Gro

A number of institutional investors have recently modified their holdings of SMG. State Street Corp raised its holdings in Scotts Miracle-Gro by 1.1% in the second quarter. State Street Corp now owns 1,522,093 shares of the basic materials company's stock valued at $100,397,000 after buying an additional 16,298 shares during the period. Arrowstreet Capital Limited Partnership increased its position in shares of Scotts Miracle-Gro by 161.1% in the first quarter. Arrowstreet Capital Limited Partnership now owns 1,289,974 shares of the basic materials company's stock worth $78,443,000 after acquiring an additional 795,970 shares in the last quarter. Ameriprise Financial Inc. raised its stake in shares of Scotts Miracle-Gro by 29.5% in the 3rd quarter. Ameriprise Financial Inc. now owns 1,165,367 shares of the basic materials company's stock valued at $66,368,000 after acquiring an additional 265,677 shares during the period. Captrust Financial Advisors raised its stake in shares of Scotts Miracle-Gro by 0.3% in the 4th quarter. Captrust Financial Advisors now owns 1,157,714 shares of the basic materials company's stock valued at $67,553,000 after acquiring an additional 2,899 shares during the period. Finally, Deprince Race & Zollo Inc. lifted its holdings in shares of Scotts Miracle-Gro by 4.9% during the 1st quarter. Deprince Race & Zollo Inc. now owns 1,087,339 shares of the basic materials company's stock valued at $66,121,000 after acquiring an additional 51,148 shares in the last quarter. Hedge funds and other institutional investors own 74.07% of the company's stock.

Scotts Miracle-Gro Company Profile

Scotts Miracle-Gro Company is a leading developer, manufacturer and distributor of consumer lawn and garden products. The firm serves both retail and professional customers through an array of branded offerings that include lawn fertilizers, grass seed, pest and disease control solutions, plant foods and specialty products for indoor and outdoor gardening. Its portfolio spans well-known names such as Scotts®, Miracle-Gro®, Ortho® and various hydroponic and specialty garden brands.

Headquartered in Marysville, Ohio, the company traces its roots to O.M.

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