Key Takeaways:
Scotts Miracle-Gro (SMG, Financial) sees strategic realignment by transferring its Hawthorne Collective subsidiary. Wall Street analysts remain optimistic, with a notable potential upside of 46.77%. GuruFocus estimates suggest a 29.33% upside potential based on the GF Value.
Scotts Miracle-Gro’s Strategic Shift
Shares of Scotts Miracle-Gro (SMG) experienced a 2.7% rise following the announcement of a strategic maneuver—the transfer of its subsidiary, Hawthorne Collective, to a strategic partner. This decision is part of the company’s proactive approach to isolate its cannabis-related ventures from its core operations. The goal is clear: minimize stock volatility while sharpening focus on the consumer business. Importantly, Scotts Miracle-Gro retains the option to reacquire Hawthorne should federal cannabis legalization advance.
Analysts’ Insights and Price Projections
Enthusiasm from Wall Street is evident, with seven analysts presenting a one-year price target for Scotts Miracle-Gro (SMG, Financial). The average target sits at $74.00, with projections ranging from a high of $82.00 to a low of $69.00. This average target reflects an impressive upside potential of 46.77% from the current price of $50.42. For a more comprehensive breakdown, visit the Scotts Miracle-Gro Co (SMG) Forecast page.
Moreover, ten brokerage firms contribute to the consensus recommendation, positioning Scotts Miracle-Gro (SMG, Financial) at an average brokerage rating of 2.0, signifying an “Outperform” status. This scale ranges from 1 (Strong Buy) to 5 (Sell), underscoring a positive outlook from the analyst community.
Understanding the GF Value Estimate
According to GuruFocus projections, the estimated GF Value for Scotts Miracle-Gro (SMG, Financial) in one year is pegged at $65.21. This implies a projected upside of 29.33% from the existing price of $50.42. The GF Value represents GuruFocus’ assessment of a stock’s fair trading value, derived from an analysis of historical trading multiples, business growth trajectories, and future performance estimates. For additional insights, refer to the Scotts Miracle-Gro Co (SMG) Summary page.
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Scotts Miracle-Gro (SMG) sees strategic realignment by transferring its Hawthorne Collective subsidiary. Wall Street analysts remain optim”}]] Read More
