14 Best Farmland and Agriculture Stocks Buy Now

9. The Scotts Miracle-Gro Company (NYSE:SMG)

Number of Hedge Fund Holders: 33

The Scotts Miracle-Gro Company (NYSE:SMG) manufactures and markets branded garden and lawn care consumer products. Its segments are divided into US Consumer, Hawthorne, and Other. The US Consumer segment offers various consumer lawn and garden products, including Scotts and Turf Builder lawn fertilizer and grass seed products, Ortho herbicide and pesticide products, Miracle-Gro soil, plant food and gardening products, and Tomcat rodent control and animal repellent products. Its brand portfolio primarily comprises Gavita, General Hydroponics, Gro Pro, Botanicare, Agrolux, Mother Earth, and more.

The company reported better-than-expected fiscal Q1 2025 results, with its EPS of -$0.89 exceeding expectations of -$1.23. It also reported a 1.56% growth in revenue, reaching $416.8 million and surpassing estimates by $24.76 million. The Scotts Miracle-Gro Company (NYSE:SMG) is focusing on expanding its market share and customer base by investing an additional $40 million in its operations, ranging from innovation to brand support. A significant share of this investment is focused on advertising. The company is also developing a multi-year plan to optimize its business and slash costs, which will result in $400 million in annual savings.

On April 2, Truist analyst Bill Chappell upgraded Scotts Miracle-Gro Company (NYSE:SMG) to Buy from Hold with an unchanged price target of $70. The analyst told investors that the lawn and garden category in the US has finally normalized after COVID-19. According to the analyst, both Scotts Miracle-Gro Company (NYSE:SMG) and the sector are well-positioned to manage the macroturbulence anticipated to affect consumers over the next year. The analyst also said that the stock’s valuation is “highly attractive on a historical basis.”