Manufactures and markets lawn care products, including fertilizers and grass seeds. Offers gardening and landscape products like plant foods and potting mixes. Now — the numbers.
This is an established company with proven profits.
The gap is $2.3B. In times of high interest rates, a gap like that can squeeze a company.
The market pays 22.6× for every dollar of annual profit — around what a business like this usually costs.
Against companies in its own sector, it looks cheaper than 72% of them.
Analysts' average target sits 37% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Clearly above the class average — a step short of the very top.
Clearly below the class average.
Clearly below the class average.
Financial Strength: The cash-and-debt balance is thin; the buffer for hard times is slim.
Growth: Sales growth trails the sector average.
An investor who bought at the very peak is down 68% today. The business is the same; what changed most is the price — and the expectations — the market pins on it.
It met or beat analyst expectations in 7 of the last 8 quarters — consistency is a promise kept.
Over the last 12 months, company executives reported 58 buys and 6 sells. Management buying with its own money is usually read as a good sign.
It pays out $2.64 per share each year — regular cash for whoever holds the stock.
Over the last 4 years, sales fell about 9% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
The balance sheet offers little cushion against a rough stretch. Report-card grade: 19/100.
The growth engine is running at low revs right now. Report-card grade: 33/100.
On our five-subject report card, SMG sits in the middle of the class: some subjects shine, others don’t. The grade moves as the numbers move.
The takeaway: SMG is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Not covered, because the filings we hold do not carry it: the revenue breakdown.