UBS upgrades Scotts Miracle‑Gro to Buy and cuts price target to $70
+1 new source since this summary was written
UBS raised its rating on Scotts Miracle‑Gro (SMG) from Neutral to Buy and set a new price target of $70, down from $78, citing a 40% upside potential. The broker highlighted low‑single‑digit organic revenue growth and productivity initiatives as drivers of earnings growth through fiscal 2027. SMG reported fiscal Q3 2026 adjusted earnings of $2.82 per share on revenue of $1.17 billion, beating estimates and prompting UBS to raise its full‑year EPS outlook. Shares jumped about 7% after the upgrade.
Why it matters
UBS says the lower price target still reflects a 40% upside, implying the stock may be undervalued and could appreciate if earnings growth materialises. The rating upgrade to Buy may attract buy‑side interest and support the recent 7.2% price gain.
Key facts
- 1UBS upgraded SMG to Buy from Neutral and set a price target of $70, down from $78. investing.com
- 2UBS said the new target represents 40% upside from current levels. investing.com
- 3SMG’s shares were trading at $49.72, just above the 52‑week low of $47.90. investing.com
- 4SMG reported fiscal Q3 2026 adjusted earnings of $2.82 per share. investing.com
- 5SMG’s Q3 2026 revenue was $1.17 billion, a 1% increase year‑over‑year. investing.com
- 6SMG shares rose about 7.2% after the UBS upgrade. seekingalpha.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.