With Spring just around the corner, keep an eye on lawn stock like Scotts Miracle-Gro (SMG).
Oversold at $55.92, SMG could see near-term upside, according to analysts at Stifel. The firm just upgraded SMG to a buy with a price target of $78 a share, noting that investors have underestimated SMG’s resiliency.
“We believe the recent underperformance disproportionately overweight’s universal macroeconomic concerns despite SMG boasting key points of differentiation alongside adverse January/February with the latter a headwind, but in relatively inconsequential months,” they said, as quoted by CNBC “We believe the shares dramatically undervalue the robust near-term earnings recovery and advantaged long-term growth profile stemming from the U.S. Consumer business’s unmatched position of strength.”


Even better, while we wait for the stock to recover, we can collect its 4.72% yield.
The company also announced a quarterly dividend of 66 cents per share, which is payable on March 7 to shareholders of record as of February 21.
Sincerely,
Ian Cooper
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