Scotts Miracle-Gro rises 2.9% as it names new chief information officer

What happened

Scotts Miracle-Gro (SMG) rose 2.9% to $50.52 on October 6, 2026, after it appointed Prathima Hegde as senior vice president and chief information officer to support its technology transformation and the SMG 2.0 growth strategy, the company said. The stock opened 0.3% above the previous close and traded at 0.8 times its 20-day average volume. The appointment was reported by GlobeNewsWire and was listed by the company as part of broader efforts to bolster its technology capabilities.

How big was the move

The session was an ordinary one for the stock, measured at 1.2 times a typical daily move. The S&P 500 rose 0.6% on the day and the Basic Materials sector median rose 0.4%, leaving the stock 2.5 percentage points better than the sector median. Over the last five sessions the stock rose 2.1%, while the S&P 500 rose 1.9% in the same period. Trading volume was 0.8 times its 20-day average. The stock’s beta of 0.58 indicates it tends to move less than the market.

The technical picture

Technically the stock sat below its key moving averages: 3.6% below its 20-day moving average, 13.6% below its 50-day moving average and 18.9% below its 200-day moving average. The 50-day average is below the 200-day average, a sign of a weak longer-term trend. The 14-day relative strength index was 36, in a neutral range between 30 and 70. The stock was 32.9% below its 52-week high and showed negative momentum across several windows, falling 15.0% over one month and 22.5% over three months.

Over one year the stock fell 12.6%, trailing the S&P 500 by 29.1 percentage points. Volatility was 40% annualized over 60 days, a reading lower than 71% of its own readings over five years.

Fundamentals and valuation

For the four quarters through June 27, 2026, the company reported revenue of $3.37 billion, a decline of 2.0% from a year earlier. Diluted earnings per share were $1.15, a rise of 51.3% from a year earlier, reflecting wider margins and improved operating performance. Gross margin widened to 32.3% from 28.8% a year earlier, and operating margin expanded to 12.3% from 8.5% a year earlier. Free-cash-flow margin stood at 9.7% and return on invested capital was 11.2%.

On the balance sheet the company carried net debt of 5.2 times EBITDA, and share count increased by 0.9% over one year. Valuation metrics showed a price to trailing earnings of 43.9 times trailing earnings and a price to forward earnings of 11.4 times expected earnings. Free-cash-flow yield was 11.4%.

PromtFinance scores rank the company Value 72, Quality 71 and Revisions 89, while Momentum is 28 and Growth is 42, indicating improving fundamentals but weak recent price momentum.

Earnings and analyst expectations

The company last reported on July 29, 2026, posting earnings per share of $2.82 against $2.48 expected, 13.7% above estimates. That marked seven consecutive quarters beating estimates; the average surprise over the last four reports was 13.7% above estimates. Typical two-day reactions after recent reports have been negative, with the stock falling 5.9% in the two trading days after earnings releases. The next scheduled report is November 4, 2026.

Seventeen analysts cover the stock, with a consensus rating of Buy and 53% of ratings at Buy. The consensus price target is $77.25, which is 52.9% above the closing price on October 6, 2026.

What to watch

• Nov. 4, 2026: next scheduled earnings report.
• July 29, 2026: last reported EPS of $2.82, 13.7% above estimates; typical two-day reaction after recent reports fell 5.9%.
• Balance sheet leverage: net debt of 5.2 times EBITDA.
• Valuation gap: consensus price target $77.25, 52.9% above the closing price of $50.52.
• Operational improvements: gross margin 32.3% and operating margin 12.3% for the four quarters through June 27, 2026.