GrowGeneration Corp. [NASDAQ: GRWG] jumped around 4.06 points on Thursday, while shares priced at $23.04 at the close of the session, up 21.39%. The company report on November 2, 2020 that GrowGeneration Signs Asset Purchase Agreement to Acquire Nation’s Third-Largest Chain of Hydroponic Garden Centers.
The GrowBiz To Join GrowGen’s Portfolio, Expands Company’s Footprint in California and Oregon.
GrowGeneration Corp. (NASDAQ: GRWG), (“GrowGen” or the “Company”) the nation’s largest chain of specialty hydroponic and organic garden centers, announced the signing of an asset purchase agreement to acquire The GrowBiz, the nation’s third-largest chain of hydroponic garden centers, with five stores across California and Oregon. The transaction is expected to close before fiscal year-end 2020. Founded in 2010 by Ross and Ryan Haley, The GrowBiz comes with a team of experienced executives and more than 60 full and part-time employees. Prior to founding The GrowBiz, Ross Haley served as CEO of Hawthorne Gardening Company, a division of Scotts Miracle-Gro, and General Hydroponics, two recognized leaders in the hydroponics industry. Upon close, Ross Haley will become a senior strategic advisor to the Company.
GrowGeneration Corp. stock is now 461.95% up from its year-to-date (YTD) trading value. GRWG Stock saw the intraday high of $23.18 and lowest of $19.60 per share. The company’s 52-week high price is 22.88, which means current price is +779.39% above from all time high which was touched on 11/05/20.
Compared to the average trading volume of 6.21M shares, GRWG reached a trading volume of 7168998 in the most recent trading day, which is why market watchdogs consider the stock to be active.
What do top market gurus say about GrowGeneration Corp. [GRWG]?
Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for GRWG shares is $20.13 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on GRWG stock is a recommendation set at 1.60. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.
Stifel have made an estimate for GrowGeneration Corp. shares, keeping their opinion on the stock as Buy, with their previous recommendation back on August 27, 2020. While these analysts kept the previous recommendation, Oppenheimer raised their target price to Outperform. The new note on the price target was released on July 14, 2020, representing the official price target for GrowGeneration Corp. stock. Previously, the target price had yet another raise to $8, while The Benchmark Company analysts kept a Buy rating on GRWG stock.
The Average True Range (ATR) for GrowGeneration Corp. is set at 1.80, with the Price to Sales ratio for GRWG stock in the period of the last 12 months amounting to 9.14. The Price to Book ratio for the last quarter was 14.13, with the Price to Cash per share for the same quarter was set at 0.30. Price to Free Cash Flow for GRWG in the course of the last twelve months was 1027.37 with Quick ratio for the last quarter at 1.30.
How has GRWG stock performed recently?
GrowGeneration Corp. [GRWG] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 34.11. With this latest performance, GRWG shares gained by 32.72% in over the last four-week period, additionally plugging by 378.01% over the last 6 months – not to mention a rise of 459.22% in the past year of trading.
Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for GRWG stock in for the last two-week period is set at 69.79, with the RSI for the last a single of trading hit 74.23, and the three-weeks RSI is set at 66.62 for GrowGeneration Corp. [GRWG]. The present Moving Average for the last 50 days of trading for this stock 16.67, while it was recorded at 19.11 for the last single week of trading, and 8.98 for the last 200 days.
GrowGeneration Corp. [GRWG]: Deeper insight into the fundamentals
Operating Margin for any stock indicates how profitable investing would be, and GrowGeneration Corp. [GRWG] shares currently have an operating margin of +2.68 and a Gross Margin at +22.45. GrowGeneration Corp.’s Net Margin is presently recorded at +2.36.
Return on Total Capital for GRWG is now 4.51, given the latest momentum, and Return on Invested Capital for the company is 4.07. Return on Equity for this stock inclined to 4.48, with Return on Assets sitting at 3.48. When it comes to the capital structure of this company, GrowGeneration Corp. [GRWG] has a Total Debt to Total Equity ratio set at 14.84. Additionally, GRWG Total Debt to Total Capital is recorded at 12.92, with Total Debt to Total Assets ending up at 11.10. Long-Term Debt to Equity for the company is recorded at 11.22, with the Long-Term Debt to Total Capital now at 9.77.
Reflecting on the efficiency of the workforce at the company, GrowGeneration Corp. [GRWG] managed to generate an average of $10,211 per employee. Receivables Turnover for the company is 29.99 with a Total Asset Turnover recorded at a value of 1.48.GrowGeneration Corp.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 1.30 and a Current Ratio set at 2.90.
Earnings analysis for GrowGeneration Corp. [GRWG]
With the latest financial reports released by the company, GrowGeneration Corp. posted 0.03/share EPS, while the average EPS was predicted by analysts to be reported at 0.02/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 50.00%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for GRWG. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for GrowGeneration Corp. go to 20.00%.
Insider trade positions for GrowGeneration Corp. [GRWG]
There are presently around $340 million, or 56.70% of GRWG stock, in the hands of institutional investors. The top three institutional holders of GRWG stocks are: BLACKROCK INC. with ownership of 1,946,854, which is approximately New of the company’s market cap and around 6.40% of the total institutional ownership; DRIEHAUS CAPITAL MANAGEMENT LLC, holding 1,661,734 shares of the stock with an approximate value of $31.54 million in GRWG stocks shares; and FEDERATED HERMES, INC., currently with $27.75 million in GRWG stock with ownership of nearly New of the company’s market capitalization.
Positions in GrowGeneration Corp. stocks held by institutional investors increased at the end of August and at the time of the August reporting period, where 97 institutional holders increased their position in GrowGeneration Corp. [NASDAQ:GRWG] by around 14,338,793 shares. Additionally, 20 investors decreased positions by around 1,511,994 shares, while 7 investors held positions by with 2,050,226 shares. The mentioned changes placed institutional holdings at 17,901,013 shares, according to the latest SEC report filing. GRWG stock had 78 new institutional investments in for a total of 12,786,287 shares, while 13 institutional investors sold positions of 1,037,921 shares during the same period.