GrowGeneration (NASDAQ:GRWG) Trading Down 1.2% – Here’s Why

GrowGeneration Corp. (NASDAQ:GRWG)’s stock price was down 1.2% during mid-day trading on Tuesday . The stock traded as low as $1.58 and last traded at $1.59. Approximately 327,761 shares changed hands during mid-day trading, a decline of 30% from the average daily volume of 471,579 shares. The stock had previously closed at $1.61.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on GRWG shares. Zacks Research upgraded GrowGeneration to a “hold” rating in a research report on Thursday, March 26th. Alliance Global Partners restated a “neutral” rating on shares of GrowGeneration in a research report on Wednesday, May 13th. Finally, Weiss Ratings upgraded GrowGeneration from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Wednesday, May 27th. Two equities research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, GrowGeneration currently has an average rating of “Reduce”.

GrowGeneration Stock Performance

The firm has a market capitalization of $95.54 million, a P/E ratio of -4.97 and a beta of 2.49. The company has a 50-day moving average price of $1.39 and a 200-day moving average price of $1.38.

GrowGeneration (NASDAQ:GRWG) last posted its quarterly earnings results on Tuesday, May 12th. The company reported ($0.08) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.09) by $0.01. The business had revenue of $38.39 million for the quarter, compared to analyst estimates of $36.45 million. GrowGeneration had a negative return on equity of 19.50% and a negative net margin of 11.91%. Equities analysts predict that GrowGeneration Corp. will post -0.22 EPS for the current year.

Insiders Place Their Bets

In other GrowGeneration news, CEO Darren Lampert bought 64,098 shares of GrowGeneration stock in a transaction on Monday, May 18th. The shares were purchased at an average cost of $1.55 per share, for a total transaction of $99,351.90. Following the completion of the acquisition, the chief executive officer owned 1,765,800 shares in the company, valued at approximately $2,736,990. The trade was a 3.77% increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. Corporate insiders own 8.06% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Scientech Research LLC bought a new position in GrowGeneration during the third quarter worth about $37,000. AQR Capital Management LLC bought a new position in GrowGeneration during the first quarter worth about $27,000. Janney Montgomery Scott LLC bought a new position in GrowGeneration during the fourth quarter worth about $42,000. Engineers Gate Manager LP bought a new position in GrowGeneration during the second quarter worth about $26,000. Finally, Virtu Financial LLC bought a new position in GrowGeneration during the fourth quarter worth about $43,000. 36.02% of the stock is currently owned by institutional investors.

GrowGeneration Company Profile

GrowGeneration Corp. is the largest chain of specialty hydroponic and organic garden centers in the United States, serving commercial and home growers of all experience levels. The company offers a broad assortment of cultivation supplies, including high-efficiency LED lighting, climate control systems, irrigation and fertigation equipment, growing media and nutrients. Through its retail outlets and e-commerce platform, GrowGeneration caters to indoor and outdoor horticultural operations, with a particular focus on the rapidly expanding legal cannabis market.

In addition to its product offerings, GrowGeneration provides design, consulting and project management services for turnkey cultivation facilities.