GrowGeneration Corp. (GRWG) AI Stock Analysis

GrowGeneration Corp., operating through its subsidiaries, is a specialty retailer focused on hydroponic and organic gardening products in the United States. It distributes essentials for indoor and outdoor cultivation, including nutrients, growing media, advanced lighting systems, environmental controls, vertical benching solutions, and gardening accessories. The company primarily serves commercial and urban growers cultivating organics, greens, and plant-based medicines. As of November 22, 2022, GrowGeneration operated 60 retail stores across states including California, Colorado, and Michigan, alongside its online superstore, growgeneration.com.

GrowGeneration has experienced multi-year revenue contraction, with sales dropping from $422.5M in FY2021 to $278.2M in FY2022, $225.9M in FY2023, $188.9M in FY2024, and $161.7M in FY2025. Gross margin contracted to 19.8% in FY2025, down from 28.0% in FY2021. Operating results have remained negative since FY2022, generating a net loss of -$24.0M in FY2025. Over the 5-year period from FY2020 to FY2025, revenue posted a CAGR of -3.5%. For the trailing twelve months, revenue reached $166.7M with a profit margin of -10.1%. In the quarter ended June 30, 2026, revenue increased 5.5% year-over-year and earnings grew 14.7%.

As of June 30, 2026, GrowGeneration held $41.0M in cash and short-term investments against $26.1M in total debt, resulting in net cash of $14.9M. Shareholders' equity was $90.0M, supporting a debt-to-equity ratio of 0.29 and a current ratio of 3.89. In FY2025, the company generated operating cash flow of -$9.4M and free cash flow of -$10.0M. Capital expenditures were $536,000, and share buybacks totaled $220,000 during FY2025.

GrowGeneration carries a market capitalization of $84.3M and an enterprise value of $79.6M. The stock trades at a price-to-sales ratio of 0.5x and an EV-to-revenue ratio of 0.5x, compared to a median price-to-sales of 0.7x for its US-listed Consumer Cyclical peers. Its forward P/E of 42.7x stands above the US-listed Consumer Cyclical peer median forward P/E of 14.1x. Over the past year, GRWG delivered a return of -12.3%, trailing the S&P 500 (SPY) return of 16.8%, while its 5-year return of -93.5% lagged the index's 83.0% gain.

Wall Street coverage includes 2 Strong Buy ratings, 1 Hold, and 0 Sell ratings. The mean price target is $2.50, representing a 74.8% premium to the last close of $1.43. For the fiscal year ending December 31, 2026, analysts project an EPS of -$0.14 on revenue of $165.9M. For the following fiscal year, 2 analysts project an EPS of -$0.04 and revenue of $174.8M. GrowGeneration beat EPS estimates in 2 of the last 4 quarters, with its next earnings report scheduled for November 5, 2026.

This page is an AI-written research summary of GrowGeneration Corp. (GRWG). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.

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