MARYSVILLE, Ohio - The Scotts Miracle-Gro Company (NYSE:SMG), a major player in the consumer lawn and garden market, has declared a quarterly cash dividend. The company's Board of Directors announced the payment of $0.66 per share, scheduled for December 6, 2024, to shareholders on record as of November 22, 2024.
This move reflects the company's ongoing commitment to providing value to its shareholders. Scotts Miracle-Gro is known for its market-leading brands such as Scotts®, Miracle-Gro®, and Ortho®, which dominate their respective categories within the lawn and garden care industry. With sales reaching approximately $3.6 billion, the company has established itself as the world's largest marketer of branded consumer products for lawn and garden care.
In addition to its consumer products division, Scotts Miracle-Gro owns The Hawthorne Gardening Company, a subsidiary that caters to the indoor and hydroponic growing industry by supplying nutrients, lighting, and other necessary materials.
The announcement of the dividend is part of the company's financial strategy and is based on a press release statement. The dividend payment is a common practice among established companies, aiming to distribute a portion of earnings back to investors. It serves as a signal of financial health and often attracts income-focused shareholders.
The Scotts Miracle-Gro Company's commitment to its dividend policy is an important aspect of its relationship with investors, as it provides a tangible return on investment outside of stock price appreciation. By maintaining a steady dividend, the company demonstrates confidence in its financial stability and future earnings potential.
Investors and analysts typically view such announcements as an indicator of a company's financial well-being and its ability to generate cash flow. The specified dividend payment date and record date are standard details that ensure shareholders are informed about when they need to own the stock to be eligible for the dividend.
It is important for shareholders and potential investors to consider the dividend announcement in the context of their individual investment strategies and the overall performance of the company. As with all investments, dividends are just one factor to consider when evaluating a company's attractiveness and long-term value proposition.
InvestingPro Insights
The Scotts Miracle-Gro Company's recent dividend announcement aligns with its long-standing commitment to shareholder returns. According to InvestingPro data, the company currently offers a dividend yield of 2.94%, with its last ex-dividend date on August 23, 2024. More impressively, an InvestingPro Tip reveals that Scotts Miracle-Gro has maintained dividend payments for 20 consecutive years, underlining its dedication to providing consistent returns to investors.
Despite facing challenges, the company's stock has shown remarkable resilience. InvestingPro data indicates a strong 72.38% price total return over the past year, with the stock trading near its 52-week high at 99.81% of that peak. This performance suggests investor confidence in the company's prospects and strategy.
Looking ahead, another InvestingPro Tip notes that analysts predict the company will return to profitability this year. This projection, coupled with the expected growth in net income, could provide further support for the company's dividend policy and overall financial health.
For investors seeking a more comprehensive analysis, InvestingPro offers 9 additional tips that could provide valuable insights into Scotts Miracle-Gro's financial position and market performance.
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