GrowGeneration Corp.
GRWG
has launched its newly restructured e-commerce platform, GrowGeneration.com, with the Buy Online Pickup in Store (“BOPIS”) feature. The feature allows the company’s stores to serve a greater footprint.
GrowGeneration.com offers a wide variety of organic nutrients, soils and advanced lighting technology to commercial and craft growers. The new website includes commercial account sign-ups with volume pricing, improved order tracking and a virtual garden center with product departments. The site also offers a GrowPro channel, highlighting educational and how-to content from grow specialists.
The company has been witnessing a surge in retail activity on account of the pandemic. GrowGeneration.com supports customers’ increasing preference for convenient online shopping, while meeting consumer demand for in-store pick-up. The company is focused on improving its customer shopping experience, and increasing in-store and online revenues. Moreover, sales to commercial customers have been rising on its continued focus on adding customer accounts.
Last month, GrowGeneration posted record earnings per share of 10 cents for first-quarter 2021, as against the loss per share of 6 cents reported in the prior-year quarter. The upside was driven by the company’s focus on strategic growth in key markets, both organically and through acquisitions, and efforts to reduce operational costs.
Revenues registered whopping year-over-year growth of 173% to $902 million in the reported quarter, driven by growth in the e-commerce channel and Private-label sales. E-Commerce revenues were $4.4 million in the March-end quarter compared with $1.9 million in the year-ago quarter.
The company projects 2021 revenues between $450 million and $470 million, whereas it reported $193 million in 2020. It now has a portfolio of hydroponic garden centers of 55 stores across 12 states. The company is close to its target of achieving 60 garden center locations by the end of 2021. It intends to take the number up to 100 by 2023. The company’s strategy is to grow revenues and net income through same-store sales, private label and investing in expanding its supply chain through store openings and acquisitions.
Share Price Performance
Over the past year, GrowGeneration has soared 533.8% compared with the
industry
’s rally of 87.5%.
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Zacks Rank & Other Stocks to Consider
GrowGeneration currently carries a Zacks Rank #2 (Buy). You can see
the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Some other top-ranked stocks in the basic materials space are
ArcelorMittal
MT
,
Cabot Corporation
CBT
and
Dow Inc.
DOW
. All the companies flaunt a Zacks Rank #1, currently.
ArcelorMittal has a projected earnings growth rate of 984.7% for the current year. The company’s shares have soared nearly 179% in the past year.
Cabot has an expected earnings growth rate of 125.9% for fiscal 2021. The company’s shares have rallied 79.4% over the past year.
Dow has an estimated earnings growth rate of 261.6% for the current year. The company’s shares have gained roughly 78% in a year’s time.
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