GrowGeneration price target lowered to $1.25 from $1.75 at Alliance Global Partners

Alliance Global Partners analyst Aaron Grey lowered the firm’s price target on GrowGeneration (GRWG) to $1.25 from $1.75 and keeps a Neutral rating on the shares. GrowGeneration’s Q4 sales were within its preliminary sales range, though EBITDA was worse than expected due to a lower gross margin from an intentional reduction in inventory, the analyst tells investors in a research note. While the company has also stabilized its store footprint and ceased the strategic alternative initiative for the potential sale of MMI Agriculture, Alliance Global awaits a better line of sight to profitability improvement.