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olivLaw · US equity research

GrowGeneration Corp. GRWG

Retail-Building Materials, Hardware, Garden Supply · SIC 5200 · Vertical: Retail-Building Materials, Hardware, Garden Supply (SIC 5200)

1.52USD+1.33% · 1 dayClose 04 Nov 2026

GrowGeneration Corp. (GRWG) is a retailer and distributor of hydroponic and organic gardening products that also runs a storage solutions segment under the MMI brand. The company is in the middle of a reconfiguration: it reduced its store count during 2025 and the first half of 2026, while relying on proprietary brands and B2B sales against a volatile tariff backdrop.

At the close of 04 Nov 2026, GrowGeneration Corp. (GRWG) stock was 1.52 USD (+1.33% on the day), with market capitalisation 89.6 m USD, beta 0.93, 52-week range 1.04–2.20 USD. Latest reported quarter (Q2 2026): revenue of 43.2 m USD (+5.5% YoY), net income of -2.0 m USD, diluted EPS -0.03 USD.

Data as of · AI analysis dated · Source: SEC filings and closing prices, computed by olivLaw.

Market cap
89.6 m USD
shares as of 05 Aug 2026
P/E (TTM)
unavailable
Diluted EPS TTM -0.27 · TTM to 30 Jun 2026
E/P (TTM)
-18.02%
TTM to 30 Jun 2026
Dividend yield
unavailable
Beta (2y)
0.93
Volatility (1y) 71%
52-week range
1.042.20

Price history

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Technical reading

RSI (14)
54.5
neutral
Bollinger (20, 2)
1.40 – 1.55
in the upper half of the band · %B 0.83 · band width 10.3%
SMA 50 / 200
1.54 / 1.42
mixed trend
MACD (12, 26, 9)
-0.01 / -0.02
MACD above signal

Indicators describe past prices; on their own they do not predict direction. On our history the RSI ≤ 40 filter added no return (see the signals methodology).

Performance

CompanyS&P 500vs S&P 500Vertical median
1 month−2.6%−1.1%−1.5 pp—
3 months+2.7%−0.5%+3.2 pp—
6 months+10.9%+4.4%+6.6 pp—
Year to date+1.3%+12.3%−11.0 pp—
1 year+4.8%+13.5%−8.7 pp−33.2%
3 years−33.0%+76.4%−109.5 pp+10.2%
5 years−93.2%+63.7%−156.8 pp—
Max drawdown (1y)
−52.7%
17 Dec 2025 → 10 Apr 2026
Max drawdown (5y)
−96.6%
08 Nov 2021 → 15 Apr 2025
Compound annual growth (5y)
−41.5%
S&P 500 +10.4%

Price returns, dividends excluded.

Quarterly results

Latest quarter: Q2 2026 · 30 Jun 2026

Revenue
43.2 m USD
+5.5% YoY
Net income
-2.0 m USD
unavailable YoY
Diluted EPS
-0.03
unavailable YoY
net / operating
-4.7% / -5.4%

Quarterly margins

Quarterly statements · USD

Fiscal yearQ3 '24Q4 '24Q1 '25Q2 '25Q3 '25Q4 '25Q1 '26Q2 '26
Revenue50.0 m37.4 m35.7 m41.0 m47.3 m37.8 m38.4 m43.2 m
Cost of revenue39.2 m31.3 m26.0 m29.4 m34.4 m28.7 m28.7 m30.9 m
Gross profit10.8 m6.1 m9.7 m11.6 m12.9 m9.1 m9.7 m12.3 m
SG&A7.4 m6.8 m7.1 m6.2 m5.7 m7.3 m6.9 m6.5 m
Operating income-12.1 m-23.9 m-9.9 m-5.3 m-2.8 m-7.6 m-5.3 m-2.3 m
Depreciation & amortisation5.0 m7.1 m3.6 m2.7 m2.6 m2.4 m1.6 m1.5 m
Interest expense000000——
Pre-tax income-11.5 m-23.2 m-9.4 m-4.8 m-2.4 m-7.2 m-4.9 m-2.0 m
Income tax-43.0 k108.0 k002.0 k189.0 k-19.0 k19.0 k
Net income-11.4 m-23.3 m-9.4 m-4.8 m-2.4 m-7.4 m-4.9 m-2.0 m
Diluted EPS-0.19-0.39 ≈-0.16-0.08-0.04-0.12 ≈-0.08-0.03
Operating cash flow1.2 m ≈1.1 m-3.8 m-2.9 m ≈-499.0 k ≈-2.2 m-5.0 m941.0 k ≈
Share repurchases1.8 m ≈1.0 k——0 ≈0——

≈ derived quarter (cumulative difference / share-days average)

E/P over time

E/P = trailing-12-month diluted EPS / price at quarter end. E/P is the inverse of P/E and stays defined when earnings are negative.

Fiscal years

Fiscal year20182019202020212022202320242025
Revenue29.0 m79.7 m193.4 m422.5 m278.2 m225.9 m188.9 m161.7 m
Revenue YoY+101.9%+174.9%+142.5%+118.5%−34.2%−18.8%−16.4%−14.4%
Net income-5.1 m1.3 m5.3 m12.8 m-163.7 m-46.5 m-49.5 m-24.0 m
Net income YoYunavailableunavailable+303.0%+140.0%−1,380.7%unavailableunavailableunavailable
Diluted EPS-0.220.040.110.21-2.69-0.76-0.82-0.40
Diluted EPS YoYunavailableunavailable+175.0%+90.9%−1,381.0%unavailableunavailableunavailable
net %-17.5%1.7%2.8%3.0%-58.9%-20.6%-26.2%-14.9%
Free cash flow-1.6 munavailableunavailableunavailableunavailableunavailableunavailableunavailable

Reported results vs expectations

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Balance sheet & financial health

Fiscal year 2025 · 31 Dec 2025

Cash
30.4 m USD
Financial debt
unavailable USD
Net debt
unavailable USD
Equity
97.5 m USD
Total assets
147.0 m USD
Debt / equity
unavailable
Current ratio
3.99x
ROE
-22.1%
ROA
-15.0%
FCF margin
unavailable

Financial statements (source on every figure)

Revenue and net income (USD)

Margins

Income statement · USD

Revenue
2023
225.9 m
2024
188.9 m
2025
161.7 m

SEC (XBRL)· 20 Mar 2026verified

Cost of revenue
2023
164.6 m
2024
145.1 m
2025
118.5 m

SEC (XBRL)· 20 Mar 2026verified

Gross profit
2023
61.3 m
2024
43.7 m
2025
43.3 m

SEC (XBRL)· 20 Mar 2026verified

SG&A
2023
29.8 m
2024
29.2 m
2025
26.3 m

SEC (XBRL)· 20 Mar 2026verified

Operating income
2023
-49.8 m
2024
-52.0 m
2025
-25.6 m

SEC (XBRL)· 20 Mar 2026verified

Depreciation & amortisation
2023
16.6 m
2024
19.4 m
2025
11.3 m

SEC (XBRL)· 20 Mar 2026verified

EBITDA
2023
-33.2 m ≈
2024
-32.5 m ≈
2025
-14.3 m ≈

SEC (XBRL)· 20 Mar 2026derived

Interest expense
2023
97.0 k
2024
70.0 k
2025
0

SEC (XBRL)· 20 Mar 2026verified

Pre-tax income
2023
-46.5 m
2024
-49.4 m
2025
-23.9 m

SEC (XBRL)· 20 Mar 2026verified

Income tax
2023
32.0 k
2024
158.0 k
2025
191.0 k

SEC (XBRL)· 20 Mar 2026verified

Net income
2023
-46.5 m
2024
-49.5 m
2025
-24.0 m

SEC (XBRL)· 20 Mar 2026verified

Diluted EPS
2023
-0.76
2024
-0.82
2025
-0.40

SEC (XBRL)· 20 Mar 2026verified

Weighted average diluted shares
2023
61.2 m
2024
60.2 m
2025
59.7 m

SEC (XBRL)· 20 Mar 2026verified

Balance sheet · USD

Cash
2023
29.8 m
2024
27.5 m
2025
30.4 m

SEC (XBRL)· 20 Mar 2026verified

Receivables
2023
8.9 m
2024
7.4 m
2025
10.7 m

SEC (XBRL)· 20 Mar 2026verified

Inventories
2023
64.9 m
2024
40.3 m
2025
38.8 m

SEC (XBRL)· 20 Mar 2026verified

Current assets
2023
147.5 m
2024
113.2 m
2025
103.7 m

SEC (XBRL)· 20 Mar 2026verified

Property, plant & equipment, net
2023
27.1 m
2024
15.5 m
2025
9.8 m

SEC (XBRL)· 20 Mar 2026verified

Goodwill
2023
7.5 m
2024
1.6 m
2025
2.1 m

SEC (XBRL)· 20 Mar 2026verified

Intangibles (excl. goodwill)
2023
16.2 m
2024
8.8 m
2025
3.3 m

SEC (XBRL)· 20 Mar 2026verified

Total assets
2023
239.1 m
2024
174.4 m
2025
147.0 m

SEC (XBRL)· 20 Mar 2026verified

Accounts payable
2023
11.7 m
2024
8.1 m
2025
8.8 m

SEC (XBRL)· 20 Mar 2026verified

Short-term debt
2023
0
2024
—
2025
—

SEC (XBRL)· 13 Mar 2024verified

Long-term debt
2023
—
2024
—
2025
—

SEC (XBRL)· 16 Mar 2023verified

Current liabilities
2023
30.9 m
2024
24.3 m
2025
26.0 m

SEC (XBRL)· 20 Mar 2026verified

Total liabilities
2023
65.7 m
2024
54.3 m
2025
49.5 m

SEC (XBRL)· 20 Mar 2026verified

Equity
2023
173.4 m †
2024
120.1 m †
2025
97.5 m †

SEC (XBRL)· 20 Mar 2026verified

Cash flow · USD

Operating cash flow
2023
1.4 m
2024
-1.8 m
2025
-9.4 m

SEC (XBRL)· 20 Mar 2026verified

Investing cash flow
2023
-11.4 m
2024
5.7 m
2025
12.6 m

SEC (XBRL)· 20 Mar 2026verified

Financing cash flow
2023
-313.0 k
2024
-6.2 m
2025
-220.0 k

SEC (XBRL)· 20 Mar 2026verified

Share repurchases
2023
0
2024
6.0 m
2025
0

SEC (XBRL)· 20 Mar 2026verified

Computed indicators

Growth

Revenue growth (YoY)
-14.4%
computed by olivLawFY 2025
Revenue CAGR 3Y
-16.5%
computed by olivLawFY 2022 → FY 2025
Revenue CAGR 5Y
-3.5%
computed by olivLawFY 2020 → FY 2025
EBIT growth (YoY)
unavailable
the base of the ratio is not positive
Net income growth (YoY)
unavailable
the base of the ratio is not positive
Net income CAGR 3Y
unavailable
the base of the ratio is not positive
Net income CAGR 5Y
unavailable
the base of the ratio is not positive
EPS growth (YoY)
unavailable
the base of the ratio is not positive
EPS CAGR 3Y
unavailable
the base of the ratio is not positive
EPS CAGR 5Y
unavailable
the base of the ratio is not positive
FCF growth (YoY)
unavailable
input data missing

Profitability

Gross margin
26.4%
computed by olivLawTTM to 30 Jun 2026
EBITDA margin
-5.9%
computed by olivLawTTM to 30 Jun 2026
EBIT margin
-10.8%
computed by olivLawTTM to 30 Jun 2026
Net margin
-10.1%
computed by olivLawTTM to 30 Jun 2026
FCF margin
unavailable
input data missing

Returns

ROE
-17.1%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
ROA
-11.3%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
ROIC
unavailable
input data missing
ROCE
-16.3%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Payout ratio (EPS)
unavailable
input data missing
Payout ratio (FCF)
unavailable
input data missing

Balance sheet

Net debt
unavailable
input data missing
Net debt / EBITDA
unavailable
input data missing
Debt / equity
unavailable
input data missing
Interest coverage
unavailable
insufficient data

Liquidity

Current ratio
3.9x
computed by olivLawbalance sheet at 30 Jun 2026
Quick ratio
2.5x
computed by olivLawbalance sheet at 30 Jun 2026
Cash ratio
0.9x
computed by olivLawbalance sheet at 30 Jun 2026

Cash

Operating cash flow
-6.8 m USD
computed by olivLawTTM to 30 Jun 2026
Capital expenditure
unavailable
input data missing
Free cash flow
unavailable
input data missing
FCF conversion
unavailable
input data missing
Cash conversion
unavailable
insufficient data

Efficiency

Days sales outstanding
28 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Days inventory outstanding
115 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Days payables outstanding
33 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Cash conversion cycle
109 days
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026

Market and valuation

Market capitalisation
89.6 m USD
computed by olivLawbalance sheet at 30 Jun 2026
Enterprise value
unavailable
input data missing
Market cap / net income TTM
unavailable
insufficient data
P/E (TTM)
unavailable
insufficient data
Earnings yield
-18.0%
computed by olivLawTTM to 30 Jun 2026
P/B
1.0x
computed by olivLawbalance sheet at 30 Jun 2026
P/S
0.5x
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
EV/EBITDA
unavailable
input data missing
EV/EBIT
unavailable
input data missing
EV/Sales
unavailable
input data missing
P/FCF
unavailable
input data missing
FCF yield
unavailable
input data missing
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero
Shareholder yield (distributions)
1.1%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026

1 indicators that do not apply to the sector.

Valuation

olivLaw classification

Insufficient data
What is missing
  • indicators available: 4 of at least 6
  • score weight coverage: 25.0% of at least 60%
  • valuation methods computed: 0 of at least 1

A scoring methodology on indicators and valuation, not investment advice.

Closing price

1.52 USD

04 Nov 2026Source: olivLaw, closing series

Market cap: 89.6 m USD

Key indicators

Market capitalisation
89.6 m USD
computed by olivLawbalance sheet at 30 Jun 2026
P/E (TTM)
unavailable
insufficient data
P/B
1.0x
computed by olivLawbalance sheet at 30 Jun 2026
EV/EBITDA
unavailable
input data missing
ROE
-17.1%
computed by olivLawTTM to 30 Jun 2026 · balance sheet at 30 Jun 2026
Net margin
-10.1%
computed by olivLawTTM to 30 Jun 2026
Revenue growth (YoY)
-14.4%
computed by olivLawFY 2025
Dividend yield
unavailable
no dividend in the structured statements; a missing line is not a confirmed zero

Coverage and freshness

31/37 reporting lines present
Latest full fiscal year: 2025
Latest reported period: 30 Jun 2026
Latest balance sheet date: 30 Jun 2026
Share count (cover of the latest filing), as of: 05 Aug 2026
Source: SEC (XBRL)published 11 Aug 2026
verified 1642derived 133

Score by group

25% · Insufficient data

Estimated value range

unavailable — no valuation method could be computed

Valuation assumptions are editorial choices, not measured; beta is not measured.

Valuation methods

  • DCF (discounted cash flow)unavailable · the input exists, but its latest figure is far older than the latest reported period: not used
  • Peers: EV/EBITDAunavailable · net debt missing: EV cannot be bridged to equity (missing debt is not zero)
  • Peers: P/Eunavailable · the base of the ratio is not positive
  • Dividend discount (DDM)unavailable · the company pays no dividend: a dividend model needs an explicit initiation assumption

no valuation method could be computed

Multiple comparisons use the SIC vertical: Retail-Building Materials, Hardware, Garden Supply (SIC 5200)

Classification (SIC) comparables group by industry code, not by economic activity; the direct group is an editorial selection by activity. Members' multiples are on their own trailing twelve months, at their own latest close.

Assumptions (illustrative, editorial)

Risk-free rate
4.3%
Equity risk premium
5.0%
Beta (default)
1.00
Cost of equity
9.3%
Terminal growth
2.5%

Factor scorecard

Insufficient data

Minimum-evidence gate: indicators available: 4 of at least 6; score weight coverage: 25.0% of at least 60%; valuation methods computed: 0 of at least 1

FactorValueScoreWeight used
ROIC · Qualityunavailableunavailable—
Net margin · Quality-10.1%20 (vs peers)25%
FCF conversion · Qualityunavailableunavailable—
Revenue CAGR 3Y · Growth-16.5%0 (on a fixed band)33%
EPS CAGR 3Y · Growthunavailableunavailable—
Net debt / EBITDA · Balance sheetunavailableunavailable—
Interest coverage · Balance sheetunavailableunavailable—
Current ratio · Balance sheet3.9x100 (on a fixed band)17%
P/E (TTM) · Valuationunavailableunavailable—
EV/EBITDA · Valuationunavailableunavailable—
FCF yield · Valuationunavailableunavailable—
Shareholder yield (distributions) · Returns1.1%16 (on a fixed band)25%
Payout ratio (FCF) · Returnsunavailableunavailable—

Factors without a value were dropped; the remaining weights were renormalised.

Score groups

  • Balance sheet· partial100/100 · 1/3 factors with a value
  • Growth· partial0/100 · 1/2 factors with a value
  • Quality· partial20/100 · 1/3 factors with a value
  • Returns· partial16/100 · 1/2 factors with a value
  • Valuation· partialunavailable · 0/3 factors with a value

A «partial» group is computed from under half of its weight or from one factor: it is not a full assessment of the group.

Memo

GROWGENERATION CORP. (GRWG). Latest full fiscal year: 2025; data up to 2026-06-30.

Figures computed from the financial statements: revenue 161.7 m USD in 2025; YoY growth -14.4%; net margin -10.1%; ROE -17.1%.

Valuation cannot be computed from the available data.

Insufficient data for a verdict (indicators available: 4 of at least 6; score weight coverage: 25.0% of at least 60%; valuation methods computed: 0 of at least 1).

Text generated deterministically from the figures shown; no language model. Not investment advice.

What supports the thesis

  • Current ratio: 3.9x

What contradicts it

  • Net margin: -10.1%
  • Revenue CAGR 3Y: -16.5%
  • Shareholder yield (distributions): 1.1%

Not assessed (insufficient data or a ratio without meaning): ROIC, FCF conversion, EPS CAGR 3Y, Net debt / EBITDA, Interest coverage, P/E (TTM), EV/EBITDA, FCF yield, Payout ratio (FCF).

Versus the vertical median

Retail-Building Materials, Hardware, Garden Supply (SIC 5200) · same industry (4-digit SIC) · compared with 5 companies

Multiples and returns vs the median

P/E
—
vertical median 33.4x
EV/EBITDA
—
vertical median —
P/S
0.5x
vertical median 2.4x
below median (−77.3%)
P/B
1.0x
vertical median 11.0x
below median (−90.9%)
ROE
-17.1%
vertical median 35.3%
below median (−148.4%)
Net margin
-10.1%
vertical median 10.7%
below median (−193.8%)
EBIT margin
-10.8%
vertical median 3.1%
below median (−452.6%)
Revenue YoY
-14.4%
vertical median 2.6%
below median (−655.7%)
Net debt/EBITDA
—
vertical median —
Dividend yield
—
vertical median 1.8%

Price rebased to 100 (monthly, 5 years)

Companies in the vertical

Market capP/EROENet marginRevenue YoY1A / 3A
SHWThe Sherwin-Williams Company87.8 bn33.463.7%10.7%+2.1%+6% / +30%
FASTFastenal Co61.0 bn43.135.3%15.6%+8.7%+32% / +77%
TSCOTractor Supply Co19.1 bn10.373.4%11.9%+4.3%−33% / −10%
GRWGGrowgeneration Corp.89.6 m—-17.1%-10.1%−14.4%+5% / −33%
IPWiPower Inc.1.9 m—-66.0%-58.2%−68.4%−100% / −100%
ZKHZKH Group Limited——-4.6%-1.6%+2.6%−59% / unavailable

1- and 3-year price returns: for GRWG from daily closes (the same as the performance table), for the other companies from month-end closes.

olivLaw engine forecast

The world engine ran after the company's latest material disclosure. Probabilities are of TOUCHING a level within the horizon (not closing there) and sit next to the random walk (p_rw), the no-information benchmark.

The engine has no published run for this company yet.

Valuation scenarios (editable assumptions)

Illustrative scenarios

Illustrative: not forecasts and without probabilities. Each case is one coherent set of assumptions, computed on today's figures.

Bear
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Base
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Bull
Allowed range: -50 … 50%
Allowed range: -100 … 100%
Allowed range: 0 … 100
Allowed range: -10 … 20%
Allowed range: 0 … 100%
Nothing is saved.

Estimated price (USD)

Estimated priceBearBaseBull
1 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
3 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
5 years
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
insufficient data
Total return unavailable · Per year unavailable
What moves the 3-year price the most

    AI analysis

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    In brief

    GrowGeneration Corp. (GRWG) is a retailer and distributor of hydroponic and organic gardening products that also runs a storage solutions segment under the MMI brand. The company is in the middle of a reconfiguration: it reduced its store count during 2025 and the first half of 2026, while relying on proprietary brands and B2B sales against a volatile tariff backdrop.

    SWOT

    Strengths

    • The company presents itself as the largest chain of specialty hydroponic stores in the U.S., with a wide product range and expert support for growers.
    • A portfolio of proprietary brands such as Drip Hydro, Charcoir and Ion lights could support better margins than third-party products.
    • The Storage Solutions segment diversifies revenue and serves customers outside the cannabis industry.

    Weaknesses

    • The company closed several stores in recent years, reducing geographic coverage and removing some revenue.
    • Sales are seasonal, peaking in summer quarters, which makes quarterly results volatile.
    • Reliance on external suppliers exposes the company to production interruptions and raw material price swings.

    Opportunities

    • Expanding B2B sales to commercial cultivators and large home improvement retailers could open new revenue streams.
    • Recovering IEEPA tariff refunds could lower costs, although the amount and timing remain uncertain.
    • Acquisitions of complementary companies could accelerate growth if pricing and integration are favorable.

    Threats

    • Replacement tariffs and possible new tariffs could raise import costs again.
    • Fragmented cannabis regulation could affect demand for the products the company sells.
    • Competition from online marketplaces and better-resourced retailers could pressure prices.

    Risks

    • Tariffs and trade policyhigh

      Trade policy changes and new tariffs could raise the cost of imported products and weaken competitiveness.

    • Cannabis-linked demandhigh

      Demand depends on the adoption and regulation of the cannabis industry, which may evolve differently from state to state.

    • Supplier dependencemedium

      Interruptions at external suppliers or at facilities producing a limited number of products could affect the ability to deliver.

    • Acquisitions and integrationmedium

      Integrating acquired companies can create unexpected costs and may not deliver the expected synergies.

    • Cybersecuritylow

      Cyber attacks or failures of IT systems could disrupt sales and expose confidential data.

    Investment thesis

    What would need to be true (bull case)

    • If cost reductions and the focus on proprietary brands take hold, margins could improve, and the company could benefit from a balance sheet without debt.
    • If B2B sales to commercial cultivators grow, recurring consumable revenue could stabilize the top line.
    • If tariff refunds materialize, costs could fall compared with current expectations.

    What would break the thesis

    • If replacement tariffs remain high, pressure on margins could persist.
    • If the store count keeps declining, the loss of local customers could outweigh the savings achieved.
    • If cannabis regulation does not evolve favorably, demand for cultivation equipment could stay weak.

    What to watch

    • Trend in store count and sales in the Cultivation and Gardening segmentQ3 2026
    • Amount and timing of IEEPA tariff refundsnext 10-Q
    • Gross margin trend as the share of proprietary brands growsnext 10-K
    • Tariff policy after the expiry of the Section 122 replacement tariffs2027

    Products, market & competition

    AI-generatedAI-generated analysis (Claude) from cited public sources; it may contain errors. Not investment advice. As of 27 Oct 2026 · Model: claude-haiku-5-5.

    The business

    GrowGeneration was incorporated in Colorado in 2014 and operates two lines of business: the Cultivation and Gardening segment, offering hydroponic and organic products, and the Storage Solutions segment, offering high-density storage systems. It sells through physical stores, a commercial sales division for professional cultivators, a wholesale division and the online platform growgeneration.com. As of December 31, 2025 it had 23 stores in 10 states, and as of June 30, 2026 it had 19 stores in 9 states, according to its SEC filings 12.

    The main strategy is to consolidate the fragmented hydroponics industry through acquisitions and by expanding proprietary brands such as Charcoir, Drip Hydro, Power Si and Ion lights. The company states that a greater share of sales from its own brands could improve gross margins 1.

    As of December 31, 2025 the company had 253 employees, 248 of them full-time, and its operations span over 563,000 square feet of retail and warehouse space 1.

    Segments

    Cultivation and Gardening

    This segment sells nutrients, additives, growing media, lighting and environmental control systems for indoor and outdoor cultivation. Its customers include commercial cultivators, craft growers and home gardeners, and sales are seasonal, with higher volumes in the second and third fiscal quarters 1.

    Storage Solutions

    The Storage Solutions segment, branded MMI, designs and installs high-density mobile storage and static shelving for retailers, warehouses, hospitality and golf clubs. Sales generally follow retail capital planning cycles 1.

    Market context

    The company describes hydroponics as a fragmented industry with hundreds of specialty distributors in the U.S., with demand supported by gradual legalization of cannabis and medical cannabis, vertical farms and growing home gardening 1. The company also notes that rules in these industries are inconsistent and change quickly 1.

    The tariff environment changed in 2025 and 2026. The company said tariff increases raised costs on imported products that make up less than 10% of total cost of goods sold, and after the Supreme Court ruling of February 20, 2026, refunds of IEEPA tariffs became possible, although their value remains uncertain 12.

    Trends

    • Tariffs and supply chainheadwind

      Tariffs and trade policy changes raised costs on some proprietary products, but the company responded with renegotiated purchasing, price adjustments and expanded domestic manufacturing. If replacement tariffs stay high, costs could continue to weigh on margins.

    • Cannabis legalizationmixed

      A more permissive legal framework in more states could expand the market for commercial cultivators, the demand the company serves through its commercial division. Conflict between federal and state law remains a source of uncertainty.

    • Digital B2B commercetailwind

      Shifting transactions from stores to the B2B online platform, launched in the fourth quarter of 2024, could reduce operating costs and support recurring consumable sales.

    • Consolidation of physical retailmixed

      Closing redundant stores and cutting overhead aims at profitability but also reduces geographic reach. The net effect depends on how well lost sales are offset by online channels.

    Competitive position

    Competition is intense in both segments. In hydroponics, rivals include local and national vendors, online resellers and large marketplaces such as Amazon and eBay. In storage, competition ranges from large broad-line distributors to small regional firms. The company says it differentiates through its wide product range and end-to-end services 1.

    • AmazonAMZN

      Online marketplace the company cites as a competitor in hydroponic and gardening products.

    • eBayEBAY

      Online marketplace the company cites as a competitor for cultivation and gardening products.

    • Local hydroponic equipment resellers

      Local stores and distributors, numerous across the U.S., competing directly in the cultivation segment.

    • General shelving and storage distributors

      National to regional suppliers offering storage and shelving solutions.

    News & filings

    In the press

    No news in our archive over the last 180 days.

    SEC filings

    Sources

    1. [1] Form 10-K, fiscal year ended 2025-12-31 · SEC / GrowGeneration Corp. · 20 Mar 2026
    2. [2] Form 10-Q, quarter ended 2026-06-30 · SEC / GrowGeneration Corp. · 11 Aug 2026
    3. [3] Form 8-K, results release (exhibit 99.1) · SEC / GrowGeneration Corp. · 06 Feb 2025

    Figures computed by olivLaw from SEC filings and closing prices; the qualitative analysis is AI-generated from cited sources. Not investment advice.