UPDATE: BMO Capital Markets Reiterates Market Perform RAting, Raises PT on Scotts Miracle-Gro

In a report published Friday, BMO Capital Markets reiterated its Market Perform rating on Scotts Miracle-Gro

, and raised its price target from $38.00 to $40.00. BMO Capital noted, “SMG reported 4Q of ($0.59) that was in line with estimates. Management gave its perspective on the year and noted that detail about its outlook would be provided at the December 14 analyst meeting. In broad strokes, in a best-case scenario, SMG expects to restore profitability to the FY2010 operating margin (13.5%) by the end of FY2014. It expects charges in the US to flow through the income statement, but a separate charge could be announced for the European business. Management believes that FY2013 EPS will, at the very least, reach the consensus of $2.57.” Scotts Miracle-Gro closed on Thursday at $42.20.