I am having alot of trouble getting good groups when shooting my M&P-40. I've tried many different loads along with factory ammo. At 25 yards I get groups sometimes3 feet wide. Lots of keyholed bullets. Anyone else have this problem? Anyone recommend a new barrel?

I always let someone else shoot them, maybe several people and determine if it's the gun or the shooter/s. It's usually me.

By any standard, a 3 foot spread at 25 yards is unacceptable, I agree. The fact that the bullets are key-holed on the target would be of concern to me as well. Is this happening with the gun on some sort of rest?

As DGT said, a 3 foot group is totaly unacceptable. Regardless of the type of factory ammo your using. One of the first things I would do (after a thorough cleaning and examination of the gun) is move to a closer target and see what you get. Because the M&P's require a combat sight hold, that front sight can cover most of an 8" circle at 25 yards. Still, this shouldn't result in a 3' group. I do think seeing what kind of groups you can get at 50ft might help. Firing offhand I can keep a full magazine pretty much on a 3" orange dot at that range (with some fliers nearby). I do wish sights were available though that would allow a 6:00 o'clock hold. Also, make sure your target is backed by a nice stiff piece of cardboard or you can get some tears in the target paper. This could look like keyholes.

Keyholing would be a big concern for me. Like someone else said let another person shoot it.

__________________
LIVE FROM THE DAWGHOUSE

Already done that. They got an even bigger group than I did. I also pick up a different pistol, same ammo, and get very good groups. Glock 22, Sig 226 and Colt 1911. I am considering ordering a replacement barrel of a different brand to fix the problem. But, that is a real expensive test.

If everything has been tried and your still getting 3' groups then something is wrong. I would be on the phone to Customer Service requesting a return shipping tag. smith needs to take a look at it. You have a lifetime waranty.