Great budget guitar
First off, my rep Skylar has been one of the best reps I've had for any service related industry, and has sold me on Sweetwater customer service. I will be a Sweetwater customer for the foreseeable future. Everything you've heard about Sweetwater is very true, which is not always the case with the interwebz.
That being said, this is a pretty good guitar, but not a perfect guitar. It came fast, well packed, and had almost a perfect (for me) setup. The frets were a little on the dull and "scratchy" side and needed a good polishing before they were bend worthy, but I don't expect a retailer to go that far for free (I work on my own guitars and know what it takes to do fret work and setup guitars...they exceeded my expectations). Outside of that, the setup was ideal, minimal relief (just enough) and low action for an acoustic (3/32" on bass side and 1/16" on treble side at 12th fret). However nut action still needs some tweaking, but it's not bad by any means. This is one of the best out of the box setups I've seen, especially compared to "brick and mortar" stores I've visited and purchased from (hint hint). It could still use some tweaking depending on your playing style and preference, but it's very very playable out of the box. If you're a beginner that hasn't yet developed particular needs/preferences, you're good to go.
This is a beautiful guitar that sounds pretty good acoustically, but not great. Plug it in, though, and it really seems to shine. I don't believe the preamp to be flat at neutral settings. Played acoustically, the bass is there but can be lacking compared to other similar guitars, and it is a touch "boxy" sounding and not too terribly loud. Mids seem to be accentuated, treble a little laid back, and volume not that great. However, plug it in and it opens up very nicely and the bass is actually TOO much (played through a Fishman Loudbox Mini at neutral settings), and needs to be turned down. Boost the treble a bit, cut the bass a lot, and adjust the "dynamics" (aka mids) to your liking, and this thing really opens up and sounds nothing like it does acoustically. This is a guitar that needs to be plugged in to sound awesome. Maybe that's just the "Gibson/Epiphone acoustic sound", but I'm not a huge fan. Acoustically it's pretty generic compared to other guitars. It reminds me of my old Yamaha FGX700SC which is basically an electric FG700S...sounds very similar and in the same price bracket.
Skylar recommended the Taylor 114e after expressing my thoughts on the Hummingbird, and boy was she dead on. If you can afford it, or you're looking to upgrade, I'd recommend the Taylor 114e for sure. Acoustically, the bass is much better, overall not nearly as boxy sounding, the treble is much more pronounced, volume is quite a bit louder given the same strum, and overall quality of sound (and build) is much better. That all being said, when plugged in, they are pretty similar guitars when EQ'd. Actually I'd venture to say the Hummingbird sounds a tad better plugged in. The Hummingbird has a much better control layout and much more control on the guitar itself than the Taylor, which only has a simple treble, bass, and volume controls, and a small switch for phase on the electronics inside the sound hole (really Taylor???). This reason alone is why I've (mostly) decided to keep the Epiphone. It lacks acoustically compared to other offerings, but plugged in it's a whole different ball game. It's still up in the air, but I don't see me sending it back at this time. Plus it's purty lol. However, I will definitely keep the Taylor 114e as well. It's a much better acoustic guitar.
That all being said, this is a great entry level guitar, and it's hard to beat for the money. If all you have is $300 I wouldn't hesitate recommending this guitar at all. Compared to other offerings in this price bracket (of which I've demo'd A LOT), it is at least on par and seems to excel in certain areas. Given the choice, I would choose this over my old Yamaha. However, if you have some extra dough you're willing to dish out take a look at Martin and Taylor's "entry level" full size offerings (their entry level is mid-high end on the overall spectrum unless you're filthy rich)...they're quite a bit better and incredible bang for the buck.
Remember when it comes to acoustics, you get what you pay for. They're not nearly as tweakable and upgradeable as full on electric guitars, which are much more easily upgraded and customized.