Are you using iron sights or a scope? Your rifle is available with both from factory so its worth asking.
I would be pretty ok with a couple of inches with iron sights. If you are using iron sights, and have less than perfect vision. You will group better with a red dot or reflex sight than iron sights. Its pretty cool stuff, the dot appears to move depending on the position it is viewed from but a good one should put the bullet wherever the red dot is.
I would suggest putting some sort of optic on it, whether it is a red dot/reflex or a decent quality scope if it doesn't have one already.
Also it looks like your model has an adjustable trigger weight. Drop it down and your groups will improve if you use proper technique. It can probably be reduced considerably but i don't know the range it can be adjusted. They usually come from the factory so high that accuracy is impeded.