24,887 Shares of The Kroger Co. $KR Acquired by Brookmont Capital Management

Key Points

• Brookmont Capital Management acquired 24,887 Kroger shares worth approximately $1.46 million in the third quarter. Institutional investors collectively own 80.93% of Kroger’s stock.
• Kroger reported quarterly EPS of $1.09, topping estimates of $1.05, while revenue rose 2% year over year to $34.62 billion. The company reaffirmed fiscal 2026 EPS guidance of $5.10–$5.30.
• Kroger declared a quarterly dividend of $0.39 per share, equivalent to a 2.3% annualized yield. Analysts maintain a generally positive outlook, with a “Moderate Buy” consensus and an average price target of $70.35.

Brookmont Capital Management bought a new stake in The Kroger Co. (NYSE:KR - Free Report) during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 24,887 shares of the company's stock, valued at approximately $1,459,000.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in KR. Sowell Financial Services LLC grew its holdings in Kroger by 4.4% during the third quarter. Sowell Financial Services LLC now owns 58,234 shares of the company's stock valued at $3,414,000 after purchasing an additional 2,455 shares during the period. Tectonic Advisors LLC increased its position in Kroger by 24.1% in the third quarter. Tectonic Advisors LLC now owns 10,770 shares of the company's stock worth $631,000 after buying an additional 2,093 shares during the last quarter. Fifth Third Wealth Advisors LLC raised its stake in shares of Kroger by 14.1% in the third quarter. Fifth Third Wealth Advisors LLC now owns 14,131 shares of the company's stock valued at $828,000 after buying an additional 1,743 shares during the period. XXI Wealth LLC lifted its position in shares of Kroger by 80.5% during the 3rd quarter. XXI Wealth LLC now owns 19,195 shares of the company's stock valued at $1,125,000 after buying an additional 8,560 shares during the last quarter. Finally, Yousif Capital Management LLC grew its stake in shares of Kroger by 4.3% during the 3rd quarter. Yousif Capital Management LLC now owns 78,799 shares of the company's stock worth $4,619,000 after acquiring an additional 3,238 shares during the period. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In other news, EVP Mary Adcock sold 72,901 shares of the stock in a transaction dated Friday, September 18th. The shares were sold at an average price of $60.70, for a total value of $4,425,090.70. Following the sale, the executive vice president directly owned 175,233 shares of the company's stock, valued at approximately $10,636,643.10. This represents a 29.38% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Insiders own 0.41% of the company's stock.

Kroger Stock Performance

NYSE:KR opened at $66.88 on Friday. The company has a debt-to-equity ratio of 2.59, a quick ratio of 0.31 and a current ratio of 0.70. The Kroger Co. has a 52-week low of $54.15 and a 52-week high of $76.58. The firm has a market cap of $39.50 billion, a price-to-earnings ratio of 36.35, a PEG ratio of 1.94 and a beta of 0.36. The business's fifty day moving average is $59.71 and its 200 day moving average is $61.44.

Kroger (NYSE:KR - Get Free Report) last issued its quarterly earnings data on Friday, September 11th. The company reported $1.09 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $1.05 by $0.04. Kroger had a return on equity of 49.90% and a net margin of 0.73%. The business had revenue of $34.62 billion for the quarter, compared to analysts' expectations of $34.64 billion. During the same quarter in the prior year, the firm posted $1.04 EPS. The firm's quarterly revenue was up 2.0% on a year-over-year basis. Kroger has set its FY 2026 guidance at 5.100-5.300 EPS. Research analysts predict that The Kroger Co. will post 5.20 EPS for the current year.

Kroger Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 1st. Stockholders of record on Monday, November 16th will be issued a $0.39 dividend. This represents a $1.56 dividend on an annualized basis and a dividend yield of 2.3%. The ex-dividend date of this dividend is Monday, November 16th. Kroger's dividend payout ratio is presently 84.78%.

Analyst Upgrades and Downgrades

Several equities research analysts recently weighed in on the company. BNP Paribas Exane raised Kroger from a "neutral" rating to an "outperform" rating and set a $72.00 price objective for the company in a report on Wednesday, October 7th. UBS Group set a $66.00 price objective on Kroger and gave the company a "neutral" rating in a research note on Wednesday. Wall Street Zen raised shares of Kroger from a "hold" rating to a "buy" rating in a report on Saturday. Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $70.00 target price on shares of Kroger in a research report on Wednesday. Finally, Melius Research set a $80.00 target price on shares of Kroger and gave the stock a "buy" rating in a research note on Tuesday, September 29th. Twelve equities research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average target price of $70.35.

Trending Headlines about Kroger

Here are the key news stories impacting Kroger this week:

• Positive Sentiment: Kroger plans to open approximately 110 new stores, lower prices, expand digital capabilities and modernize operations. Management also aims to grow its private-label business to roughly $5 billion, potentially supporting customer retention and higher-margin sales. Kroger Details Growth Strategy to Open 110 Stores, Expand Own Brand to $5B, Modernize Operations
• Positive Sentiment: The proposed savings program could improve efficiency and help fund lower prices without relying entirely on sales growth. Planned savings include operational modernization and greater use of technology and artificial intelligence. Kroger’s $4B savings—a closer look
• Positive Sentiment: New-store development, including a location with a pharmacy and fuel center in Hockley, Texas, indicates continued investment in Kroger’s physical footprint and customer ecosystem. Kroger to break ground on new store with pharmacy and fuel center in Hockley
• Neutral Sentiment: Sell-side analysts continue to show a generally constructive view, with KR receiving a “Moderate Buy” rating; however, the rating does not eliminate concerns about the plan’s execution. The Kroger Co. Stock Rated Moderate Buy
• Negative Sentiment: Management acknowledged that Kroger has lost market share to Walmart and Costco. Cutting prices while funding a major investment program may pressure near-term margins, particularly if the projected savings take longer to materialize. Kroger Is Spending $5 Billion to Cut Prices
• Negative Sentiment: The strategy involves substantial operational change, including corporate job reductions and reliance on AI. Investors may be concerned about execution risk, employee disruption and whether lower prices will generate enough traffic to offset investment costs. 5 big numbers from Kroger’s Investor Day

Kroger Company Profile

The Kroger Co is a U.S. food and grocery retailer headquartered in Cincinnati, Ohio. Founded by Bernard Kroger in 1883, the company operates supermarkets under banners that include Kroger, Ralphs, Fred Meyer, King Soopers, Fry's, Harris Teeter and Smith's, among others.

Kroger's business includes the sale of fresh food, groceries, general merchandise, household products and health and beauty items. Many of its stores also provide pharmacy services and fuel centers. The company offers digital shopping, pickup and delivery services, loyalty programs and a range of private-label products, including Simple Truth, Private Selection and Kroger-branded products.

Kroger primarily serves customers across the United States, with stores concentrated in the Midwest, South, West and parts of the Mid-Atlantic region.

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