Assenagon Asset Management S.A. Sells 504,541 Shares of The Kroger Co. $KR

Key Points

• Assenagon Asset Management cut its Kroger stake by 61.7% in the third quarter, selling 504,541 shares and retaining 313,777 shares worth approximately $18.4 million. Institutional investors collectively own 80.93% of Kroger.
• Kroger exceeded quarterly earnings expectations with adjusted EPS of $1.09 and revenue of $34.62 billion, while reaffirming fiscal 2026 EPS guidance of $5.10–$5.30. Management highlighted improving pharmacy margins, profitable e-commerce, retail-media growth and cost savings.
• Kroger declared a quarterly dividend of $0.39 per share, equivalent to an annualized $1.56 and a 2.5% yield. Analysts maintain a “Moderate Buy” consensus, with an average price target of $69.82.

Assenagon Asset Management S.A. lowered its holdings in The Kroger Co. (NYSE:KR - Free Report) by 61.7% during the third quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 313,777 shares of the company's stock after selling 504,541 shares during the quarter. Assenagon Asset Management S.A. owned 0.05% of Kroger worth $18,394,000 at the end of the most recent quarter.

Several other hedge funds have also recently added to or reduced their stakes in the business. Whipplewood Advisors LLC bought a new position in shares of Kroger during the 1st quarter worth approximately $27,000. MV Capital Management Inc. acquired a new stake in Kroger in the 4th quarter valued at $26,000. Axiom Investment Management LLC bought a new stake in Kroger in the first quarter valued at $31,000. Cedar Mountain Advisors LLC bought a new stake in Kroger in the first quarter valued at $33,000. Finally, North Point Portfolio Managers Corp OH bought a new stake in Kroger in the third quarter valued at $30,000. Institutional investors and hedge funds own 80.93% of the company's stock.

Kroger News Summary

Here are the key news stories impacting Kroger this week:

• Positive Sentiment: Quarterly results and outlook supported the stock. Kroger reported adjusted earnings of $1.09 per share on approximately $34.6 billion in sales, ahead of earnings expectations, while reaffirming fiscal 2026 adjusted EPS guidance of $5.10–$5.30. Management also cited improving pharmacy margins, e-commerce profitability, retail-media growth and additional cost savings. Kroger Gains as Investors Focus on Earnings Beat and Stable Profit Outlook
• Positive Sentiment: Corporate restructuring could improve profitability. Kroger plans to eliminate roughly 3,000 corporate positions over three years while expanding its use of artificial intelligence. The company says the savings can help fund lower prices, potentially strengthening its competitive position and margins. An investor day scheduled for October 20 could provide more detail on the strategy. Kroger cites AI efficiency push as it cuts corporate jobs
• Positive Sentiment: Seasonal demand and market share remain favorable. Kroger expects to sell 25 million pounds of Halloween candy, highlighting the potential for seasonal sales momentum. Separately, the grocer continues to lead the Central Ohio grocery market. Kroger is America's candy destination

Kroger Stock Performance

Kroger stock opened at $63.53 on Monday. The stock has a 50-day simple moving average of $58.86 and a 200 day simple moving average of $61.61. The stock has a market capitalization of $37.52 billion, a price-to-earnings ratio of 34.53, a P/E/G ratio of 1.74 and a beta of 0.36. The company has a quick ratio of 0.31, a current ratio of 0.70 and a debt-to-equity ratio of 2.59. The Kroger Co. has a 12-month low of $54.15 and a 12-month high of $76.58.

Kroger (NYSE:KR - Get Free Report) last issued its quarterly earnings data on Friday, September 11th. The company reported $1.09 EPS for the quarter, topping analysts' consensus estimates of $1.05 by $0.04. Kroger had a net margin of 0.73% and a return on equity of 49.90%. The firm had revenue of $34.62 billion for the quarter, compared to analyst estimates of $34.64 billion. During the same quarter in the prior year, the firm earned $1.04 EPS. The company's revenue was up 2.0% on a year-over-year basis. Kroger has set its FY 2026 guidance at 5.100-5.300 EPS. On average, research analysts anticipate that The Kroger Co. will post 5.19 earnings per share for the current fiscal year.

Kroger Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, December 1st. Stockholders of record on Monday, November 16th will be paid a $0.39 dividend. This represents a $1.56 annualized dividend and a dividend yield of 2.5%. The ex-dividend date of this dividend is Monday, November 16th. Kroger's dividend payout ratio (DPR) is 84.78%.

Wall Street Analyst Weigh In

A number of research analysts have issued reports on KR shares. HC Wainwright reissued a "buy" rating on shares of Kroger in a report on Thursday, July 2nd. Morgan Stanley lowered their target price on shares of Kroger from $73.00 to $67.00 and set an "equal weight" rating on the stock in a report on Monday, June 22nd. Weiss Ratings reiterated a "hold (c)" rating on shares of Kroger in a research report on Monday, September 14th. Melius Research set a $80.00 target price on shares of Kroger and gave the stock a "buy" rating in a research report on Tuesday, September 29th. Finally, Citigroup reissued a "neutral" rating and set a $57.00 price target (down from $61.00) on shares of Kroger in a report on Tuesday, September 1st. Twelve research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus target price of $69.82.

Insider Activity at Kroger

In other news, EVP Mary Adcock sold 72,901 shares of the business's stock in a transaction on Friday, September 18th. The stock was sold at an average price of $60.70, for a total transaction of $4,425,090.70. Following the completion of the sale, the executive vice president owned 175,233 shares in the company, valued at $10,636,643.10. The trade was a 29.38% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Company insiders own 0.41% of the company's stock.

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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