Bank of New York Mellon Corp Invests $195.23 Million in The Kroger Co. $KR

Key Points

• Bank of New York Mellon acquired 3.52 million Kroger shares worth approximately $195.2 million, giving it a 0.57% stake. Institutional investors collectively own 80.93% of the company.
• Kroger reported quarterly revenue of $46.12 billion, up 2.2% year over year and above estimates, while adjusted earnings of $1.58 per share narrowly missed consensus by one cent.
• Kroger raised its quarterly dividend to $0.39 per share, implying an annualized yield of about 2.7%. Analysts maintain a “Moderate Buy” consensus with an average price target of $72, compared with the stock’s stated price of $57.86.

Bank of New York Mellon Corp acquired a new stake in The Kroger Co. (NYSE:KR - Free Report) during the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm acquired 3,515,822 shares of the company's stock, valued at approximately $195,234,000. Bank of New York Mellon Corp owned approximately 0.57% of Kroger as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently bought and sold shares of KR. Financial Engines Advisors L.L.C. lifted its holdings in shares of Kroger by 4.5% in the fourth quarter. Financial Engines Advisors L.L.C. now owns 3,537 shares of the company's stock worth $221,000 after acquiring an additional 153 shares during the last quarter. PFG Investments LLC grew its holdings in shares of Kroger by 3.3% during the 1st quarter. PFG Investments LLC now owns 4,899 shares of the company's stock valued at $354,000 after purchasing an additional 157 shares during the last quarter. Smartleaf Asset Management LLC increased its position in Kroger by 1.5% during the 4th quarter. Smartleaf Asset Management LLC now owns 10,747 shares of the company's stock worth $674,000 after purchasing an additional 162 shares in the last quarter. Stephens Inc. AR increased its position in Kroger by 1.0% during the 4th quarter. Stephens Inc. AR now owns 17,995 shares of the company's stock worth $1,124,000 after purchasing an additional 174 shares in the last quarter. Finally, ROI Financial Advisors LLC lifted its stake in Kroger by 2.0% in the 1st quarter. ROI Financial Advisors LLC now owns 8,943 shares of the company's stock valued at $647,000 after purchasing an additional 175 shares during the last quarter. Institutional investors own 80.93% of the company's stock.

Kroger Stock Up 2.7%

Shares of KR opened at $57.86 on Friday. The stock's 50-day moving average price is $57.88 and its two-hundred day moving average price is $64.71. The Kroger Co. has a 12 month low of $54.15 and a 12 month high of $76.58. The company has a market capitalization of $35.45 billion, a PE ratio of 34.04, a PEG ratio of 1.55 and a beta of 0.43. The company has a current ratio of 0.79, a quick ratio of 0.39 and a debt-to-equity ratio of 2.43.

Kroger (NYSE:KR - Get Free Report) last issued its quarterly earnings results on Thursday, June 18th. The company reported $1.58 earnings per share for the quarter, missing the consensus estimate of $1.59 by ($0.01). Kroger had a net margin of 0.71% and a return on equity of 44.33%. The company had revenue of $46.12 billion during the quarter, compared to analyst estimates of $45.59 billion. During the same period in the previous year, the company posted $1.49 EPS. The company's quarterly revenue was up 2.2% on a year-over-year basis. Kroger has set its FY 2026 guidance at 5.100-5.30 EPS. On average, analysts anticipate that The Kroger Co. will post 5.21 EPS for the current year.

Kroger Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Saturday, August 15th will be issued a dividend of $0.39 per share. This represents a $1.56 annualized dividend and a yield of 2.7%. The ex-dividend date is Friday, August 14th. This is a positive change from Kroger's previous quarterly dividend of $0.35. Kroger's dividend payout ratio (DPR) is 91.76%.

Kroger News Summary

Here are the key news stories impacting Kroger this week:

• Positive Sentiment: Kroger’s dividend profile continues to attract attention from income-focused investors. Analysts reviewing the stock highlight its potential appeal as a dividend investment, which could support demand for the shares. Kroger Could Be a Great Choice
• Positive Sentiment: The company is expanding its Fold Bitcoin Gift Card offering after a successful pilot, adding another digital and cryptocurrency-related feature for customers. The initiative is strategically positive but is unlikely to materially affect near-term financial results. Kroger Expands Fold Bitcoin Gift Card Offering
• Positive Sentiment: Kroger is unveiling a remodeled store in Worthington, Ohio, reflecting continued investment in store quality and the customer experience. Kroger to Unveil Remodeled Store
• Neutral Sentiment: An ice cream brand sold at Kroger and other retailers filed for Chapter 11 bankruptcy. The filing concerns the supplier’s ownership and future rather than Kroger’s finances, so the direct impact on KR appears limited. Ice Cream Brand Files for Chapter 11
• Neutral Sentiment: Kroger’s annual food-bank and peanut-butter donation efforts may support community goodwill but should have little direct effect on valuation. Kroger Holds Peanut Butter Drive
• Neutral Sentiment: Cincinnati officials limited protests near Kroger’s headquarters following complaints from a nearby small-business owner. The development reduces immediate disruption but highlights ongoing local tensions. Cincinnati Limits Kroger HQ Protests
• Negative Sentiment: Kroger plans to close 60 stores during 2026. Although closures could improve the portfolio by removing underperforming locations, the scale of the reductions raises concerns about sales, market presence and restructuring costs. Kroger to Shutter 60 Stores
• Negative Sentiment: Kroger faces a proposed $17 million class-action settlement involving pharmacy customers who used insurance for prescriptions. The settlement would create a financial cost and adds legal and reputational risk, though the amount is modest relative to Kroger’s scale. Kroger Pharmacy Settlement
• Negative Sentiment: Kroger agreed to pay $75,000 to resolve an EEOC disability-discrimination and retaliation lawsuit. The payment is financially immaterial but adds to legal and compliance headlines. Kroger EEOC Lawsuit Settlement

Analysts Set New Price Targets

A number of analysts have weighed in on the stock. Jefferies Financial Group restated a "buy" rating and issued a $80.00 target price on shares of Kroger in a research report on Wednesday, June 3rd. Guggenheim restated a "buy" rating and set a $71.00 price objective on shares of Kroger in a research report on Thursday, July 2nd. Royal Bank Of Canada reaffirmed an "outperform" rating on shares of Kroger in a report on Monday, June 1st. Wall Street Zen downgraded Kroger from a "buy" rating to a "hold" rating in a research report on Saturday, June 20th. Finally, Telsey Advisory Group set a $78.00 price target on Kroger and gave the company an "outperform" rating in a research note on Monday, June 22nd. Ten analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $72.00.

Kroger Company Profile

The Kroger Co NYSE: KR is one of the largest supermarket operators in the United States, offering a wide range of retail grocery and related services. Founded in Cincinnati in 1883 by Bernard Kroger, the company operates a portfolio of supermarket and multi-department store banners and provides customers with fresh foods, packaged groceries, deli and bakery items, meat and seafood, produce, and prepared foods. Kroger's stores commonly include pharmacy services and fuel centers, positioning the company as a broad-based neighborhood retail destination for everyday needs.

In addition to traditional in-store retailing, Kroger manufactures and distributes a variety of private-label brands and operates its own food production and supply-chain facilities.

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