Mackenzie Financial Corp Increases Stake in The Kroger Co. (NYSE:KR)

Key Points

• Mackenzie Financial Corp has increased its stake in The Kroger Co. by 18.6% during the first quarter, owning approximately 0.14% of the company valued at $63.77 million.
• Several hedge funds, including Brighton Jones LLC and Pictet Asset Management, have also boosted their holdings in Kroger, indicating strong institutional confidence in the stock.
• Kroger recently announced a dividend increase to $0.35 per share, marking a rise from the previous dividend of $0.32, with a payout ratio of 34.88%.

Mackenzie Financial Corp raised its stake in The Kroger Co. (NYSE:KR - Free Report) by 18.6% during the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 942,018 shares of the company's stock after acquiring an additional 147,864 shares during the quarter. Mackenzie Financial Corp owned approximately 0.14% of Kroger worth $63,765,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. IFC Advisors LLC lifted its holdings in Kroger by 1.7% during the first quarter. IFC Advisors LLC now owns 8,642 shares of the company's stock valued at $585,000 after purchasing an additional 142 shares during the last quarter. Brown Brothers Harriman & Co. lifted its holdings in Kroger by 0.9% during the 4th quarter. Brown Brothers Harriman & Co. now owns 18,045 shares of the company's stock worth $1,103,000 after purchasing an additional 154 shares in the last quarter. Rothschild Investment LLC lifted its holdings in Kroger by 2.0% during the 1st quarter. Rothschild Investment LLC now owns 8,049 shares of the company's stock worth $545,000 after purchasing an additional 155 shares in the last quarter. Gratus Wealth Advisors LLC lifted its holdings in Kroger by 1.6% during the 1st quarter. Gratus Wealth Advisors LLC now owns 11,182 shares of the company's stock worth $757,000 after purchasing an additional 174 shares in the last quarter. Finally, Sound Income Strategies LLC lifted its holdings in Kroger by 46.7% during the 1st quarter. Sound Income Strategies LLC now owns 550 shares of the company's stock worth $37,000 after purchasing an additional 175 shares in the last quarter. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In other Kroger news, VP Carin L. Fike sold 16,475 shares of the company's stock in a transaction that occurred on Monday, June 23rd. The stock was sold at an average price of $73.79, for a total transaction of $1,215,690.25. Following the transaction, the vice president owned 49,360 shares in the company, valued at approximately $3,642,274.40. This represents a 25.02% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Gabriel Arreaga sold 37,960 shares of the company's stock in a transaction dated Wednesday, June 25th. The stock was sold at an average price of $72.44, for a total transaction of $2,749,822.40. Following the completion of the sale, the executive vice president owned 75,218 shares in the company, valued at approximately $5,448,791.92. This trade represents a 33.54% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 198,948 shares of company stock valued at $14,422,926. 0.44% of the stock is owned by insiders.

Analyst Ratings Changes

KR has been the topic of a number of recent research reports. Barclays began coverage on Kroger in a report on Monday, July 21st. They set an "equal weight" rating and a $75.00 price objective on the stock. Morgan Stanley set a $76.00 price objective on Kroger and gave the stock an "equal weight" rating in a research report on Monday, June 23rd. Wall Street Zen upgraded Kroger from a "buy" rating to a "strong-buy" rating in a research report on Friday, July 18th. UBS Group reiterated a "neutral" rating and issued a $74.00 price objective (up previously from $66.00) on shares of Kroger in a research report on Monday, June 23rd. Finally, Melius Research upgraded Kroger from a "strong sell" rating to a "hold" rating in a research report on Tuesday, May 20th. Ten investment analysts have rated the stock with a hold rating, eight have given a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $70.16.

Kroger Trading Down 0.0%

Shares of NYSE KR traded down $0.01 during mid-day trading on Wednesday, hitting $69.29. The stock had a trading volume of 5,296,880 shares, compared to its average volume of 7,101,950. The company has a debt-to-equity ratio of 1.92, a quick ratio of 0.53 and a current ratio of 0.95. The Kroger Co. has a 1 year low of $50.69 and a 1 year high of $74.11. The business has a 50 day moving average price of $69.31 and a two-hundred day moving average price of $67.19. The firm has a market cap of $45.79 billion, a P/E ratio of 18.88, a price-to-earnings-growth ratio of 2.21 and a beta of 0.59.

Kroger (NYSE:KR - Get Free Report) last issued its earnings results on Friday, June 20th. The company reported $1.49 EPS for the quarter, topping the consensus estimate of $1.45 by $0.04. Kroger had a net margin of 1.76% and a return on equity of 30.01%. The company had revenue of $45.12 billion for the quarter, compared to the consensus estimate of $45.35 billion. During the same period in the previous year, the firm earned $1.43 earnings per share. The firm's revenue for the quarter was down .3% on a year-over-year basis. On average, equities analysts anticipate that The Kroger Co. will post 4.44 EPS for the current fiscal year.

Kroger Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 1st. Stockholders of record on Friday, August 15th will be paid a dividend of $0.35 per share. The ex-dividend date is Friday, August 15th. This is a boost from Kroger's previous quarterly dividend of $0.32. This represents a $1.40 annualized dividend and a dividend yield of 2.02%. Kroger's payout ratio is 34.88%.

About Kroger

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.