Redwood Investment Management LLC Takes Position in The Kroger Co. $KR

Key Points

• Redwood Investment Management LLC has invested approximately $1.36 million in The Kroger Co., acquiring 20,109 shares in the first quarter of the year.
• Kroger has recently increased its quarterly dividend from $0.32 to $0.35 per share, marking a yield of 2.0%.
• In terms of recent stock performance, Kroger's shares are currently trading down 1.5% and analysts have mixed ratings, with a consensus price target of $70.58.

Redwood Investment Management LLC purchased a new stake in shares of The Kroger Co. (NYSE:KR - Free Report) during the 1st quarter, according to its most recent filing with the Securities & Exchange Commission. The institutional investor purchased 20,109 shares of the company's stock, valued at approximately $1,361,000.

A number of other large investors also recently modified their holdings of the company. Accent Capital Management LLC purchased a new stake in Kroger in the 1st quarter worth approximately $25,000. Garde Capital Inc. bought a new position in shares of Kroger in the first quarter worth $31,000. Capital Analysts LLC purchased a new stake in shares of Kroger in the first quarter worth $36,000. Sound Income Strategies LLC boosted its stake in Kroger by 46.7% during the first quarter. Sound Income Strategies LLC now owns 550 shares of the company's stock valued at $37,000 after buying an additional 175 shares during the period. Finally, GKV Capital Management Co. Inc. purchased a new position in Kroger during the first quarter worth about $38,000. 80.93% of the stock is currently owned by institutional investors.

Insider Buying and Selling

In other Kroger news, EVP Mary Ellen Adcock sold 34,250 shares of the business's stock in a transaction that occurred on Friday, June 27th. The stock was sold at an average price of $71.16, for a total value of $2,437,230.00. Following the completion of the sale, the executive vice president owned 184,473 shares in the company, valued at approximately $13,127,098.68. The trade was a 15.66% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Clyde R. Moore sold 3,810 shares of the firm's stock in a transaction that occurred on Wednesday, July 16th. The stock was sold at an average price of $71.61, for a total transaction of $272,834.10. Following the completion of the transaction, the director owned 85,850 shares in the company, valued at $6,147,718.50. This represents a 4.25% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 198,948 shares of company stock worth $14,422,926 in the last 90 days. 0.44% of the stock is currently owned by company insiders.

Kroger Price Performance

Shares of KR stock traded up $0.37 during trading hours on Friday, hitting $67.83. 5,420,800 shares of the company's stock were exchanged, compared to its average volume of 6,686,693. The company has a market capitalization of $44.83 billion, a PE ratio of 18.48, a PEG ratio of 2.15 and a beta of 0.59. The company has a current ratio of 0.95, a quick ratio of 0.53 and a debt-to-equity ratio of 1.92. The Kroger Co. has a 12-month low of $50.69 and a 12-month high of $74.90. The business's 50 day simple moving average is $71.10 and its 200-day simple moving average is $68.68.

Kroger (NYSE:KR - Get Free Report) last released its earnings results on Friday, June 20th. The company reported $1.49 EPS for the quarter, beating the consensus estimate of $1.45 by $0.04. The company had revenue of $45.12 billion for the quarter, compared to analyst estimates of $45.35 billion. Kroger had a net margin of 1.89% and a return on equity of 34.71%. The firm's quarterly revenue was down .3% compared to the same quarter last year. During the same quarter last year, the firm earned $1.43 EPS. Kroger has set its FY 2025 guidance at 4.600-4.800 EPS. On average, equities research analysts anticipate that The Kroger Co. will post 4.44 earnings per share for the current year.

Kroger Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 1st. Stockholders of record on Friday, August 15th will be issued a $0.35 dividend. This is an increase from Kroger's previous quarterly dividend of $0.32. This represents a $1.40 annualized dividend and a dividend yield of 2.1%. The ex-dividend date is Friday, August 15th. Kroger's dividend payout ratio (DPR) is presently 38.15%.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on KR shares. Jefferies Financial Group set a $83.00 price target on Kroger and gave the company a "buy" rating in a report on Monday, June 23rd. Barclays assumed coverage on shares of Kroger in a research note on Monday, July 21st. They issued an "equal weight" rating and a $75.00 target price on the stock. Telsey Advisory Group reissued an "outperform" rating and issued a $82.00 price target (up previously from $73.00) on shares of Kroger in a research note on Friday, June 20th. Roth Capital increased their price target on shares of Kroger from $58.00 to $66.00 and gave the stock a "neutral" rating in a report on Wednesday, August 20th. Finally, Wall Street Zen downgraded shares of Kroger from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 2nd. Seven equities research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. According to data from MarketBeat, Kroger has a consensus rating of "Hold" and a consensus target price of $70.58.

Kroger Company Profile

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.