S Bank Fund Management Ltd Invests $5 Million in The Kroger Co. (NYSE:KR)

Key Points

• S Bank Fund Management Ltd invested $5 million in The Kroger Co., acquiring approximately 73,832 shares during the first quarter, demonstrating growing institutional interest in the company.
• Kroger has recently increased its quarterly dividend from $0.32 to $0.35, reflecting a commitment to returning value to shareholders.
• Several analysts have revised their price targets for Kroger, with JPMorgan Chase raising its target from $72 to $82, indicating positive market sentiment around the stock.

S Bank Fund Management Ltd acquired a new position in shares of The Kroger Co. (NYSE:KR - Free Report) in the 1st quarter, according to its most recent Form 13F filing with the SEC. The firm acquired 73,832 shares of the company's stock, valued at approximately $4,998,000.

A number of other large investors also recently modified their holdings of KR. Steadfast Capital Management LP bought a new position in shares of Kroger in the 4th quarter worth about $277,989,000. Junto Capital Management LP bought a new position in shares of Kroger in the 4th quarter worth about $264,207,000. Nuveen LLC bought a new position in shares of Kroger in the 1st quarter worth about $178,385,000. Alyeska Investment Group L.P. bought a new stake in Kroger in the 4th quarter valued at about $123,829,000. Finally, GAMMA Investing LLC lifted its position in Kroger by 7,363.9% in the 1st quarter. GAMMA Investing LLC now owns 1,706,397 shares of the company's stock valued at $115,506,000 after purchasing an additional 1,683,535 shares during the last quarter. 80.93% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several analysts recently weighed in on the stock. UBS Group reiterated a "neutral" rating and issued a $74.00 price objective (up from $66.00) on shares of Kroger in a research report on Monday, June 23rd. Jefferies Financial Group set a $83.00 price objective on shares of Kroger and gave the company a "buy" rating in a research report on Monday, June 23rd. Telsey Advisory Group reiterated an "outperform" rating and issued a $82.00 price objective (up from $73.00) on shares of Kroger in a research report on Friday, June 20th. Wall Street Zen downgraded shares of Kroger from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 2nd. Finally, Evercore ISI lifted their price objective on shares of Kroger from $80.00 to $82.00 and gave the company an "outperform" rating in a research report on Tuesday. Ten analysts have rated the stock with a hold rating and nine have assigned a buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $70.53.

Kroger Price Performance

Kroger stock traded down $1.09 during trading hours on Thursday, hitting $69.24. 5,315,253 shares of the company traded hands, compared to its average volume of 6,711,739. The firm has a market cap of $45.76 billion, a P/E ratio of 18.87, a P/E/G ratio of 2.24 and a beta of 0.59. The company has a quick ratio of 0.53, a current ratio of 0.95 and a debt-to-equity ratio of 1.92. The firm's 50-day simple moving average is $70.33 and its two-hundred day simple moving average is $68.21. The Kroger Co. has a 1-year low of $50.69 and a 1-year high of $74.90.

Kroger (NYSE:KR - Get Free Report) last announced its quarterly earnings data on Friday, June 20th. The company reported $1.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.45 by $0.04. The company had revenue of $45.12 billion for the quarter, compared to analysts' expectations of $45.35 billion. Kroger had a net margin of 1.89% and a return on equity of 34.71%. The business's revenue was down .3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.43 EPS. As a group, analysts forecast that The Kroger Co. will post 4.44 earnings per share for the current fiscal year.

Kroger Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 1st. Stockholders of record on Friday, August 15th will be paid a $0.35 dividend. The ex-dividend date of this dividend is Friday, August 15th. This represents a $1.40 annualized dividend and a dividend yield of 2.0%. This is an increase from Kroger's previous quarterly dividend of $0.32. Kroger's dividend payout ratio is presently 34.88%.

Insider Buying and Selling

In other news, EVP Gabriel Arreaga sold 37,960 shares of Kroger stock in a transaction that occurred on Wednesday, June 25th. The shares were sold at an average price of $72.44, for a total value of $2,749,822.40. Following the transaction, the executive vice president owned 75,218 shares of the company's stock, valued at $5,448,791.92. The trade was a 33.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, EVP Mary Ellen Adcock sold 34,250 shares of Kroger stock in a transaction that occurred on Friday, June 27th. The stock was sold at an average price of $71.16, for a total transaction of $2,437,230.00. Following the completion of the transaction, the executive vice president directly owned 184,473 shares in the company, valued at approximately $13,127,098.68. This trade represents a 15.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 198,948 shares of company stock worth $14,422,926. 0.44% of the stock is owned by insiders.

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.