The Kroger Co. $KR Stock Holdings Increased by Adage Capital Partners GP L.L.C.

Key Points

• Adage Capital Partners GP L.L.C. significantly increased its stake in Kroger, acquiring a total of 1,271,100 shares, representing a 56.2% boost.
• Kroger reported earnings of $1.49 per share, exceeding analysts' estimates, with quarterly revenue of $45.12 billion, slightly below expectations.
• The company has announced a quarterly dividend increase to $0.35 per share, reflecting a 9.4% rise from the previous dividend of $0.32.

Adage Capital Partners GP L.L.C. grew its stake in shares of The Kroger Co. (NYSE:KR - Free Report) by 56.2% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,271,100 shares of the company's stock after acquiring an additional 457,137 shares during the period. Adage Capital Partners GP L.L.C. owned about 0.19% of Kroger worth $86,041,000 at the end of the most recent quarter.

Several other hedge funds also recently added to or reduced their stakes in KR. Accent Capital Management LLC acquired a new position in Kroger during the 1st quarter worth $25,000. Garde Capital Inc. acquired a new position in Kroger during the 1st quarter worth $31,000. Capital Analysts LLC acquired a new position in Kroger during the 1st quarter worth $36,000. Sound Income Strategies LLC grew 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 acquiring an additional 175 shares in the last quarter. Finally, GKV Capital Management Co. Inc. acquired a new position in shares of Kroger in the 1st quarter valued at about $38,000. 80.93% of the stock is owned by institutional investors and hedge funds.

Insider Activity at Kroger

In other Kroger news, Director Clyde R. Moore sold 3,810 shares of the business's stock in a transaction dated Wednesday, July 16th. The shares were sold at an average price of $71.61, for a total transaction of $272,834.10. Following the sale, the director directly owned 85,850 shares in the company, valued at approximately $6,147,718.50. The trade was a 4.25% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Carin L. Fike sold 16,475 shares of the business's stock in a transaction dated 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 sale, the vice president owned 49,360 shares in the company, valued at $3,642,274.40. This trade represents a 25.02% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 198,948 shares of company stock worth $14,422,926 in the last three months. Insiders own 0.44% of the company's stock.

Wall Street Analysts Forecast Growth

Several research analysts have recently commented on KR shares. Telsey Advisory Group reaffirmed an "outperform" rating and issued a $82.00 price target (up from $73.00) on shares of Kroger in a report on Friday, June 20th. Wall Street Zen lowered shares of Kroger from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 2nd. Barclays started coverage on shares of Kroger in a report on Monday, July 21st. They issued an "equal weight" rating and a $75.00 price target for the company. Deutsche Bank Aktiengesellschaft lifted their price target on shares of Kroger from $57.00 to $67.00 and gave the company a "hold" rating in a report on Monday, June 23rd. Finally, Melius Research raised shares of Kroger from a "strong sell" rating to a "hold" rating in a report on Tuesday, May 20th. Seven equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company's stock. According to MarketBeat, the stock has an average rating of "Hold" and a consensus target price of $70.58.

Kroger Stock Performance

Kroger stock traded down $0.10 during midday trading on Friday, reaching $67.74. 5,575,044 shares of the stock traded hands, compared to its average volume of 6,407,211. 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 firm has a fifty day moving average price of $70.67 and a two-hundred day moving average price of $68.79. The firm has a market cap of $44.77 billion, a price-to-earnings ratio of 18.46, a PEG ratio of 2.16 and a beta of 0.59. The Kroger Co. has a fifty-two week low of $50.69 and a fifty-two week high of $74.90.

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

Kroger Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, September 1st. Shareholders of record on Friday, August 15th were given a dividend of $0.35 per share. This is a positive change from Kroger's previous quarterly dividend of $0.32. The ex-dividend date was Friday, August 15th. This represents a $1.40 dividend on an annualized basis and a dividend yield of 2.1%. Kroger's payout ratio is presently 38.15%.

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.