UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC Sells 366,742 Shares of The Kroger Co. $KR

Key Points

• UBS Asset Management cut its Kroger stake by 7% in the second quarter, selling 366,742 shares and retaining 4.88 million shares valued at approximately $270.9 million. Institutional investors collectively own 80.93% of Kroger.
• Analysts maintain a generally positive outlook, with a consensus “Moderate Buy” rating and an average price target of $72.00, despite Kroger shares opening at $57.50 and trading well below their 52-week high.
• Kroger reported quarterly revenue of $46.12 billion, up 2.2% year over year, while narrowly missing earnings estimates. The company also raised its quarterly dividend to $0.39 per share, equivalent to a 2.7% annualized yield.

UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC decreased its holdings in The Kroger Co. (NYSE:KR - Free Report) by 7.0% during the second quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The fund owned 4,878,071 shares of the company's stock after selling 366,742 shares during the quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC owned 0.80% of Kroger worth $270,879,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Brighton Jones LLC raised its holdings in Kroger by 27.3% in the 4th quarter. Brighton Jones LLC now owns 15,733 shares of the company's stock worth $962,000 after purchasing an additional 3,373 shares during the period. Woodline Partners LP grew its holdings in Kroger by 40.7% during the first quarter. Woodline Partners LP now owns 56,243 shares of the company's stock valued at $3,807,000 after purchasing an additional 16,270 shares during the period. Sivia Capital Partners LLC purchased a new stake in Kroger in the second quarter worth about $201,000. NewEdge Advisors LLC raised its stake in shares of Kroger by 11.5% in the second quarter. NewEdge Advisors LLC now owns 97,288 shares of the company's stock worth $6,978,000 after buying an additional 10,051 shares during the period. Finally, Nebula Research & Development LLC bought a new position in shares of Kroger in the second quarter worth about $1,840,000. 80.93% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of research analysts recently issued reports on the company. Telsey Advisory Group set a $78.00 price objective on Kroger and gave the company an "outperform" rating in a research note on Monday, June 22nd. Evercore reaffirmed an "outperform" rating and set a $78.00 price target on shares of Kroger in a report on Tuesday, July 7th. Wells Fargo & Company set a $58.00 price target on shares of Kroger in a research report on Monday, June 22nd. JPMorgan Chase & Co. reduced their price objective on shares of Kroger from $72.00 to $70.00 and set a "neutral" rating for the company in a research note on Thursday, June 11th. Finally, Royal Bank Of Canada restated an "outperform" rating on shares of Kroger in a research report on Monday, June 1st. Ten analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average price target of $72.00.

Kroger Price Performance

NYSE:KR opened at $57.50 on Tuesday. The firm has a market capitalization of $35.23 billion, a price-to-earnings ratio of 33.82, a PEG ratio of 1.55 and a beta of 0.43. The company has a debt-to-equity ratio of 2.43, a current ratio of 0.79 and a quick ratio of 0.39. The business has a 50 day simple moving average of $57.67 and a 200-day simple moving average of $64.34. The Kroger Co. has a 1 year low of $54.15 and a 1 year high of $76.58.

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

Kroger Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Saturday, August 15th will be issued a dividend of $0.39 per share. This represents a $1.56 dividend on an annualized basis 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%.

About Kroger

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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