Kroger (NYSE:KR) Upgraded to "Buy" at Roth Mkm

Key Points

• Kroger has been upgraded from a "neutral" rating to a "buy" rating by Roth Mkm, with a target price set at $75.00, indicating a potential upside of 12.38% from its current trading price.
• Other analysts including JPMorgan and UBS have maintained neutral ratings but adjusted their target prices, reflecting a mixed sentiment towards Kroger's stock performance.
• The company's recent earnings report shows an increase in EPS to $1.04, exceeding analyst expectations, although its revenue fell slightly short of consensus estimates.

Roth Mkm upgraded shares of Kroger (NYSE:KR - Free Report) from a neutral rating to a buy rating in a research report report published on Wednesday,Benzinga reports. Roth Mkm currently has $75.00 price objective on the stock, up from their prior price objective of $66.00.

A number of other research analysts have also recently commented on KR. Deutsche Bank Aktiengesellschaft increased their price target on shares of Kroger from $57.00 to $67.00 and gave the company a "hold" rating in a research report on Monday, June 23rd. Evercore ISI raised their target price on shares of Kroger from $80.00 to $82.00 and gave the stock an "outperform" rating in a report on Tuesday, August 12th. Guggenheim restated a "buy" rating and issued a $78.00 target price on shares of Kroger in a report on Friday, September 12th. JPMorgan Chase & Co. restated a "neutral" rating and issued a $75.00 target price (down previously from $82.00) on shares of Kroger in a report on Wednesday, August 20th. Finally, Jefferies Financial Group set a $83.00 target price on shares of Kroger and gave the stock a "buy" rating in a report on Monday, June 23rd. Nine research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $72.70.

Kroger Price Performance

NYSE KR traded down $0.36 on Wednesday, reaching $65.63. 16,278,217 shares of the company's stock traded hands, compared to its average volume of 7,582,479. Kroger has a 12 month low of $54.83 and a 12 month high of $74.90. The company has a debt-to-equity ratio of 1.85, a current ratio of 0.95 and a quick ratio of 0.54. The stock has a 50-day simple moving average of $69.99 and a 200 day simple moving average of $69.00. The stock has a market cap of $43.37 billion, a PE ratio of 16.66, a P/E/G ratio of 1.91 and a beta of 0.59.

Kroger (NYSE:KR - Get Free Report) last issued its quarterly earnings results on Thursday, September 11th. The company reported $1.04 EPS for the quarter, beating analysts' consensus estimates of $1.00 by $0.04. Kroger had a net margin of 1.86% and a return on equity of 32.62%. The business had revenue of $33.94 billion for the quarter, compared to analysts' expectations of $34.08 billion. During the same period last year, the business earned $0.93 earnings per share. The business's quarterly revenue was up .1% on a year-over-year basis. Kroger has set its FY 2025 guidance at 4.700-4.800 EPS. As a group, research analysts predict that Kroger will post 4.44 earnings per share for the current year.

Kroger Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, December 1st. Investors of record on Friday, November 14th will be issued a $0.35 dividend. This represents a $1.40 annualized dividend and a yield of 2.1%. The ex-dividend date is Friday, November 14th. Kroger's dividend payout ratio (DPR) is presently 35.53%.

Insider Buying and Selling

In other Kroger news, 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 completion of the sale, the vice president directly owned 49,360 shares in the company, valued at $3,642,274.40. The trade was a 25.02% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Clyde R. Moore sold 3,810 shares of the company'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 value of $272,834.10. Following the completion of the transaction, the director owned 85,850 shares of the company's stock, valued at $6,147,718.50. The trade was a 4.25% 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. 0.44% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Accent Capital Management LLC bought a new position in Kroger in the 1st quarter worth approximately $25,000. SOA Wealth Advisors LLC. raised its holdings in shares of Kroger by 6,840.0% during the 2nd quarter. SOA Wealth Advisors LLC. now owns 347 shares of the company's stock worth $25,000 after acquiring an additional 342 shares in the last quarter. Atlantic Union Bankshares Corp purchased a new stake in shares of Kroger during the 2nd quarter worth approximately $28,000. Rossby Financial LCC purchased a new stake in shares of Kroger during the 2nd quarter worth approximately $29,000. Finally, Whipplewood Advisors LLC raised its holdings in shares of Kroger by 10,425.0% during the 2nd quarter. Whipplewood Advisors LLC now owns 421 shares of the company's stock worth $30,000 after acquiring an additional 417 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors.

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.