Kroger's (KR) "Buy" Rating Reaffirmed at Guggenheim

Key Points

• Kroger's stock received a "buy" rating from Guggenheim with a price target of $78.00, suggesting a potential upside of 15.93% from its current price.
• The company's most recent earnings report showed EPS of $1.04, exceeding analyst expectations, although revenue slightly missed consensus estimates.
• Kroger's current consensus rating is "Hold," with a majority of analysts rating it either "Buy" or "Hold," reflecting mixed sentiments among investors.

Kroger (NYSE:KR - Get Free Report)'s stock had its "buy" rating reiterated by Guggenheim in a note issued to investors on Friday,Benzinga reports. They currently have a $78.00 price target on the stock. Guggenheim's price target would indicate a potential upside of 15.93% from the stock's current price.

A number of other research analysts also recently issued reports on the stock. Telsey Advisory Group restated an "outperform" rating and issued a $82.00 price target on shares of Kroger in a research report on Thursday. Wall Street Zen downgraded shares of Kroger from a "strong-buy" rating to a "buy" rating in a research note on Saturday, August 2nd. Melius raised shares of Kroger from a "sell" rating to a "hold" rating and set a $70.00 price target on the stock in a research note on Tuesday, May 20th. 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, Evercore ISI boosted their target price on shares of Kroger from $80.00 to $82.00 and gave the company an "outperform" rating in a report on Tuesday, August 12th. 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 presently has a consensus rating of "Hold" and a consensus price target of $70.58.

Kroger Trading Up 0.4%

KR opened at $67.28 on Friday. The company's 50 day moving average is $70.41 and its 200-day moving average is $68.84. Kroger has a 1-year low of $51.52 and a 1-year high of $74.90. 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 company has a market cap of $44.46 billion, a P/E ratio of 18.33, a PEG ratio of 2.14 and a beta of 0.59.

Kroger (NYSE:KR - Get Free Report) last posted its quarterly earnings results on Thursday, September 11th. The company reported $1.04 earnings per share for the quarter, beating analysts' consensus estimates of $1.00 by $0.04. Kroger had a net margin of 1.89% and a return on equity of 34.71%. The company had revenue of $33.94 billion for the quarter, compared to the consensus estimate of $34.08 billion. During the same period last year, the company posted $0.93 EPS. The firm's quarterly revenue was up .1% compared to the same quarter last year. Kroger has set its FY 2025 guidance at 4.700-4.800 EPS. Equities research analysts predict that Kroger will post 4.44 earnings per share for the current fiscal year.

Insider Activity

In other Kroger news, EVP Gabriel Arreaga sold 37,960 shares of the firm's stock in a transaction dated Wednesday, June 25th. The stock was sold at an average price of $72.44, for a total value of $2,749,822.40. Following the completion of the sale, the executive vice president owned 75,218 shares of the company's stock, valued at approximately $5,448,791.92. This trade represents a 33.54% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Carin L. Fike sold 16,475 shares of the firm's stock in a transaction dated Monday, June 23rd. The stock was sold at an average price of $73.79, for a total value of $1,215,690.25. Following the completion of the sale, the vice president directly owned 49,360 shares of the company's stock, valued at approximately $3,642,274.40. This represents a 25.02% decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 198,948 shares of company stock valued at $14,422,926. Company insiders own 0.44% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of KR. Accent Capital Management LLC purchased a new position in Kroger during the first quarter valued at approximately $25,000. SOA Wealth Advisors LLC. raised its position in Kroger by 6,840.0% during the second quarter. SOA Wealth Advisors LLC. now owns 347 shares of the company's stock valued at $25,000 after acquiring an additional 342 shares in the last quarter. Atlantic Union Bankshares Corp purchased a new position in Kroger during the second quarter valued at approximately $28,000. Rossby Financial LCC purchased a new position in Kroger during the second quarter valued at approximately $29,000. Finally, Whipplewood Advisors LLC increased its position in shares of Kroger by 10,425.0% in the second quarter. Whipplewood Advisors LLC now owns 421 shares of the company's stock valued at $30,000 after buying an additional 417 shares in the last quarter. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

About Kroger

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.

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