Roth Capital Has Positive Estimate for Kroger Q2 Earnings

Key Points

• Roth Capital has raised its Q2 2026 earnings estimate for Kroger to $1.02 per share, reflecting confidence in the company's growth potential.
• Kroger recently announced a quarterly dividend increase to $0.35 per share, demonstrating a positive shift from the previous $0.32 dividend.
• The stock has a current market cap of $47.41 billion and a consensus price target set at $70.58 by analysts.

The Kroger Co. (NYSE:KR - Free Report) - Stock analysts at Roth Capital boosted their Q2 2026 earnings estimates for Kroger in a research report issued to clients and investors on Wednesday, August 20th. Roth Capital analyst W. Kirk now forecasts that the company will post earnings of $1.02 per share for the quarter, up from their previous estimate of $0.97. Roth Capital has a "Neutral" rating and a $66.00 price objective on the stock. The consensus estimate for Kroger's current full-year earnings is $4.44 per share. Roth Capital also issued estimates for Kroger's FY2026 earnings at $4.77 EPS.

Kroger (NYSE:KR - Get Free Report) last issued its earnings results 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 business had revenue of $45.12 billion during 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 for the quarter was down .3% compared to the same quarter last year. During the same period in the previous year, the company earned $1.43 earnings per share. Kroger has set its FY 2025 guidance at 4.600-4.800 EPS.

Other analysts have also issued reports about the stock. Jefferies Financial Group set a $83.00 price target on shares of Kroger and gave the stock a "buy" rating in a research note on Monday, June 23rd. Barclays began coverage on shares of Kroger in a research note on Monday, July 21st. They issued an "equal weight" rating and a $75.00 price target for the company. JPMorgan Chase & Co. reiterated a "neutral" rating and issued a $75.00 price target (down from $82.00) on shares of Kroger in a research note on Wednesday. Melius Research upgraded shares of Kroger from a "strong sell" rating to a "hold" rating in a research note on Tuesday, May 20th. Finally, Morgan Stanley set a $76.00 price target on shares of Kroger and gave the stock an "equal weight" rating in a research note on Monday, June 23rd. Seven investment analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $70.58.

Kroger Stock Performance

Shares of KR stock traded down $1.9870 during trading hours on Thursday, reaching $69.4330. The company had a trading volume of 6,981,074 shares, compared to its average volume of 6,605,369. The business has a fifty day moving average price of $70.95 and a 200-day moving average price of $68.58. Kroger has a one year low of $50.69 and a one year high of $74.90. The firm has a market cap of $45.89 billion, a PE ratio of 18.92, a price-to-earnings-growth ratio of 2.21 and a beta of 0.59. The company has a debt-to-equity ratio of 1.92, a quick ratio of 0.53 and a current ratio of 0.95.

Kroger Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 1st. Stockholders of record on Friday, August 15th will be issued a $0.35 dividend. This represents a $1.40 annualized dividend and a dividend yield of 2.0%. This is a boost from Kroger's previous quarterly dividend of $0.32. The ex-dividend date of this dividend is Friday, August 15th. Kroger's payout ratio is presently 38.15%.

Insider Transactions at Kroger

In other news, EVP Yael Cosset sold 71,224 shares of the business's stock in a transaction on Monday, June 23rd. The shares were sold at an average price of $73.49, for a total value of $5,234,251.76. Following the transaction, the executive vice president owned 139,124 shares of the company's stock, valued at approximately $10,224,222.76. The trade was a 33.86% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Mary Ellen Adcock sold 34,250 shares of the business's stock in a transaction 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 $13,127,098.68. This trade represents a 15.66% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 198,948 shares of company stock valued at $14,422,926. 0.44% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Kroger

Several hedge funds have recently modified their holdings of KR. Norges Bank bought a new stake in Kroger in the second quarter worth $518,267,000. Steadfast Capital Management LP bought a new stake in Kroger in the fourth quarter worth $277,989,000. Junto Capital Management LP bought a new stake in Kroger in the fourth quarter worth $264,207,000. Wellington Management Group LLP increased its position in Kroger by 85.3% in the first quarter. Wellington Management Group LLP now owns 6,397,771 shares of the company's stock worth $433,065,000 after purchasing an additional 2,945,848 shares during the last quarter. Finally, Nuveen LLC bought a new stake in Kroger in the first quarter worth $178,385,000. Hedge funds and other institutional investors own 80.93% of the company's stock.

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.