The Kroger Co. (NYSE:KR) Receives Average Rating of "Hold" from Brokerages

Key Points

• The Kroger Co. has received a consensus rating of “Hold” from 19 brokerages, with an average 12-month price target of $70.58.
• Kroger's most recent earnings report showed an EPS of $1.04, surpassing estimates, while revenue was slightly below at $33.94 billion.
• The company declared a quarterly dividend of $0.35 per share, reflecting an increase from the previous quarter’s dividend of $0.32.

Shares of The Kroger Co. (NYSE:KR - Get Free Report) have been given a consensus recommendation of "Hold" by the nineteen brokerages that are presently covering the company, MarketBeat Ratings reports. Twelve investment analysts have rated the stock with a hold rating and seven have given a buy rating to the company. The average 12-month price target among analysts that have updated their coverage on the stock in the last year is $70.5789.

Several research analysts recently weighed in on the stock. Morgan Stanley set a $76.00 target price on shares of Kroger and gave the stock an "equal weight" rating in a report on Monday, June 23rd. JPMorgan Chase & Co. reaffirmed 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. Roth Capital upped their target price on shares of Kroger from $58.00 to $66.00 and gave the stock a "neutral" rating in a report on Wednesday, August 20th. Barclays initiated coverage on shares of Kroger in a report on Monday, July 21st. They set an "equal weight" rating and a $75.00 price objective for the company. Finally, Deutsche Bank Aktiengesellschaft increased their price objective on shares of Kroger from $57.00 to $67.00 and gave the company a "hold" rating in a report on Monday, June 23rd.

Kroger Stock Performance

NYSE:KR opened at $67.28 on Friday. The stock has a 50-day simple moving average of $70.41 and a two-hundred day simple moving average of $68.84. Kroger has a 52-week low of $51.52 and a 52-week high of $74.90. The company has a debt-to-equity ratio of 1.92, a quick ratio of 0.53 and a current ratio of 0.95. The firm has a market capitalization of $44.46 billion, a PE ratio of 18.33, a P/E/G ratio of 2.14 and a beta of 0.59.

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

Kroger Increases Dividend

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

Insider Activity at Kroger

In related news, VP Carin L. Fike sold 16,475 shares of the stock in a transaction that occurred on 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 transaction, 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 ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, EVP Mary Ellen Adcock sold 34,250 shares of the stock in a transaction that occurred on Friday, June 27th. The shares were sold at an average price of $71.16, for a total value of $2,437,230.00. Following the transaction, the executive vice president directly owned 184,473 shares of the company's stock, valued at approximately $13,127,098.68. The trade was a 15.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 198,948 shares of company stock valued at $14,422,926 in the last 90 days. 0.44% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Accent Capital Management LLC bought a new position in shares of Kroger in the 1st quarter valued at about $25,000. SOA Wealth Advisors LLC. lifted its holdings in shares of Kroger by 6,840.0% in the 2nd quarter. SOA Wealth Advisors LLC. now owns 347 shares of the company's stock valued at $25,000 after acquiring an additional 342 shares during the last quarter. Atlantic Union Bankshares Corp bought a new stake in Kroger in the second quarter worth about $28,000. Rossby Financial LCC bought a new stake in Kroger in the second quarter worth about $29,000. Finally, Whipplewood Advisors LLC lifted its stake in Kroger by 10,425.0% in the second quarter. Whipplewood Advisors LLC now owns 421 shares of the company's stock worth $30,000 after purchasing an additional 417 shares during the last quarter. Institutional investors own 80.93% of the company's stock.

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.

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