The Kroger Co. Plans Quarterly Dividend of $0.35 (NYSE:KR)

Key Points

• Kroger Co. declared a quarterly dividend of $0.35 per share, with a payout to stockholders on December 1st, representing a 2.1% dividend yield.
• The company reported earnings of $1.04 per share for the last quarter, exceeding analysts' expectations, and has established a FY 2025 guidance of $4.700-4.800 EPS.
• Recent insider trading activity saw executives selling significant shares of Kroger stock, raising concerns, as insiders currently hold only 0.44% of the company's stock.

The Kroger Co. (NYSE:KR - Get Free Report) declared a quarterly dividend on Thursday, September 18th, RTT News reports. Investors of record on Friday, November 14th will be given a dividend of 0.35 per share on Monday, December 1st. This represents a c) dividend on an annualized basis and a yield of 2.1%. The ex-dividend date of this dividend is Friday, November 14th.

Kroger has a dividend payout ratio of 24.8% indicating that its dividend is sufficiently covered by earnings. Research analysts expect Kroger to earn $4.72 per share next year, which means the company should continue to be able to cover its $1.28 annual dividend with an expected future payout ratio of 27.1%.

Kroger Stock Performance

NYSE:KR traded down $0.36 during midday trading on Friday, reaching $65.63. The stock had a trading volume of 16,278,217 shares, compared to its average volume of 7,582,479. The firm has a fifty day simple moving average of $69.99 and a two-hundred day simple moving average of $69.00. Kroger has a 12-month low of $54.83 and a 12-month high of $74.90. The company has a quick ratio of 0.54, a current ratio of 0.95 and a debt-to-equity ratio of 1.85. The stock has a market cap of $43.37 billion, a P/E 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 posted its quarterly earnings data 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 1.86% and a return on equity of 32.62%. The firm had revenue of $33.94 billion for the quarter, compared to analyst estimates of $34.08 billion. During the same period last year, the firm posted $0.93 EPS. Kroger'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. On average, equities analysts expect that Kroger will post 4.44 EPS for the current year.

Insider Activity

In other news, EVP Timothy A. Massa sold 8,415 shares of the firm's stock in a transaction that occurred on Monday, June 23rd. The shares were sold at an average price of $74.00, for a total transaction of $622,710.00. Following the completion of the sale, the executive vice president owned 118,761 shares of the company's stock, valued at approximately $8,788,314. This trade represents a 6.62% 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 Gabriel Arreaga sold 37,960 shares of the firm's stock in a transaction that occurred on Wednesday, June 25th. The stock was sold at an average price of $72.44, for a total transaction of $2,749,822.40. Following the sale, the executive vice president directly owned 75,218 shares of the company's stock, valued at $5,448,791.92. The trade was a 33.54% 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 worth $14,422,926. Insiders own 0.44% of the company's stock.

Institutional Trading of Kroger

A number of hedge funds have recently made changes to their positions in KR. Accent Capital Management LLC acquired a new stake in shares of Kroger during the first quarter worth approximately $25,000. SOA Wealth Advisors LLC. lifted its stake in Kroger by 6,840.0% during the second quarter. SOA Wealth Advisors LLC. now owns 347 shares of the company's stock worth $25,000 after purchasing an additional 342 shares during the last quarter. Atlantic Union Bankshares Corp bought a new position in Kroger during the second quarter worth $28,000. Rossby Financial LCC bought a new position in Kroger during the second quarter worth $29,000. Finally, Whipplewood Advisors LLC lifted its stake in Kroger by 10,425.0% during 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 and hedge funds 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.