Brokerages Set The Kroger Co. (NYSE:KR) Target Price at $74.87

The Kroger Co. (NYSE:KR) has been given an average rating of “Moderate Buy” by the sixteen ratings firms that are presently covering the company, Marketbeat reports. Eight analysts have rated the stock with a hold recommendation and eight have given a buy recommendation to the company. The average 1 year price target among brokerages that have covered the stock in the last year is $74.8667.

A number of equities research analysts have commented on the company. Roth Mkm restated a “buy” rating and set a $78.00 price objective (up from $75.00) on shares of Kroger in a research report on Friday, March 6th. Telsey Advisory Group raised their price objective on Kroger from $80.00 to $82.00 and gave the stock an “outperform” rating in a research report on Thursday, March 5th. BMO Capital Markets restated a “market perform” rating and set a $70.00 price objective on shares of Kroger in a research report on Thursday, March 5th. Wall Street Zen upgraded Kroger from a “hold” rating to a “buy” rating in a research report on Saturday, April 4th. Finally, Wolfe Research restated an “outperform” rating and set a $75.00 price objective on shares of Kroger in a research report on Thursday, March 5th.

Institutional Investors Weigh In On Kroger

Institutional investors have recently bought and sold shares of the business. Vanguard Group Inc. raised its stake in shares of Kroger by 1.1% during the 4th quarter. Vanguard Group Inc. now owns 77,169,425 shares of the company’s stock worth $4,821,546,000 after purchasing an additional 868,529 shares in the last quarter. Wellington Management Group LLP raised its stake in shares of Kroger by 61.1% during the 3rd quarter. Wellington Management Group LLP now owns 33,367,551 shares of the company’s stock worth $2,249,307,000 after purchasing an additional 12,652,261 shares in the last quarter. State Street Corp raised its stake in shares of Kroger by 1.2% during the 3rd quarter. State Street Corp now owns 31,948,112 shares of the company’s stock worth $2,153,622,000 after purchasing an additional 386,503 shares in the last quarter. GQG Partners LLC raised its stake in shares of Kroger by 11.3% during the 4th quarter. GQG Partners LLC now owns 13,398,072 shares of the company’s stock worth $837,113,000 after purchasing an additional 1,360,946 shares in the last quarter. Finally, Dimensional Fund Advisors LP raised its stake in shares of Kroger by 0.4% during the 1st quarter. Dimensional Fund Advisors LP now owns 12,296,026 shares of the company’s stock worth $889,878,000 after purchasing an additional 53,625 shares in the last quarter. 80.93% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Kroger

Here are the key news stories impacting Kroger this week:

• Negative Sentiment: Investors are reacting to reports that Kroger plans to cut prices on thousands of items to stay competitive with Walmart, Costco and other grocers. While lower prices may help drive traffic and market share, they could also squeeze margins in the near term. Kroger plans to cut prices on thousands of items to boost competitiveness, Bloomberg report says
• Negative Sentiment: Sentiment also weakened after Kroger announced the retirement of Tim Massa, its Executive Vice President and Chief Associate Experience Officer, adding another leadership change at a time when the company is trying to execute on pricing and operational initiatives. Kroger announces retirement of Tim Massa, Executive Vice President and Chief Associate Experience Officer
• Negative Sentiment: Separately, a recall of Kroger-branded croutons in 17 states over possible salmonella contamination could weigh on investor confidence by raising food-safety and brand-reputation concerns. Kroger croutons recalled in 17 states over possible salmonella contamination
• Negative Sentiment: A market note from Zacks highlighted that KR fell despite broader market gains, reinforcing the view that investors are rotating out of the stock amid pricing-pressure worries. Kroger (KR) Stock Drops Despite Market Gains: Important Facts to Note
• Neutral Sentiment: Kroger also continued to signal a push to strengthen its brand and community presence, including a NASCAR-themed event and broader marketing efforts, which are unlikely to move the stock much on their own. Kroger hosting “Team Tune-Up” event Friday in Lebanon, featuring NASCAR driver Ryan Preece

Kroger Trading Down 3.9%

Shares of KR opened at $64.64 on Wednesday. The business’s 50-day moving average price is $69.18 and its 200 day moving average price is $66.78. The stock has a market capitalization of $39.60 billion, a P/E ratio of 42.25, a P/E/G ratio of 1.79 and a beta of 0.46. Kroger has a 1-year low of $58.60 and a 1-year high of $76.58. The company has a current ratio of 0.80, a quick ratio of 0.42 and a debt-to-equity ratio of 2.66.

Kroger (NYSE:KR) last issued its quarterly earnings results on Thursday, March 5th. The company reported $1.28 earnings per share for the quarter, topping analysts’ consensus estimates of $1.20 by $0.08. Kroger had a return on equity of 41.08% and a net margin of 0.69%.The firm had revenue of $34.73 billion for the quarter, compared to analysts’ expectations of $35.10 billion. During the same quarter last year, the business posted $1.14 EPS. Kroger’s revenue was up 1.2% on a year-over-year basis. Kroger has set its FY 2026 guidance at 5.100-5.300 EPS. Analysts expect that Kroger will post 5.24 earnings per share for the current year.

Kroger Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, June 1st. Shareholders of record on Friday, May 15th will be given a dividend of $0.35 per share. The ex-dividend date is Friday, May 15th. This represents a $1.40 dividend on an annualized basis and a yield of 2.2%. Kroger’s dividend payout ratio (DPR) is presently 91.50%.

Kroger Company Profile

The Kroger Co (NYSE: KR) is one of the largest supermarket operators in the United States, offering a wide range of retail grocery and related services. Founded in Cincinnati in 1883 by Bernard Kroger, the company operates a portfolio of supermarket and multi-department store banners and provides customers with fresh foods, packaged groceries, deli and bakery items, meat and seafood, produce, and prepared foods. Kroger’s stores commonly include pharmacy services and fuel centers, positioning the company as a broad-based neighborhood retail destination for everyday needs.

In addition to traditional in-store retailing, Kroger manufactures and distributes a variety of private-label brands and operates its own food production and supply-chain facilities.