The Kroger Co. (KR) – Don’t Believe the Hype: Check The Facts

The Kroger Co. (NYSE: KR) is 24.73% higher on its value in year-to-date trading and has touched a low of $23.02 and a high of $36.88 in the current 52-week trading range. The KR stock was last observed hovering at around $36.37 in the last trading session, with the day’s loss setting it -0.21% off its average median price target of $36.50 for the next 12 months. It is also 13.9% off the consensus price target high of $42.00 offered by 26 analysts, but current levels are -39.08% lower than the price target low of $26.00 for the same period.

Currently trading at $36.16, the stock is 2.19% and 5.36% above its SMA20 and SMA50 respectively. However, with a daily trading volume of 6.21 million and changing -0.58% at the moment leaves the stock 16.22% off its SMA200. KR registered 53.81% gain for a year compared to 6-month gain of 28.55%. The firm has a 50-day simple moving average (SMA 50) of $34.84 and a 200-day simple moving average (SMA200) of $32.51.

The stock witnessed a 2.99% loss in the last 1 month and extending the period to 3 months gives it a 10.85%, and is 0.67% up over the last 5 days. If we measure the stock’s price variations over the week and the month, we find that the volatility rates stand at 1.51% over the week and 1.80% over the month.

The Kroger Co. (KR) has around 435000 employees, a market worth around $28.14B and $126.58B in sales. Current P/E ratio is 13.76 and Fwd P/E is 13.96. Profit margin for the company is 1.60%. Distance from 52-week low is 57.08% and -1.97% from its 52-week high. The company has generated returns on investments over the last 12 months (8.60%).

The Kroger Co. (KR) Analyst Forecasts

Analyst recommendations provided by FactSet shows that the consensus forecast for The Kroger Co. (KR) is a “Overweight”. 26 analysts offering their recommendations for the stock have an average rating of 2.40, where 13 rate it as a Hold and 1 think it is a “Overweight”. 10 of the analysts rate the stock as a “Buy”. 1 analysts have rated the stock as a Sell or Underperform.

The Kroger Co. is expected to release its quarterly report on 09/10/2020 and quarterly earnings per share for the current quarter are estimated at $0.5 with sales reaching $29.62B over the same period. The EPS is expected to shrink by -45.80% this year, but quarterly earnings will post 5.80% year-over-year. Quarterly sales are estimated to grow 5.20% in year-over-year returns.

The Kroger Co. (KR) Top Institutional Holders

1,114 institutions hold shares in The Kroger Co. (KR), with 45.84M shares held by insiders accounting for 5.89% while institutional investors hold 89.68% of the company’s shares. The shares outstanding are 780.00M, and float is at 772.89M with Short Float at 7.38%. Institutions hold 84.40% of the Float.

The top institutional shareholder in the company is Vanguard Group, Inc. (The) with over 63.06 million shares valued at $2.13 billion. The investor’s holdings represent 8.11% of the KR Shares outstanding. As of Jun 29, 2020, the second largest holder is Blackrock Inc. with 61.16 million shares valued at $2.07 billion to account for 7.86% of the shares outstanding. The other top investors are State Street Corporation which holds 42.35 million shares representing 5.44% and valued at over $1.43 billion, while Renaissance Technologies, LLC holds 3.37% of the shares totaling 26.21 million with a market value of $887.28 million.

The Kroger Co. (KR) Insider Activity

A total of 158 insider transactions have happened at The Kroger Co. (KR) in the last six months, with sales accounting for 98 and purchases happening 60 times. The most recent transaction is an insider sale by Adcock Mary Ellen, the company’s Senior Vice President. SEC filings show that Adcock Mary Ellen sold 22,738 shares of the company’s common stock on Aug 14 at a price of $34.61 per share for a total of $0.79 million. Following the sale, the insider now owns 0.11 million shares.

The Kroger Co. disclosed in a document filed with the SEC on Aug 14 that SHACKOULS BOBBY S (Director) sold a total of 10,000 shares of the company’s common stock. The trade occurred on Aug 14 and was made at $36.00 per share for $0.36 million. Following the transaction, the insider now directly holds 24845.0 shares of the KR stock.

Still, SEC filings show that on Jul 23, MOORE CLYDE R (Director) disposed off 13,000 shares at an average price of $35.24 for $0.46 million. The insider now directly holds 119,677 shares of The Kroger Co. (KR).

The Kroger Co. (KR): Who are the competitors?

The company’s main competitors (and peers) include Ingles Markets Incorporated (IMKTA) that is trading 6.53% up over the past 12 months. Sprouts Farmers Market Inc. (SFM) is 37.66% up on the 1-year trading charts. Short interest in the company’s stock has risen 3.2% from the last report on Jul 14, 2020 to stand at a total of 57.15 million short shares sold with a short interest ratio of 8.88.