Telsey Advisory Group Weighs in on Kroger FY2027 Earnings

The Kroger Co. (NYSE:KR) – Analysts at Telsey Advisory Group dropped their FY2027 earnings per share (EPS) estimates for shares of Kroger in a research note issued to investors on Thursday, February 13th. Telsey Advisory Group analyst J. Feldman now expects that the company will earn $5.10 per share for the year, down from their previous forecast of $5.36. Telsey Advisory Group has a “Outperform” rating and a $73.00 price objective on the stock. The consensus estimate for Kroger’s current full-year earnings is $4.44 per share.

Kroger (NYSE:KR) last posted its earnings results on Thursday, December 5th. The company reported $0.98 EPS for the quarter, beating analysts’ consensus estimates of $0.97 by $0.01. The firm had revenue of $33.63 billion during the quarter, compared to the consensus estimate of $34.19 billion. Kroger had a return on equity of 27.73% and a net margin of 1.85%. The company’s quarterly revenue was down 1.0% compared to the same quarter last year. During the same period in the prior year, the company earned $0.95 EPS.

Other research analysts also recently issued reports about the company. Wells Fargo & Company increased their target price on Kroger from $70.00 to $73.00 and gave the company an “overweight” rating in a research report on Thursday, December 12th. Evercore ISI increased their price target on Kroger from $70.00 to $75.00 and gave the company an “outperform” rating in a report on Thursday, February 6th. The Goldman Sachs Group restated a “buy” rating and set a $70.00 price target on shares of Kroger in a report on Tuesday, February 4th. Jefferies Financial Group upgraded Kroger from a “hold” rating to a “buy” rating and increased their price target for the company from $54.00 to $73.00 in a report on Tuesday, December 3rd. Finally, JPMorgan Chase & Co. increased their price target on Kroger from $69.00 to $71.00 and gave the company an “overweight” rating in a report on Monday, January 6th. Seven investment analysts have rated the stock with a hold rating, ten have given a buy rating and one has given a strong buy rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $67.19.

Kroger Stock Down 0.7 %

NYSE KR opened at $65.20 on Friday. The company has a debt-to-equity ratio of 1.74, a quick ratio of 1.07 and a current ratio of 1.54. The company has a market capitalization of $47.18 billion, a P/E ratio of 17.25, a P/E/G ratio of 2.85 and a beta of 0.47. Kroger has a one year low of $45.88 and a one year high of $66.18. The stock has a 50 day moving average price of $61.24 and a 200-day moving average price of $57.75.

Institutional Investors Weigh In On Kroger

Institutional investors have recently added to or reduced their stakes in the stock. Millstone Evans Group LLC bought a new stake in Kroger during the fourth quarter valued at about $25,000. Whipplewood Advisors LLC acquired a new stake in Kroger in the fourth quarter worth about $26,000. TCTC Holdings LLC acquired a new stake in Kroger in the fourth quarter worth about $27,000. Transce3nd LLC acquired a new stake in Kroger in the fourth quarter worth about $28,000. Finally, Lee Danner & Bass Inc. acquired a new stake in Kroger in the fourth quarter worth about $32,000. Institutional investors own 80.93% of the company’s stock.

Insider Activity

In related news, SVP Yael Cosset sold 20,000 shares of the firm’s stock in a transaction dated Tuesday, December 10th. The stock was sold at an average price of $58.39, for a total transaction of $1,167,800.00. Following the sale, the senior vice president now owns 144,620 shares of the company’s stock, valued at $8,444,361.80. This trade represents a 12.15 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, SVP Timothy A. Massa sold 25,889 shares of the firm’s stock in a transaction dated Friday, December 6th. The shares were sold at an average price of $60.12, for a total value of $1,556,446.68. Following the sale, the senior vice president now directly owns 115,861 shares in the company, valued at approximately $6,965,563.32. The trade was a 18.26 % decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 195,448 shares of company stock worth $12,143,923. Company insiders own 1.40% of the company’s stock.

Kroger Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Saturday, March 1st. Stockholders of record on Friday, February 14th will be paid a dividend of $0.32 per share. The ex-dividend date is Friday, February 14th. This represents a $1.28 annualized dividend and a dividend yield of 1.96%. Kroger’s dividend payout ratio is currently 33.86%.

Kroger announced that its Board of Directors has authorized a stock repurchase program on Wednesday, December 11th that allows the company to repurchase $7.50 billion in shares. This repurchase authorization allows the company to reacquire up to 16.9% of its shares through open market purchases. Shares repurchase programs are usually an indication that the company’s board believes its shares are undervalued.

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.