The Kroger Co.

LSE:0JS2 Stock Report

Market Cap: US$44.8b

Kroger Valuation

Is 0JS2 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 0JS2 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: 0JS2 ($61.76) is trading below our estimate of fair value ($90.8)

Significantly Below Fair Value: 0JS2 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 0JS2?

Key metric: As 0JS2 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 0JS2. This is calculated by dividing 0JS2's market cap by their current earnings.
What is 0JS2's PE Ratio?
PE Ratio16.3x
EarningsUS$2.75b
Market CapUS$44.82b

Price to Earnings Ratio vs Peers

How does 0JS2's PE Ratio compare to its peers?

The above table shows the PE ratio for 0JS2 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average22.7x
TSCO Tesco
13.2x1.5%UK£25.0b
MKS Marks and Spencer Group
15.6x9.3%UK£7.9b
SBRY J Sainsbury
36.4x20.6%UK£6.4b
L Loblaw Companies
25.7x-0.5%CA$57.1b
0JS2 Kroger
16.3x4.9%US$44.8b

Price-To-Earnings vs Peers: 0JS2 is good value based on its Price-To-Earnings Ratio (16.3x) compared to the peer average (22.7x).

Price to Earnings Ratio vs Industry

How does 0JS2's PE Ratio compare vs other companies in the European Consumer Retailing Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
0JS2 16.3xIndustry Avg. 15.1xNo. of Companies8PE01020304050+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 0JS2 is expensive based on its Price-To-Earnings Ratio (16.3x) compared to the European Consumer Retailing industry average (15.1x).

Price to Earnings Ratio vs Fair Ratio

What is 0JS2's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

0JS2 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.3x
Fair PE Ratio23.3x

Price-To-Earnings vs Fair Ratio: 0JS2 is good value based on its Price-To-Earnings Ratio (16.3x) compared to the estimated Fair Price-To-Earnings Ratio (23.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 0JS2 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$61.76
US$65.30
+5.7%
9.0%US$75.00US$55.00n/a20
Dec ’25US$61.08
US$59.44
-2.7%
7.8%US$70.00US$52.00n/a20
Nov ’25US$56.49
US$58.89
+4.2%
7.5%US$70.00US$52.00n/a20
Oct ’25US$56.74
US$58.49
+3.1%
8.5%US$70.00US$48.00n/a20
Sep ’25US$52.82
US$58.10
+10.0%
8.6%US$70.00US$48.00n/a19
Aug ’25US$55.05
US$58.04
+5.4%
8.6%US$70.00US$48.00n/a19
Jul ’25US$50.21
US$58.06
+15.7%
8.6%US$70.00US$48.00n/a19
Jun ’25US$52.02
US$58.01
+11.5%
8.8%US$70.00US$48.00n/a20
May ’25US$54.96
US$58.21
+5.9%
8.7%US$70.00US$48.00n/a21
Apr ’25US$56.97
US$58.47
+2.6%
7.8%US$70.00US$50.00n/a20
Mar ’25US$49.42
US$51.58
+4.4%
8.8%US$65.00US$46.00n/a20
Feb ’25US$46.59
US$50.78
+9.0%
10.1%US$65.00US$42.00n/a20
Jan ’25US$45.41
US$51.07
+12.5%
10.0%US$65.00US$42.00US$61.0021
Dec ’24US$44.25
US$50.93
+15.1%
10.2%US$65.00US$42.00US$61.0820
Nov ’24US$45.40
US$51.53
+13.5%
9.8%US$65.00US$42.00US$56.4920
Oct ’24US$44.65
US$51.63
+15.6%
9.8%US$65.00US$42.00US$56.7420
Sep ’24US$46.01
US$51.67
+12.3%
9.8%US$65.00US$42.00US$52.8220
Aug ’24US$48.27
US$51.97
+7.7%
9.3%US$65.00US$42.00US$55.0520
Jul ’24US$46.84
US$51.92
+10.8%
9.3%US$65.00US$42.00US$50.2120
Jun ’24US$44.61
US$53.18
+19.2%
12.0%US$75.00US$42.00US$52.0219
May ’24US$48.79
US$53.07
+8.8%
11.9%US$75.00US$42.00US$54.9620
Apr ’24US$49.04
US$53.00
+8.1%
12.1%US$75.00US$42.00US$56.9720
Mar ’24US$43.12
US$52.63
+22.1%
13.6%US$75.00US$42.00US$49.4219
Feb ’24US$44.33
US$53.13
+19.9%
13.6%US$75.00US$42.00US$46.5919
Jan ’24US$44.51
US$53.47
+20.1%
13.4%US$75.00US$44.00US$45.4118

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/03 09:06
End of Day Share Price 2025/01/02 00:00
Earnings2024/11/09
Annual Earnings2024/02/03

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

The Kroger Co. is covered by 60 analysts. 22 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Christopher GrajaArgus Research Company
Ishan MajumdarBaptista Research
Meredith AdlerBarclays