Market Cap
US$27.9b
Last Updated
2021/04/19 22:45 UTC
Data Sources
Company Financials +
Executive Summary
The Kroger Co. operates as a retailer in the United States. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 1.1% per year for the next 3 years
Snowflake Analysis
Established dividend payer and good value.
Similar Companies
Share Price & News
How has Kroger's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: KR is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: KR's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
-1.4%
KR
0.7%
US Consumer Retailing
1.3%
US Market
1 Year Return
17.2%
KR
14.9%
US Consumer Retailing
53.8%
US Market
Return vs Industry: KR exceeded the US Consumer Retailing industry which returned 14.9% over the past year.
Return vs Market: KR underperformed the US Market which returned 53.8% over the past year.
Shareholder returns
| KR | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.4% | 0.7% | 1.3% |
| 30 Day | 5.7% | 6.9% | 5.1% |
| 90 Day | 11.3% | 1.2% | 8.9% |
| 1 Year | 19.7%17.2% | 17.4%14.9% | 56.6%53.8% |
| 3 Year | 61.0%51.0% | 63.8%54.1% | 64.4%53.6% |
| 5 Year | 12.2%1.8% | 94.3%73.9% | 120.4%95.7% |
Long-Term Price Volatility Vs. Market
How volatile is Kroger's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Boasting A 27% Return On Equity, Is The Kroger Co. (NYSE:KR) A Top Quality Stock?1 month ago | Simply Wall St
Calculating The Intrinsic Value Of The Kroger Co. (NYSE:KR)2 months ago | Simply Wall St
These 4 Measures Indicate That Kroger (NYSE:KR) Is Using Debt Reasonably WellValuation
Is Kroger undervalued compared to its fair value and its price relative to the market?
40.3%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: KR ($37.11) is trading below our estimate of fair value ($63.22)
Significantly Below Fair Value: KR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: KR is good value based on its PE Ratio (11.2x) compared to the US Consumer Retailing industry average (14.6x).
PE vs Market: KR is good value based on its PE Ratio (11.2x) compared to the US market (22.4x).
Price to Earnings Growth Ratio
PEG Ratio: KR's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: KR's PB Ratio (2.9x) is in line with the US Consumer Retailing industry average.
Future Growth
How is Kroger forecast to perform in the next 1 to 3 years based on estimates from 20 analysts?
-1.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: KR's earnings are forecast to decline over the next 3 years (-1.1% per year).
Earnings vs Market: KR's earnings are forecast to decline over the next 3 years (-1.1% per year).
High Growth Earnings: KR's earnings are forecast to decline over the next 3 years.
Revenue vs Market: KR's revenue (1.6% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: KR's revenue (1.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: KR's Return on Equity is forecast to be low in 3 years time (17.9%).
Past Performance
How has Kroger performed over the past 5 years?
4.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: KR has a large one-off gain of $735.0M impacting its January 30 2021 financial results.
Growing Profit Margin: KR's current net profit margins (1.9%) are higher than last year (1.3%).
Past Earnings Growth Analysis
Earnings Trend: KR's earnings have grown by 4.5% per year over the past 5 years.
Accelerating Growth: KR's earnings growth over the past year (55.9%) exceeds its 5-year average (4.5% per year).
Earnings vs Industry: KR earnings growth over the past year (55.9%) underperformed the Consumer Retailing industry 72.3%.
Return on Equity
High ROE: Whilst KR's Return on Equity (27.1%) is high, this metric is skewed due to their high level of debt.
Financial Health
How is Kroger's financial position?
Financial Position Analysis
Short Term Liabilities: KR's short term assets ($12.5B) do not cover its short term liabilities ($15.4B).
Long Term Liabilities: KR's short term assets ($12.5B) do not cover its long term liabilities ($23.7B).
Debt to Equity History and Analysis
Debt Level: KR's debt to equity ratio (129.9%) is considered high.
Reducing Debt: KR's debt to equity ratio has reduced from 168.2% to 129.9% over the past 5 years.
Debt Coverage: KR's debt is well covered by operating cash flow (54.9%).
Interest Coverage: KR's interest payments on its debt are well covered by EBIT (5.8x coverage).
Balance Sheet
Dividend
What is Kroger current dividend yield, its reliability and sustainability?
1.92%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: KR's dividend (1.94%) is higher than the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: KR's dividend (1.94%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: KR's dividends per share have been stable in the past 10 years.
Growing Dividend: KR's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (21.2%), KR's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: KR's dividends in 3 years are forecast to be well covered by earnings (28.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
3.6yrs
Average management tenure
CEO
William McMullen (59 yo)
7.25yrs
Tenure
US$21,129,648
Compensation
Mr. William Rodney McMullen served as Independent Director of Cincinnati Financial Corporation since 2001 until 2020. He served as Director at The Cincinnati Life Insurance Company. Mr. McMullen has worked...
CEO Compensation Analysis
Compensation vs Market: William's total compensation ($USD21.13M) is above average for companies of similar size in the US market ($USD11.16M).
Compensation vs Earnings: William's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: KR's management team is considered experienced (3.6 years average tenure).
Board Members
Experienced Board: KR's board of directors are considered experienced (4.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: KR insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
The Kroger Co.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: The Kroger Co.
- Ticker: KR
- Exchange: NYSE
- Founded: 1883
- Industry: Food Retail
- Sector: Consumer Retailing
- Market Cap: US$27.906b
- Shares outstanding: 751.99m
- Website: https://www.thekrogerco.com
Number of Employees
Location
- The Kroger Co.
- 1014 Vine Street
- Cincinnati
- Ohio
- 45202-1100
- United States
Listings
Biography
The Kroger Co. operates as a retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/19 22:45 |
| End of Day Share Price | 2021/04/19 00:00 |
| Earnings | 2021/01/30 |
| Annual Earnings | 2021/01/30 |
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.