(KR) Kroger - Overview
Sector: Consumer Defensive | Industry: Grocery Stores | Exchange: NYSE (USA) | Market Cap: 38.319m USD | Total Return: -7.9% in 12m
Avg Turnover: 379M
EPS Trend: 69.8%
Qual. Beats: 1
Rev. Trend: -48.1%
Qual. Beats: -2
Warnings
No concerns identified
Tailwinds
No distinct edge detected
The Kroger Co. (KR) is a prominent American food and drug retailer operating a diverse portfolio of formats, including combination stores, multi-department centers, and price impact warehouses. Beyond traditional grocery and pharmacy services, the company integrates vertical manufacturing to produce private-label goods and operates a network of fuel centers to drive consumer loyalty.
Operating within the defensive consumer staples sector, Kroger utilizes a high-volume, low-margin business model that relies on supply chain efficiency and private-brand penetration to maintain profitability. The company’s multi-department strategy differentiates it from pure-play grocers by capturing additional spend in categories such as apparel, electronics, and home furnishings.
For a deeper look into the companys valuation metrics and historical performance, consider checking the data on ValueRay.
- FTC legal challenges to Albertsons merger agreement create significant valuation uncertainty
- Private label brand growth improves gross margins amid persistent food inflation
- Digital sales and retail media expansion drive high-margin revenue growth
- Fluctuating fuel prices and pharmacy reimbursement rates impact quarterly earnings volatility
- Labor contract negotiations and rising wage expenses pressure operational profit margins
| Net Income: 1.02b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.07 > 0.02 and ΔFCF/TA 3.67 > 1.0 |
| NWC/Revenue: -2.42% < 20% (prev -0.45%; Δ -1.97% < -1%) |
| CFO/TA 0.15 > 3% & CFO 7.38b > Net Income 1.02b |
| Net Debt (28.9b) to EBITDA (5.76b): 5.02 < 3 |
| Current Ratio: 0.80 > 1.5 & < 3 |
| Outstanding Shares: last quarter (631.0m) vs 12m ago -9.34% < -2% |
| Gross Margin: 23.30% > 18% (prev 22.70%; Δ 0.60% > 0.5%) |
| Asset Turnover: 287.9% > 50% (prev 279.6%; Δ 8.31% > 0%) |
| Interest Coverage Ratio: 2.27 > 6 (EBIT TTM 1.84b / Interest Expense TTM 809.0m) |
| A: -0.07 (Total Current Assets 14.5b - Total Current Liabilities 18.1b) / Total Assets 49.9b |
| B: 0.58 (Retained Earnings 28.9b / Total Assets 49.9b) |
| C: 0.04 (EBIT TTM 1.84b / Avg Total Assets 51.3b) |
| D: 0.13 (Book Value of Equity 5.93b / Total Liabilities 44.0b) |
| Altman-Z'' = 1.80 = BBB |
| DSRI: 1.00 (Receivables 2.19b/2.19b, Revenue 148b/147b) |
| GMI: 0.97 (GM 22.70% / 23.30%) |
| AQI: 0.99 (AQ_t 0.09 / AQ_t-1 0.09) |
| SGI: 1.00 (Revenue 148b / 147b) |
| TATA: -0.13 (NI 1.02b - CFO 7.38b) / TA 49.9b) |
| Beneish M = -3.07 (Cap -4..+1) = AA |
As of June 03, 2026, the stock is trading at USD 61.56 with a total of 7,847,115 shares traded.
Over the past week, the price has changed by -4.63%,
over one month by -8.39%,
over three months by -10.38% and
over the past year by -7.85%.
Kroger has received a consensus analysts rating of 3.80. Therefore, it is recommended to hold KR.
- StrongBuy: 9
- Buy: 3
- Hold: 12
- Sell: 1
- StrongSell: 0
| Analysts Target Price | 75.6 | 22.7% |
P/E Trailing = 40.3571
P/E Forward = 12.3457
P/S = 0.2701
P/B = 6.7294
P/EG = 0.6251
Revenue TTM = 148b USD
EBIT TTM = 1.84b USD
EBITDA TTM = 5.76b USD
Long Term Debt = 14.5b USD (from longTermDebt, last quarter)
Short Term Debt = 2.44b USD (from shortTermDebt, last quarter)
Debt = 33.5b USD (from shortLongTermDebtTotal, last quarter) + Leases 8.82b
Net Debt = 28.9b USD (calculated: Debt 33.5b - CCE 4.58b)
Enterprise Value = 67.2b USD (38.3b + Debt 33.5b - CCE 4.58b)
Interest Coverage Ratio = 2.27 (Ebit TTM 1.84b / Interest Expense TTM 809.0m)
EV/FCF = 19.05x (Enterprise Value 67.2b / FCF TTM 3.53b)
FCF Yield = 5.25% (FCF TTM 3.53b / Enterprise Value 67.2b)
FCF Margin = 2.39% (FCF TTM 3.53b / Revenue TTM 148b)
Net Margin = 0.69% (Net Income TTM 1.02b / Revenue TTM 148b)
Gross Margin = 23.30% ((Revenue TTM 148b - Cost of Revenue TTM 113b) / Revenue TTM)
Gross Margin QoQ = 23.39% (prev 23.34%)
Tobins Q-Ratio = 1.35 (Enterprise Value 67.2b / Total Assets 49.9b)
Interest Expense / Debt = 2.42% (Interest Expense 809.0m / Debt 33.5b)
Taxrate = 14.74% (177.0m / 1.20b)
NOPAT = 1.57b (EBIT 1.84b * (1 - 14.74%))
Current Ratio = 0.80 (Total Current Assets 14.5b / Total Current Liabilities 18.1b)
Debt / Equity = 5.65 (Debt 33.5b / totalStockholderEquity, last quarter 5.93b)
Debt / EBITDA = 5.02 (Net Debt 28.9b / EBITDA 5.76b)
Debt / FCF = 8.19 (Net Debt 28.9b / FCF TTM 3.53b)
Total Stockholder Equity = 7.79b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.98% (Net Income 1.02b / Total Assets 49.9b)
RoE = 13.04% (Net Income TTM 1.02b / Total Stockholder Equity 7.79b)
RoCE = 8.25% (EBIT 1.84b / Capital Employed (Equity 7.79b + L.T.Debt 14.5b))
RoIC = 5.28% (NOPAT 1.57b / Invested Capital 29.7b)
WACC = 3.49% (E(38.3b)/V(71.8b) * Re(4.75%) + D(33.5b)/V(71.8b) * Rd(2.42%) * (1-Tc(0.15)))
Discount Rate = 4.75% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -56.83 | Cagr: -5.99%
[DCF] Terminal Value 77.97% ; FCFF base≈2.83b ; Y1≈3.25b ; Y5≈4.78b
[DCF] Fair Price = 69.73 (EV 71.9b - Net Debt 28.9b = Equity 43.0b / Shares 616.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 69.82 | EPS CAGR: 3.07% | SUE: 1.20 | # QB: 1
Revenue Correlation: -48.15 | Revenue CAGR: -0.48% | SUE: -1.17 | # QB: -2
EPS current Quarter (2026-07-31): EPS=1.13 | Chg30d=-0.04% | Revisions=+25% | Analysts=18
EPS current Year (2027-01-31): EPS=5.24 | Chg30d=+0.03% | Revisions=-57% | GrowthEPS=+8.1% | GrowthRev=+1.3%
EPS next Year (2028-01-31): EPS=5.63 | Chg30d=+0.03% | Revisions=+0% | GrowthEPS=+7.3% | GrowthRev=+2.3%
[Analyst] Revisions Ratio: -57%