During the last three months, 5 analysts shared their evaluations of Kroger (NYSE:KR), revealing diverse outlooks from bullish to bearish.
The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 0 | 2 | 3 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 0 | 1 | 2 | 0 | 0 |
Analysts have set 12-month price targets for Kroger, revealing an average target of $50.8, a high estimate of $55.00, and a low estimate of $46.00. This upward trend is evident, with the current average reflecting a 3.67% increase from the previous average price target of $49.00.
Analyzing Analyst Ratings: A Detailed Breakdown
In examining recent analyst actions, we gain insights into how financial experts perceive Kroger. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Edward Kelly | Wells Fargo | Raises | Equal-Weight | $50.00 | $42.00 |
| Joseph Feldman | Telsey Advisory Group | Maintains | Outperform | $55.00 | - |
| Ken Goldman | JP Morgan | Lowers | Overweight | $53.00 | $54.00 |
| Simeon Gutman | Morgan Stanley | Lowers | Equal-Weight | $46.00 | $48.00 |
| Ben Bienvenu | Stephens & Co. | Lowers | Equal-Weight | $50.00 | $52.00 |
Key Insights:
- Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Kroger. This information offers a snapshot of how analysts perceive the current state of the company.
- Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Kroger compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of Kroger's stock. This examination reveals shifts in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Kroger's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on Kroger analyst ratings.
Delving into Kroger's Background
Kroger is the leading U.S. grocer, with 2,719 supermarkets operating under several banners throughout the country at the end of fiscal 2022. Around 83% of stores have pharmacies, while nearly 60% also sell fuel. The company also operates roughly 120 fine jewelry stores. Kroger features a leading private-label offering and manufactures around 30% of its own-brand units (and more than 40% of its grocery own-label assortment) itself in 33 food production plants nationwide. Kroger is a top-two grocer in most of its major markets (as of early 2021, according to company data). Virtually all of Kroger's sales come from the United States. Kroger has offered to acquire Albertsons in a $25 billion deal; if the transaction is approved by regulators, it should close in 2024.
Financial Insights: Kroger
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Revenue Challenges: Kroger's revenue growth over 3 months faced difficulties. As of 31 October, 2023, the company experienced a decline of approximately -0.7%. This indicates a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Staples sector.
Net Margin: Kroger's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 1.9%, the company showcases strong profitability and effective cost management.
Return on Equity (ROE): Kroger's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 5.92% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): Kroger's ROA stands out, surpassing industry averages. With an impressive ROA of 1.28%, the company demonstrates effective utilization of assets and strong financial performance.
Debt Management: Kroger's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 1.77.
Analyst Ratings: Simplified
Experts in banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their comprehensive research involves attending company conference calls and meetings, analyzing financial statements, and engaging with insiders to generate what are known as analyst ratings for stocks. Typically, analysts assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
