Investors Buy Large Volume of Call Options on Kroger (NYSE:KR)

The Kroger Co. (NYSE:KR) saw some unusual options trading on Monday. Stock investors acquired 27,085 call options on the stock. This represents an increase of 112% compared to the typical volume of 12,800 call options.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the company. HC Wainwright reiterated a “buy” rating on shares of Kroger in a research report on Thursday, July 2nd. Weiss Ratings cut shares of Kroger from a “hold (c+)” rating to a “hold (c)” rating in a research report on Thursday, June 18th. Citigroup cut their price target on shares of Kroger from $71.00 to $61.00 and set a “neutral” rating on the stock in a research note on Tuesday, June 23rd. Wells Fargo & Company set a $58.00 price target on shares of Kroger in a report on Monday, June 22nd. Finally, Barclays set a $61.00 price objective on Kroger and gave the stock an “equal weight” rating in a report on Monday, June 22nd. Ten analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $72.00.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Financial Engines Advisors L.L.C. increased its stake in Kroger by 4.5% during the 4th quarter. Financial Engines Advisors L.L.C. now owns 3,537 shares of the company’s stock valued at $221,000 after buying an additional 153 shares during the period. PFG Investments LLC boosted its holdings in shares of Kroger by 3.3% in the first quarter. PFG Investments LLC now owns 4,899 shares of the company’s stock valued at $354,000 after acquiring an additional 157 shares in the last quarter. Smartleaf Asset Management LLC boosted its holdings in shares of Kroger by 1.5% in the fourth quarter. Smartleaf Asset Management LLC now owns 10,747 shares of the company’s stock valued at $674,000 after acquiring an additional 162 shares in the last quarter. Stephens Inc. AR increased its stake in shares of Kroger by 1.0% during the fourth quarter. Stephens Inc. AR now owns 17,995 shares of the company’s stock valued at $1,124,000 after acquiring an additional 174 shares during the period. Finally, ROI Financial Advisors LLC raised its holdings in Kroger by 2.0% during the first quarter. ROI Financial Advisors LLC now owns 8,943 shares of the company’s stock worth $647,000 after purchasing an additional 175 shares in the last quarter. 80.93% of the stock is owned by institutional investors and hedge funds.

Kroger Stock Performance

Shares of NYSE:KR traded up $0.48 during trading on Monday, hitting $58.22. 2,283,298 shares of the company traded hands, compared to its average volume of 6,972,523. The company has a quick ratio of 0.39, a current ratio of 0.79 and a debt-to-equity ratio of 2.43. The business’s fifty day moving average is $59.87 and its 200-day moving average is $65.36. The stock has a market capitalization of $35.67 billion, a price-to-earnings ratio of 34.26, a PEG ratio of 1.55 and a beta of 0.44. Kroger has a one year low of $54.15 and a one year high of $76.58.

Kroger (NYSE:KR) last released its quarterly earnings data on Thursday, June 18th. The company reported $1.58 earnings per share for the quarter, missing analysts’ consensus estimates of $1.59 by ($0.01). Kroger had a return on equity of 44.33% and a net margin of 0.71%.The firm had revenue of $46.12 billion during the quarter, compared to analyst estimates of $45.59 billion. During the same period last year, the business earned $1.49 EPS. The firm’s revenue was up 2.2% on a year-over-year basis. Kroger has set its FY 2026 guidance at 5.100-5.30 EPS. As a group, equities analysts predict that Kroger will post 5.21 earnings per share for the current fiscal year.

Kroger Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Saturday, August 15th will be paid a dividend of $0.39 per share. This represents a $1.56 annualized dividend and a yield of 2.7%. The ex-dividend date of this dividend is Friday, August 14th. This is an increase from Kroger’s previous quarterly dividend of $0.35. Kroger’s dividend payout ratio (DPR) is presently 91.76%.

Kroger Company Profile

The Kroger Co (NYSE: KR) is one of the largest supermarket operators in the United States, offering a wide range of retail grocery and related services. Founded in Cincinnati in 1883 by Bernard Kroger, the company operates a portfolio of supermarket and multi-department store banners and provides customers with fresh foods, packaged groceries, deli and bakery items, meat and seafood, produce, and prepared foods. Kroger’s stores commonly include pharmacy services and fuel centers, positioning the company as a broad-based neighborhood retail destination for everyday needs.

In addition to traditional in-store retailing, Kroger manufactures and distributes a variety of private-label brands and operates its own food production and supply-chain facilities.