Kroger Sees Unusually High Options Volume (NYSE:KR)

The Kroger Co. (NYSE:KR) was the target of unusually large options trading activity on Tuesday. Traders acquired 28,802 put options on the company. Thisisanincreaseof130% compared to the average daily volume of 12,511 put options.

Insider Buying and Selling at Kroger

In related news, EVP Timothy A. Massa sold 8,415 shares of the business’s stock in a transaction that occurred on Monday, June 23rd. The shares were sold at an average price of $74.00, for a total transaction of $622,710.00. Following the completion of the sale, the executive vice president directly owned 118,761 shares of the company’s stock, valued at $8,788,314. The trade was a 6.62% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, EVP Mary Ellen Adcock sold 34,250 shares of the business’s stock in a transaction that occurred on Friday, June 27th. The stock was sold at an average price of $71.16, for a total transaction of $2,437,230.00. Following the sale, the executive vice president directly owned 184,473 shares of the company’s stock, valued at approximately $13,127,098.68. This trade represents a 15.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 198,948 shares of company stock valued at $14,422,926 over the last 90 days. Company insiders own 0.44% of the company’s stock.

Institutional Trading of Kroger

Several institutional investors and hedge funds have recently added to or reduced their stakes in KR. Norges Bank bought a new stake in Kroger during the second quarter worth $518,267,000. Steadfast Capital Management LP bought a new stake in Kroger during the fourth quarter worth $277,989,000. Junto Capital Management LP bought a new position in shares of Kroger in the fourth quarter valued at about $264,207,000. Wellington Management Group LLP raised its position in shares of Kroger by 85.3% in the first quarter. Wellington Management Group LLP now owns 6,397,771 shares of the company’s stock valued at $433,065,000 after purchasing an additional 2,945,848 shares during the period. Finally, Nuveen LLC bought a new position in shares of Kroger in the first quarter valued at about $178,385,000. 80.93% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on KR shares. Morgan Stanley set a $76.00 price objective on shares of Kroger and gave the company an “equal weight” rating in a report on Monday, June 23rd. Barclays initiated coverage on shares of Kroger in a report on Monday, July 21st. They set an “equal weight” rating and a $75.00 price objective for the company. Deutsche Bank Aktiengesellschaft upped their price target on shares of Kroger from $57.00 to $67.00 and gave the company a “hold” rating in a report on Monday, June 23rd. JPMorgan Chase & Co. upped their price target on shares of Kroger from $72.00 to $82.00 and gave the company an “overweight” rating in a report on Thursday, May 1st. Finally, Telsey Advisory Group reiterated an “outperform” rating and issued a $82.00 price target (up previously from $73.00) on shares of Kroger in a report on Friday, June 20th. Eight analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. According to MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $70.53.

Kroger Stock Performance

Shares of KR stock opened at $70.6990 on Wednesday. The company’s fifty day simple moving average is $70.60 and its 200-day simple moving average is $68.44. The company has a quick ratio of 0.53, a current ratio of 0.95 and a debt-to-equity ratio of 1.92. The firm has a market cap of $46.72 billion, a PE ratio of 19.26, a P/E/G ratio of 2.22 and a beta of 0.59. Kroger has a 12 month low of $50.69 and a 12 month high of $74.90.

Kroger (NYSE:KR) last announced its quarterly earnings data on Friday, June 20th. The company reported $1.49 EPS for the quarter, topping analysts’ consensus estimates of $1.45 by $0.04. The business had revenue of $45.12 billion for the quarter, compared to analyst estimates of $45.35 billion. Kroger had a net margin of 1.89% and a return on equity of 34.71%. The firm’s revenue for the quarter was down .3% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.43 earnings per share. Kroger has set its FY 2025 guidance at 4.600-4.800 EPS. Equities research analysts expect that Kroger will post 4.44 EPS for the current fiscal year.

Kroger Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Monday, September 1st. Shareholders of record on Friday, August 15th will be given a dividend of $0.35 per share. This represents a $1.40 annualized dividend and a yield of 2.0%. This is an increase from Kroger’s previous quarterly dividend of $0.32. The ex-dividend date of this dividend is Friday, August 15th. Kroger’s payout ratio is currently 38.15%.

About Kroger

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.