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

The Kroger Co. (NYSE:KR) was the recipient of unusually large options trading activity on Wednesday. Stock investors bought 20,697 call options on the company. This is an increase of approximately 53% compared to the typical daily volume of 13,485 call options.

Hedge Funds Weigh In On Kroger

A number of large investors have recently bought and sold shares of KR. Bank of Nova Scotia raised its stake in Kroger by 102.5% in the second quarter. Bank of Nova Scotia now owns 168,395 shares of the company’s stock worth $12,079,000 after buying an additional 85,223 shares in the last quarter. CWM LLC boosted its position in Kroger by 43.4% during the 3rd quarter. CWM LLC now owns 72,244 shares of the company’s stock valued at $4,870,000 after acquiring an additional 21,876 shares in the last quarter. Liberty One Investment Management LLC grew its holdings in shares of Kroger by 85.0% during the 3rd quarter. Liberty One Investment Management LLC now owns 857,667 shares of the company’s stock worth $57,828,000 after acquiring an additional 394,060 shares during the period. Connor Clark & Lunn Investment Management Ltd. raised its position in shares of Kroger by 45.5% in the 3rd quarter. Connor Clark & Lunn Investment Management Ltd. now owns 855,810 shares of the company’s stock worth $57,690,000 after acquiring an additional 267,434 shares in the last quarter. Finally, Mediolanum International Funds Ltd raised its position in shares of Kroger by 401.3% in the 3rd quarter. Mediolanum International Funds Ltd now owns 19,470 shares of the company’s stock worth $1,293,000 after acquiring an additional 15,586 shares in the last quarter. 80.93% of the stock is owned by hedge funds and other institutional investors.

Kroger Price Performance

Shares of Kroger stock opened at $70.34 on Thursday. The company has a debt-to-equity ratio of 2.66, a quick ratio of 0.42 and a current ratio of 0.80. Kroger has a 52-week low of $58.60 and a 52-week high of $76.58. The company has a fifty day moving average of $68.39 and a 200-day moving average of $66.29. The stock has a market capitalization of $44.52 billion, a price-to-earnings ratio of 45.98, a price-to-earnings-growth ratio of 1.91 and a beta of 0.62.

Kroger (NYSE:KR) last issued its earnings results on Thursday, March 5th. The company reported $1.28 EPS for the quarter, topping analysts’ consensus estimates of $1.20 by $0.08. Kroger had a net margin of 0.69% and a return on equity of 41.08%. The company had revenue of $34.73 billion for the quarter, compared to analysts’ expectations of $35.10 billion. During the same quarter last year, the company earned $1.14 EPS. The firm’s revenue was up 1.2% compared to the same quarter last year. Kroger has set its FY 2026 guidance at 5.100-5.300 EPS. Equities research analysts expect that Kroger will post 4.44 EPS for the current year.

Kroger Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, June 1st. Investors of record on Friday, May 15th will be issued a dividend of $0.35 per share. The ex-dividend date is Friday, May 15th. This represents a $1.40 annualized dividend and a yield of 2.0%. Kroger’s dividend payout ratio is currently 91.50%.

Kroger News Summary

Here are the key news stories impacting Kroger this week:

• Positive Sentiment: Kroger launched two 4X Fuel Points spring weekends (Mar 27–29 and Apr 3–5), a sales-driving promotion that should boost traffic and basket sizes in the short term. Kroger 4X Fuel Points
• Positive Sentiment: Unusually large options activity: traders bought ~20,700 call contracts (a ~53% rise vs. typical). That indicates short-term bullish positioning by some market participants, which can support upward moves if catalysts arrive. (internal trading note)
• Positive Sentiment: Kroger is investing ~$112M in central Ohio for new stores and renovations — a concrete growth/capex deployment that supports sales expansion and market share. Kroger invests in Ohio
• Positive Sentiment: Analysis pieces argue Kroger is relatively attractively priced versus peers like Walmart, which could draw value-focused investors over time. Kroger valuation view
• Neutral Sentiment: Q4 / sector write-ups benchmark Kroger’s results: Kroger beat EPS but missed revenue slightly in the most recent quarter and set FY26 EPS guidance (5.10–5.30), which leaves investors parsing margin trends and sales mix. Q4 benchmarking
• Neutral Sentiment: Kroger refunded $1.4M to Groveland for city projects (administrative/local impact; limited financial materiality). Groveland refund
• Neutral Sentiment: Former Kroger CEO Rodney McMullen was subpoenaed to testify in litigation related to the Albertsons merger — a legal/disclosure development investors will monitor but is not yet a direct financial hit. McMullen subpoena
• Negative Sentiment: Kroger was named in recalls covering 37 million pounds of frozen foods (Trader Joe’s and Kroger products). Recalls raise near-term costs, logistics/headache risk and can pressure margins and customer confidence. Frozen food recall
• Negative Sentiment: Multiple local safety incidents at stores (assault/shooting reports) are drawing media attention and could weigh on store traffic or increase security costs in affected markets. Store safety incident Parking lot shooting

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Wolfe Research reaffirmed an “outperform” rating and set a $75.00 price objective on shares of Kroger in a report on Thursday, March 5th. JPMorgan Chase & Co. reduced their target price on Kroger from $73.00 to $71.00 and set a “neutral” rating on the stock in a research note on Friday, December 5th. Morgan Stanley set a $73.00 price target on Kroger and gave the stock an “equal weight” rating in a research note on Thursday, March 5th. Barclays reiterated a “positive” rating on shares of Kroger in a report on Monday, February 9th. Finally, Jefferies Financial Group reiterated a “buy” rating and set a $82.00 price objective on shares of Kroger in a research report on Thursday, March 5th. Eight investment analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $74.56.

About Kroger

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.