Kroger (NYSE:KR) Lowered to “Equal Weight” Rating by Wells Fargo & Company

Wells Fargo & Company downgraded shares of Kroger (NYSE:KR) from an overweight rating to an equal weight rating in a research note published on Wednesday, MarketBeat Ratings reports. The brokerage currently has $68.00 price target on the stock, down from their previous price target of $70.00.

A number of other research firms have also weighed in on KR. Evercore set a $77.00 price objective on Kroger and gave the company an “outperform” rating in a research note on Friday, December 5th. Jefferies Financial Group reissued a “buy” rating on shares of Kroger in a report on Monday, February 9th. Deutsche Bank Aktiengesellschaft raised shares of Kroger from a “hold” rating to a “buy” rating and set a $75.00 price objective for the company in a research note on Thursday, January 8th. Guggenheim reissued a “buy” rating and issued a $78.00 target price on shares of Kroger in a research note on Tuesday, February 10th. Finally, BMO Capital Markets restated a “market perform” rating on shares of Kroger in a report on Monday, February 9th. Seven research analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $73.93.

Kroger Price Performance

Shares of NYSE:KR opened at $67.57 on Wednesday. The company has a quick ratio of 0.45, a current ratio of 0.88 and a debt-to-equity ratio of 2.28. The stock has a market cap of $42.76 billion, a PE ratio of 62.57, a PEG ratio of 1.77 and a beta of 0.62. The company’s fifty day moving average is $64.39 and its 200 day moving average is $65.97. Kroger has a 52 week low of $58.60 and a 52 week high of $74.90.

Kroger (NYSE:KR) last announced its quarterly earnings data on Thursday, December 4th. The company reported $1.05 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.03 by $0.02. Kroger had a return on equity of 38.06% and a net margin of 0.54%.The firm had revenue of $33.86 billion for the quarter, compared to analysts’ expectations of $34.27 billion. During the same period last year, the firm earned $0.98 earnings per share. The company’s revenue for the quarter was up .7% compared to the same quarter last year. Kroger has set its FY 2025 guidance at 4.750-4.800 EPS. Research analysts anticipate that Kroger will post 4.44 earnings per share for the current year.

Kroger Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Sunday, March 1st. Stockholders of record on Friday, February 13th will be given a $0.35 dividend. The ex-dividend date of this dividend is Friday, February 13th. This represents a $1.40 dividend on an annualized basis and a dividend yield of 2.1%. Kroger’s dividend payout ratio is currently 129.63%.

Institutional Trading of Kroger

A number of hedge funds have recently made changes to their positions in KR. Brighton Jones LLC boosted its stake in Kroger by 27.3% in the 4th quarter. Brighton Jones LLC now owns 15,733 shares of the company’s stock worth $962,000 after purchasing an additional 3,373 shares in the last quarter. Woodline Partners LP grew its position in Kroger by 40.7% in the 1st quarter. Woodline Partners LP now owns 56,243 shares of the company’s stock worth $3,807,000 after purchasing an additional 16,270 shares during the period. Sivia Capital Partners LLC bought a new position in shares of Kroger during the 2nd quarter valued at $201,000. Envestnet Asset Management Inc. boosted its stake in shares of Kroger by 8.8% in the 2nd quarter. Envestnet Asset Management Inc. now owns 818,239 shares of the company’s stock worth $58,692,000 after buying an additional 66,394 shares during the last quarter. Finally, Ashton Thomas Private Wealth LLC increased its holdings in Kroger by 137.0% during the second quarter. Ashton Thomas Private Wealth LLC now owns 22,914 shares of the company’s stock valued at $1,644,000 after buying an additional 13,245 shares during the last quarter. 80.93% of the stock is owned by institutional investors.

Key Kroger News

Here are the key news stories impacting Kroger this week:

• Positive Sentiment: New CEO Greg Foran (former Walmart exec) is expected to push cost-cutting, operational streamlining and margin improvement, which investors often view favorably for grocers facing margin pressure. This leadership change likely drove some of the stock’s intraday activity. Former Walmart exec reveals what Kroger can expect from its first outside CEO Kroger’s New CEO Brings Walmart Experience To Cost Focus And Margins
• Positive Sentiment: Kroger expanded pharmacy/wellness offerings — including GLP-1 savings programs and free virtual dietitian consults — which can support pharmacy revenue and customer loyalty over time. These initiatives are strategically relevant given healthcare tailwinds in retail. Savings Programs that offer Affordable Access to GLP-1s Available at Kroger
• Neutral Sentiment: Local real estate and store activity: Kroger is breaking ground on new stores (McKinney, Perry) and opening remodeled locations; these are execution items that matter regionally but have limited immediate impact on the company-wide stock move. Kroger starts construction on new McKinney store and reveals opening date
• Neutral Sentiment: Customer perception: Kroger was cited among top grocery stores in a recent survey — a branding/retention positive but not an immediate earnings driver. Kroger among best grocery stores in the US, survey reveals
• Negative Sentiment: Wells Fargo downgraded Kroger from overweight to equal-weight and trimmed its price target to $68, reducing near-term analyst support and likely contributing to selling pressure. Benzinga coverage of downgrade
• Negative Sentiment: Operational noise — reports of store closures and local exits in some markets (e.g., references to 60-store closures and vacancy in a commerce park) create short-term uncertainty about footprint optimization and costs. Kroger has begun to close 60 stores after failed merger Lake County seeking new tenants for commerce park after Kroger exit

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.