Jefferies Maintains Buy Rating on Kroger (KR)

Despite a "competitive climate [that] remains tough and input costs [that] are rising," Jefferies & Co. maintained its Buy rating on shares of Kroger KR today. In an client note, Jefferies & Co. points out that "Employment could be rolling over again which would pose further challenges for the food vertical, especially the traditional supermarket retailers." Further, analysts notes that "The competitive climate remains elevated and this is creating headwinds for retailers and manufacturers." Despite the dark outlook, Jefferies maintains confidence in Kroger: "Kroger’s performance hinges on its ability get back on its demand curve, balancing price investments with profitable share gains." The Kroger Co. is a food retailer in the United States. Shares are 1.75% lower Tuesday, to $20.54.