Analyst Expectations For Kroger's Future

13 analysts have shared their evaluations of Kroger KR during the recent three months, expressing a mix of bullish and bearish perspectives.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Kroger, revealing an average target of $70.46, a high estimate of $75.00, and a low estimate of $61.00. This current average reflects an increase of 1.85% from the previous average price target of $69.18.

Decoding Analyst Ratings: A Detailed Look

The perception of Kroger by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Kroger. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Kroger compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Kroger's stock. This comparison reveals trends in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Kroger's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Kroger analyst ratings.

Unveiling the Story Behind Kroger

Kroger is one of the largest grocery retailers in the United States with more than 2,700 stores across a portfolio of over 20 supermarket banners. The company boasts an ingrained presence in US communities, citing that it is a top-two grocer in most of its major market areas. Over one fourth of Kroger's roughly $110 billion in nonperishable and fresh food sales (about 75% of revenue) stems from its private-label portfolio, of which the company manufactures about 30% of units via its own food production plants. The firm also operates fuel stations and pharmacies at 60% and 80% of its locations, respectively.

Kroger's Economic Impact: An Analysis

Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.

Revenue Growth: Kroger's revenue growth over a period of 3 months has faced challenges. As of 31 January, 2025, the company experienced a revenue decline of approximately -7.44%. This indicates a decrease in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Staples sector.

Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 1.79%, the company showcases strong profitability and effective cost control.

Return on Equity (ROE): Kroger's ROE stands out, surpassing industry averages. With an impressive ROE of 5.8%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): Kroger's ROA stands out, surpassing industry averages. With an impressive ROA of 1.07%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: Kroger's debt-to-equity ratio surpasses industry norms, standing at 3.03. This suggests the company carries a substantial amount of debt, posing potential financial challenges.

How Are Analyst Ratings Determined?

Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.