KROGER CO (KR) Stock Fundamental Analysis
USA - NYSE:KR - US5010441013 - Common Stock
69.27 USD
+0.17 (+0.25%)
Overall KR gets a fundamental rating of 4 out of 10. We evaluated KR against 39 industry peers in the Consumer Staples Distribution & Retail industry. KR has a medium profitability rating, but doesn't score so well on its financial health evaluation. KR is valued correctly, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
KR had positive earnings in the past year.
In the past year KR had a positive cash flow from operations.
Each year in the past 5 years KR has been profitable.
KR had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KR has a Return On Assets (5.05%) which is in line with its industry peers.
KR has a Return On Equity of 29.16%. This is amongst the best in the industry. KR outperforms 84.62% of its industry peers.
KR has a better Return On Invested Capital (8.53%) than 66.67% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KR is in line with the industry average of 8.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 29.16% | ||
| ROIC | 8.53% |
ROA(3y)4.59%
ROA(5y)4.47%
ROE(3y)24.18%
ROE(5y)23.32%
ROIC(3y)8.58%
ROIC(5y)8.18%
1.3 Margins
With a Profit Margin value of 1.84%, KR perfoms like the industry average, outperforming 56.41% of the companies in the same industry.
KR's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 2.74%, KR is in line with its industry, outperforming 58.97% of the companies in the same industry.
In the last couple of years the Operating Margin of KR has grown nicely.
KR has a Gross Margin of 23.12%. This is comparable to the rest of the industry: KR outperforms 43.59% of its industry peers.
KR's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.74% | ||
| PM (TTM) | 1.84% | ||
| GM | 23.12% |
OM growth 3Y1.47%
OM growth 5Y6.25%
PM growth 3Y14.79%
PM growth 5Y6.04%
GM growth 3Y1.13%
GM growth 5Y0.63%
2. Health
2.1 Basic Checks
KR has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
KR has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, KR has less shares outstanding
KR has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 4.37 indicates that KR is not in any danger for bankruptcy at the moment.
KR has a Altman-Z score (4.37) which is comparable to the rest of the industry.
KR has a debt to FCF ratio of 8.12. This is a slightly negative value and a sign of low solvency as KR would need 8.12 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 8.12, KR is in line with its industry, outperforming 46.15% of the companies in the same industry.
KR has a Debt/Equity ratio of 1.85. This is a high value indicating a heavy dependency on external financing.
KR has a worse Debt to Equity ratio (1.85) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | 8.12 | ||
| Altman-Z | 4.37 |
ROIC/WACC1.25
WACC6.85%
2.3 Liquidity
A Current Ratio of 0.95 indicates that KR may have some problems paying its short term obligations.
The Current ratio of KR (0.95) is worse than 79.49% of its industry peers.
A Quick Ratio of 0.54 indicates that KR may have some problems paying its short term obligations.
KR's Quick ratio of 0.54 is in line compared to the rest of the industry. KR outperforms 46.15% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.54 |
3. Growth
3.1 Past
KR shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by 0.00%.
The Earnings Per Share has been growing by 15.28% on average over the past years. This is quite good.
The Revenue has decreased by -2.13% in the past year.
Measured over the past years, KR shows a small growth in Revenue. The Revenue has been growing by 3.77% on average per year.
EPS 1Y (TTM)0%
EPS 3Y6.78%
EPS 5Y15.28%
EPS Q2Q%11.83%
Revenue 1Y (TTM)-2.13%
Revenue growth 3Y2.18%
Revenue growth 5Y3.77%
Sales Q2Q%0.08%
3.2 Future
Based on estimates for the next years, KR will show a small growth in Earnings Per Share. The EPS will grow by 6.20% on average per year.
Based on estimates for the next years, KR will show a small growth in Revenue. The Revenue will grow by 2.45% on average per year.
EPS Next Y9.82%
EPS Next 2Y9.95%
EPS Next 3Y8.81%
EPS Next 5Y6.2%
Revenue Next Year0.65%
Revenue Next 2Y1.77%
Revenue Next 3Y2.02%
Revenue Next 5Y2.45%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 14.90, which indicates a correct valuation of KR.
Based on the Price/Earnings ratio, KR is valued a bit cheaper than 79.49% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.53. KR is valued slightly cheaper when compared to this.
The Price/Forward Earnings ratio is 12.79, which indicates a correct valuation of KR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of KR indicates a rather cheap valuation: KR is cheaper than 82.05% of the companies listed in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.04. KR is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.9 | ||
| Fwd PE | 12.79 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KR is valued a bit cheaper than the industry average as 74.36% of the companies are valued more expensively.
KR's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. KR is cheaper than 61.54% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.75 | ||
| EV/EBITDA | 7.99 |
4.3 Compensation for Growth
KR's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of KR may justify a higher PE ratio.
PEG (NY)1.52
PEG (5Y)0.97
EPS Next 2Y9.95%
EPS Next 3Y8.81%
5. Dividend
5.1 Amount
KR has a Yearly Dividend Yield of 2.07%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.00, KR pays a better dividend. On top of this KR pays more dividend than 87.18% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, KR has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.07% |
5.2 History
The dividend of KR is nicely growing with an annual growth rate of 15.86%!
KR has paid a dividend for at least 10 years, which is a reliable track record.
As KR did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)15.86%
Div Incr Years5
Div Non Decr Years5
5.3 Sustainability
32.69% of the earnings are spent on dividend by KR. This is a low number and sustainable payout ratio.
The dividend of KR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP32.69%
EPS Next 2Y9.95%
EPS Next 3Y8.81%
NYSE:KR (10/16/2025, 11:55:04 AM)
69.27
+0.17 (+0.25%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupConsumer Staples Distribution & Retail
GICS IndustryConsumer Staples Distribution & Retail
Earnings (Last)
Earnings (Next)
Inst Owners78.68%
Inst Owner Change0.14%
Ins Owners0.26%
Ins Owner Change-0.94%
Market Cap45.90B
Analysts76.97
Price Target78.66 (13.56%)
Short Float %6.74%
Short Ratio5.56
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.07% |
Yearly Dividend1.28
Dividend Growth(5Y)15.86%
DP32.69%
Div Incr Years5
Div Non Decr Years5
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.34%
Min EPS beat(2)-0.91%
Max EPS beat(2)1.58%
EPS beat(4)1
Avg EPS beat(4)-0.67%
Min EPS beat(4)-2.62%
Max EPS beat(4)1.58%
EPS beat(8)4
Avg EPS beat(8)1.93%
EPS beat(12)8
Avg EPS beat(12)2.47%
EPS beat(16)12
Avg EPS beat(16)4.88%
Revenue beat(2)0
Avg Revenue beat(2)-3.22%
Min Revenue beat(2)-3.38%
Max Revenue beat(2)-3.06%
Revenue beat(4)0
Avg Revenue beat(4)-3.61%
Min Revenue beat(4)-4.53%
Max Revenue beat(4)-3.06%
Revenue beat(8)0
Avg Revenue beat(8)-3.26%
Revenue beat(12)0
Avg Revenue beat(12)-3.18%
Revenue beat(16)0
Avg Revenue beat(16)-2.89%
PT rev (1m)1.4%
PT rev (3m)9.92%
EPS NQ rev (1m)0.43%
EPS NQ rev (3m)0.48%
EPS NY rev (1m)0%
EPS NY rev (3m)0.69%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.28%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.9 | ||
| Fwd PE | 12.79 | ||
| P/S | 0.31 | ||
| P/FCF | 20.75 | ||
| P/OCF | 7.63 | ||
| P/B | 4.95 | ||
| P/tB | 7.99 | ||
| EV/EBITDA | 7.99 |
EPS(TTM)4.65
EY6.71%
EPS(NY)5.42
Fwd EY7.82%
FCF(TTM)3.34
FCFY4.82%
OCF(TTM)9.08
OCFY13.11%
SpS221.83
BVpS14.01
TBVpS8.66
PEG (NY)1.52
PEG (5Y)0.97
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.05% | ||
| ROE | 29.16% | ||
| ROCE | 10.91% | ||
| ROIC | 8.53% | ||
| ROICexc | 9.83% | ||
| ROICexgc | 11.05% | ||
| OM | 2.74% | ||
| PM (TTM) | 1.84% | ||
| GM | 23.12% | ||
| FCFM | 1.5% |
ROA(3y)4.59%
ROA(5y)4.47%
ROE(3y)24.18%
ROE(5y)23.32%
ROIC(3y)8.58%
ROIC(5y)8.18%
ROICexc(3y)9.19%
ROICexc(5y)8.71%
ROICexgc(3y)10.39%
ROICexgc(5y)9.91%
ROCE(3y)10.97%
ROCE(5y)10.45%
ROICexcg growth 3Y1.16%
ROICexcg growth 5Y8.26%
ROICexc growth 3Y2%
ROICexc growth 5Y8.94%
OM growth 3Y1.47%
OM growth 5Y6.25%
PM growth 3Y14.79%
PM growth 5Y6.04%
GM growth 3Y1.13%
GM growth 5Y0.63%
F-Score6
Asset Turnover2.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.85 | ||
| Debt/FCF | 8.12 | ||
| Debt/EBITDA | 2.32 | ||
| Cap/Depr | 113.71% | ||
| Cap/Sales | 2.59% | ||
| Interest Coverage | 9.36 | ||
| Cash Conversion | 81.66% | ||
| Profit Quality | 81.71% | ||
| Current Ratio | 0.95 | ||
| Quick Ratio | 0.54 | ||
| Altman-Z | 4.37 |
F-Score6
WACC6.85%
ROIC/WACC1.25
Cap/Depr(3y)117.5%
Cap/Depr(5y)109.87%
Cap/Sales(3y)2.47%
Cap/Sales(5y)2.29%
Profit Quality(3y)88.47%
Profit Quality(5y)127.63%
High Growth Momentum
Growth
EPS 1Y (TTM)0%
EPS 3Y6.78%
EPS 5Y15.28%
EPS Q2Q%11.83%
EPS Next Y9.82%
EPS Next 2Y9.95%
EPS Next 3Y8.81%
EPS Next 5Y6.2%
Revenue 1Y (TTM)-2.13%
Revenue growth 3Y2.18%
Revenue growth 5Y3.77%
Sales Q2Q%0.08%
Revenue Next Year0.65%
Revenue Next 2Y1.77%
Revenue Next 3Y2.02%
Revenue Next 5Y2.45%
EBIT growth 1Y-6.09%
EBIT growth 3Y3.68%
EBIT growth 5Y10.25%
EBIT Next Year79.17%
EBIT Next 3Y24.36%
EBIT Next 5Y14.49%
FCF growth 1Y-21.92%
FCF growth 3Y-20.79%
FCF growth 5Y2.96%
OCF growth 1Y-6.48%
OCF growth 3Y-2.18%
OCF growth 5Y4.43%