Kroger (NYSE:KR) Price Target Raised to $62.00

Kroger (NYSE:KR) had its target price increased by equities researchers at Morgan Stanley from $58.00 to $62.00 in a research note issued on Wednesday,Benzinga reports. The firm presently has an “equal weight” rating on the stock. Morgan Stanley’s price target would indicate a potential downside of 2.05% from the company’s previous close.

Several other equities analysts also recently weighed in on KR. Jefferies Financial Group upgraded shares of Kroger from a “hold” rating to a “buy” rating and increased their price target for the stock from $54.00 to $73.00 in a report on Tuesday, December 3rd. Melius Research started coverage on shares of Kroger in a report on Monday, September 23rd. They set a “hold” rating and a $55.00 target price for the company. Roth Mkm upped their price target on shares of Kroger from $52.00 to $56.00 and gave the company a “neutral” rating in a report on Friday, December 6th. StockNews.com lowered Kroger from a “strong-buy” rating to a “buy” rating in a research note on Monday, September 16th. Finally, BNP Paribas initiated coverage on Kroger in a research note on Friday, October 18th. They issued a “neutral” rating and a $56.00 target price on the stock. Six analysts have rated the stock with a hold rating, eight have given a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $64.31.

Kroger Stock Performance

Shares of Kroger stock opened at $63.30 on Wednesday. Kroger has a 52 week low of $43.51 and a 52 week high of $63.59. The company has a 50 day moving average price of $58.00 and a 200 day moving average price of $54.75. The company has a quick ratio of 1.07, a current ratio of 1.54 and a debt-to-equity ratio of 1.74. The firm has a market capitalization of $45.80 billion, a P/E ratio of 16.75, a PEG ratio of 0.92 and a beta of 0.48.

Kroger (NYSE:KR) last issued its earnings results on Thursday, December 5th. The company reported $0.98 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.97 by $0.01. The company had revenue of $33.63 billion during the quarter, compared to analyst estimates of $34.19 billion. Kroger had a return on equity of 27.73% and a net margin of 1.85%. The firm’s quarterly revenue was down 1.0% on a year-over-year basis. During the same quarter last year, the business posted $0.95 EPS. Sell-side analysts expect that Kroger will post 4.45 EPS for the current year.

Kroger declared that its board has approved a stock buyback plan on Wednesday, December 11th that permits the company to repurchase $7.50 billion in shares. This repurchase authorization permits the company to purchase up to 16.9% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling at Kroger

In other news, SVP Valerie L. Jabbar sold 3,000 shares of the business’s stock in a transaction that occurred on Monday, September 23rd. The stock was sold at an average price of $55.91, for a total transaction of $167,730.00. Following the transaction, the senior vice president now directly owns 74,084 shares in the company, valued at $4,142,036.44. The trade was a 3.89 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP Brian W. Nichols sold 6,922 shares of the stock in a transaction that occurred on Monday, October 7th. The shares were sold at an average price of $55.80, for a total value of $386,247.60. Following the completion of the sale, the vice president now directly owns 14,063 shares of the company’s stock, valued at approximately $784,715.40. This represents a 32.99 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 58,821 shares of company stock worth $3,445,490. Corporate insiders own 1.40% of the company’s stock.

Hedge Funds Weigh In On Kroger

Several hedge funds have recently bought and sold shares of KR. Altshuler Shaham Ltd purchased a new stake in shares of Kroger during the 2nd quarter worth $28,000. Northwest Investment Counselors LLC acquired a new position in shares of Kroger during the 3rd quarter worth about $34,000. Newbridge Financial Services Group Inc. lifted its stake in Kroger by 218.8% during the second quarter. Newbridge Financial Services Group Inc. now owns 714 shares of the company’s stock worth $36,000 after purchasing an additional 490 shares during the last quarter. Harbor Capital Advisors Inc. purchased a new position in Kroger in the third quarter valued at approximately $40,000. Finally, ORG Partners LLC acquired a new stake in Kroger during the second quarter worth approximately $42,000. Institutional investors and hedge funds own 80.93% of the company’s stock.

About Kroger

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.