DailyIQ
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Sector:Consumer DefensiveAll sectors
Last updated 3 minutes ago

KR·The Kroger Co.

$.
+. (+.%)
Pre-Market
High
$59.02
Open
$58.94
Market Cap
35.69B
52W High
$76.58
Low
$58.57
P. Close
$58.03
P/E
33.89
52W Low
$54.15
Fwd P/E
10.58
DailyIQ Est.
$72.41
Technical Score (1D)
55
BUY
News Sentiment
50
MIXED
Kroger is now awaiting a regulatory review of its proposed acquisition of Giant Eagle, a process that could require the divestiture of certain stores and delay the deal’s completion. The review introduces uncertainty about the combined company’s scale and the expected synergies, potentially affecting short‑term valuation. In parallel, Kroger has launched Tempo’s Cook Never Club, a dietitian‑approved meal service that expands its food‑service footprint and offers a higher‑margin, subscription‑style revenue stream. The new service signals a strategic shift toward more profitable, recurring income if consumer adoption accelerates. Together, the pending regulatory scrutiny and the new meal‑service initiative create a mixed outlook for the next 1–10 trading days, as investors weigh deal‑completion risk against potential upside from the service. An insider sale of $1.764 million in KR shares was also reported, adding short‑term selling pressure and raising questions about internal confidence in near‑term performance. The insider sale does not indicate a long‑term ownership shift, but it highlights possible concerns about the company’s upcoming earnings. Traders should watch the outcome of the regulatory review, particularly whether any divestiture conditions are imposed that could alter the deal’s value. Additionally, monitoring the adoption rate of Tempo’s Cook Never Club and any subsequent insider trading activity will help gauge whether the company’s strategic pivot is gaining traction.
Earnings Summary
KR operates as a leading U.S. grocery retailer with a diversified store mix that includes food‑and‑drug, multi‑department, marketplace, and warehouse formats, complemented by internal manufacturing and fuel centers. The company’s broad footprint and omnichannel investments position it within the consumer‑defensive grocery sector, where stable demand and cost control are critical. In the most recent quarters, KR posted EPS of $1.04 in Q2 2025 and $1.05 in Q3 2025, both beating estimates of $0.99762 and $1.0326 respectively, after a strong $1.49 EPS in Q1 2025 that also surpassed the $1.45747 forecast. Revenue, however, fell from $45.118 B in Q1 2025 to $33.94 B in Q2 2025 and remained flat at $33.859 B in Q3 2025, indicating a downward trend in top line growth despite continued earnings strength. Historically, KR has delivered four consecutive EPS beats, with the most recent Q1 2027 EPS of $1.58 narrowly missing the $1.59316 estimate, underscoring a pattern of earnings resilience amid revenue softness. Recent news highlights the appointment of former McDonald’s executive Emilee De Martino as Chief People Officer, signaling a renewed focus on workforce strategy that could influence labor costs and margin pressure. The $1.65 billion acquisition of Giant Eagle adds a Midwest footprint and pharmacy network, with integration synergies projected at up to $200 M annually, while the deployment of AI in its retail media platform may boost advertising revenue. Investors should watch for progress on Giant Eagle integration, updates on labor negotiations, and early signs of AI‑driven revenue growth, as these factors will shape KR’s near‑term profitability trajectory.

EPS

EstBeatMiss
$0.91$1.10$1.30$1.49$1.68Q4'24Q1'25Q2'25Q3'25Q1'27Q2'27
QtrEstActual+/−
Q2'27$1.05 - -
Q1'27$1.59$1.58-0.8%
Q3'25$1.03$1.05+1.7%
Q2'25$1.00$1.04+4.2%
Q1'25$1.46$1.49+2.2%
Q4'24$1.11$1.14+2.5%

Revenue

EstBeatMiss
$31.9B$36.1B$40.3B$44.6B$48.8BQ4'24Q1'25Q2'25Q3'25Q1'27Q2'27
QtrEstActual+/−
Q2'27$35.6B - -
Q1'27$46.8B$46.1B-1.5%
Q3'25 - $33.9B -
Q2'25 - $33.9B -
Q1'25 - $45.1B -
Q4'24 - $34.3B -
Full Earnings BreakdownEstimates, actuals, guidance, and historical context
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Market Data

KR Stock Snapshot

KR is currently trading at $59.02, giving The Kroger Co. a market cap of 35.69B and a P/E ratio of 33.9. Today's range spans $58.57–$59.02, with shares opening at $58.94 and moving up $0.99 (1.7%) from the prior close. DailyIQ's technical score sits at 55/100 (HOLD) with a news sentiment reading of 50/100.

Over the past year KR has traded between $54.15 and $76.58 - the current price is +9.0% off the 52-week low and -22.9% from the high. 35 analysts cover the stock with a Hold consensus and a mean 12-month target of $70.64 (range $58.00–$86.00), implying upside of +19.7%.

The quality factor scores well for The Kroger Co. (KR) even in a HOLD phase - at 35.69B in Consumer Defensive market cap with a 55/100 technical read (HOLD) and neutral sentiment (50/100), the stock's balance sheet and earnings stability attract defensive allocators who don't need a mixed signal to hold the position. (P/E: 33.9) Price: $59.02 (in the lower half of its 52-week range). Range: $54.15–$76.58.

Portfolio construction in Consumer Defensive often uses large-cap names like KR as tactical swing positions during neutral phases: cheap enough to overweight, liquid enough to exit quickly, and large enough to provide meaningful sector beta. The current 55/100 (HOLD) at $59.02 (in the lower half of its 52-week range) and neutral sentiment (50/100) frame the position as a catalyst play within the $54.15–$76.58 annual range rather than a directional bet.