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Kroger (KR) Gains As Market Dips: What You Should Know
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Kroger (KR - Free Report) closed the most recent trading day at $54.84, moving +1.84% from the previous trading session. This move outpaced the S&P 500's daily loss of 3.2%. Meanwhile, the Dow lost 1.99%, and the Nasdaq, a tech-heavy index, lost 0.47%.
Heading into today, shares of the supermarket chain had lost 12.68% over the past month, outpacing the Retail-Wholesale sector's loss of 13.6% and lagging the S&P 500's loss of 7.87% in that time.
Wall Street will be looking for positivity from Kroger as it approaches its next earnings report date. In that report, analysts expect Kroger to post earnings of $1.19 per share. This would mark no growth from the year-ago period. Meanwhile, our latest consensus estimate is calling for revenue of $42.8 billion, up 3.65% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.75 per share and revenue of $141.14 billion. These totals would mark changes of +1.9% and +2.36%, respectively, from last year.
Any recent changes to analyst estimates for Kroger should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Kroger is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, Kroger is currently trading at a Forward P/E ratio of 14.35. For comparison, its industry has an average Forward P/E of 11.38, which means Kroger is trading at a premium to the group.
Investors should also note that KR has a PEG ratio of 1.45 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Supermarkets was holding an average PEG ratio of 1.05 at yesterday's closing price.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 214, which puts it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Kroger (KR) Gains As Market Dips: What You Should Know
Kroger (KR - Free Report) closed the most recent trading day at $54.84, moving +1.84% from the previous trading session. This move outpaced the S&P 500's daily loss of 3.2%. Meanwhile, the Dow lost 1.99%, and the Nasdaq, a tech-heavy index, lost 0.47%.
Heading into today, shares of the supermarket chain had lost 12.68% over the past month, outpacing the Retail-Wholesale sector's loss of 13.6% and lagging the S&P 500's loss of 7.87% in that time.
Wall Street will be looking for positivity from Kroger as it approaches its next earnings report date. In that report, analysts expect Kroger to post earnings of $1.19 per share. This would mark no growth from the year-ago period. Meanwhile, our latest consensus estimate is calling for revenue of $42.8 billion, up 3.65% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.75 per share and revenue of $141.14 billion. These totals would mark changes of +1.9% and +2.36%, respectively, from last year.
Any recent changes to analyst estimates for Kroger should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Kroger is holding a Zacks Rank of #2 (Buy) right now.
In terms of valuation, Kroger is currently trading at a Forward P/E ratio of 14.35. For comparison, its industry has an average Forward P/E of 11.38, which means Kroger is trading at a premium to the group.
Investors should also note that KR has a PEG ratio of 1.45 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Supermarkets was holding an average PEG ratio of 1.05 at yesterday's closing price.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 214, which puts it in the bottom 16% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.