Kroger (KR - Free Report) closed at $33.53 in the latest trading session, marking a -0.61% move from the prior day. This move was narrower than the S&P 500's daily loss of 2.05%. Meanwhile, the Dow lost 1.89%, and the Nasdaq, a tech-heavy index, lost 2.07%.
KR will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $0.89, up 23.61% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $39.99 billion, up 7.36% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $2.47 per share and revenue of $126.38 billion, which would represent changes of +12.27% and +3.35%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for KR. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. 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. Within the past 30 days, our consensus EPS projection has moved 2.12% higher. KR is currently a Zacks Rank #2 (Buy).
Looking at its valuation, KR is holding a Forward P/E ratio of 13.68. This valuation marks a premium compared to its industry's average Forward P/E of 11.88.
Meanwhile, KR's PEG ratio is currently 2.81. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Retail - Supermarkets stocks are, on average, holding a PEG ratio of 2.41 based on yesterday's closing prices.
The Retail - Supermarkets industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.