Stock Traders Purchase High Volume of Call Options on Kroger (NYSE:KR)

The Kroger Co. (NYSE:KR) saw some unusual options trading activity on Thursday. Traders purchased 36,013 call options on the company. This represents an increase of 168% compared to the typical volume of 13,460 call options.

Institutional Investors Weigh In On Kroger

Several large investors have recently modified their holdings of the stock. Whipplewood Advisors LLC purchased a new stake in Kroger during the first quarter worth about $27,000. Ares Financial Consulting LLC acquired a new stake in Kroger in the 4th quarter valued at $25,000. MV Capital Management Inc. acquired a new position in shares of Kroger during the fourth quarter worth $26,000. Axiom Investment Management LLC acquired a new stake in Kroger during the 1st quarter valued at $31,000. Finally, Cedar Mountain Advisors LLC acquired a new position in shares of Kroger in the 1st quarter valued at approximately $33,000. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Kroger Trading Down 2.1%

Shares of NYSE KR traded down $1.25 during trading on Thursday, reaching $57.26. The stock had a trading volume of 2,442,305 shares, compared to its average volume of 6,869,312. The business’s 50-day moving average price is $57.61 and its 200-day moving average price is $64.57. Kroger has a fifty-two week low of $54.15 and a fifty-two week high of $76.58. The company has a debt-to-equity ratio of 2.43, a quick ratio of 0.39 and a current ratio of 0.79. The company has a market cap of $35.08 billion, a P/E ratio of 33.74, a PEG ratio of 1.57 and a beta of 0.43.

Kroger (NYSE:KR) last released its earnings results on Thursday, June 18th. The company reported $1.58 earnings per share for the quarter, missing the consensus estimate of $1.59 by ($0.01). The firm had revenue of $46.12 billion during the quarter, compared to analyst estimates of $45.59 billion. Kroger had a net margin of 0.71% and a return on equity of 44.33%. The business’s revenue was up 2.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.49 earnings per share. Kroger has set its FY 2026 guidance at 5.100-5.30 EPS. On average, equities research analysts predict that Kroger will post 5.21 EPS for the current fiscal year.

Kroger Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 1st. Investors of record on Saturday, August 15th will be paid a dividend of $0.39 per share. The ex-dividend date is Friday, August 14th. This represents a $1.56 annualized dividend and a yield of 2.7%. This is an increase from Kroger’s previous quarterly dividend of $0.35. Kroger’s dividend payout ratio (DPR) is 91.76%.

Analyst Ratings Changes

Several equities analysts have recently weighed in on the stock. Royal Bank Of Canada reaffirmed an “outperform” rating on shares of Kroger in a report on Monday, June 1st. HC Wainwright restated a “buy” rating on shares of Kroger in a research report on Thursday, July 2nd. Wall Street Zen lowered shares of Kroger from a “buy” rating to a “hold” rating in a research report on Saturday, June 20th. Evercore reiterated an “outperform” rating and set a $78.00 price target on shares of Kroger in a research report on Tuesday, July 7th. Finally, Citigroup decreased their price objective on Kroger from $71.00 to $61.00 and set a “neutral” rating on the stock in a report on Tuesday, June 23rd. Ten investment analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $72.00.

Kroger Company Profile

The Kroger Co (NYSE: KR) is one of the largest supermarket operators in the United States, offering a wide range of retail grocery and related services. Founded in Cincinnati in 1883 by Bernard Kroger, the company operates a portfolio of supermarket and multi-department store banners and provides customers with fresh foods, packaged groceries, deli and bakery items, meat and seafood, produce, and prepared foods. Kroger’s stores commonly include pharmacy services and fuel centers, positioning the company as a broad-based neighborhood retail destination for everyday needs.

In addition to traditional in-store retailing, Kroger manufactures and distributes a variety of private-label brands and operates its own food production and supply-chain facilities.