Kroger Co. is upgraded to Buy after a post-earnings drop, with valuation offering a solid margin of safety amid potential business improvements. KR maintains 2026 guidance for 1–2% identical sales growth, $5.10–$5.30 EPS, and $2.7B–$2.9B FCF despite macro headwinds. The new CEO is pursuing price cuts to drive long-term differentiation and growth alongside their mixed (digital and brick-and-mortar) expansion.
The Kroger Co. delivered a mixed Q1, with a slight revenue beat, a minor EPS miss, and a cautious management tone highlighting operational challenges. KR's management is proactively addressing pricing complexity and unsustainable operating costs, aiming to sharpen competitiveness without directly matching Walmart or Costco. eCommerce sales grew 19% YoY and turned profitable, supporting a bullish pillar alongside initiatives in Pharmacy, Ads, and Media.
Kroger's revenues ticked up slightly last quarter as its shoppers felt increased financial strain. “The customer is under pressure,” Greg Foran, chief executive of America's largest traditional supermarket chain, said Thursday (June 18) as Kroger reported earnings showing revenues up 1%, compared to a 3.2% rise in the same quarter last year.
The Kroger Co. (KR) Q1 2027 Earnings Call Transcript
Kroger (KR) came out with quarterly earnings of $1.58 per share, missing the Zacks Consensus Estimate of $1.59 per share. This compares to earnings of $1.49 per share a year ago.
Kroger heads into Q1 results with a focus on identical sales, e-commerce momentum and customer traffic as pharmacy headwinds and price investments loom.
Whether you're a value, growth, or momentum investor, finding strong stocks becomes easier with the Zacks Style Scores, a top feature of the Zacks Premium research service.
Kroger Co (NYSE:KR) is set to report first-quarter earnings before the open on Thursday, June 18.
Kroger (KR) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Kroger (KR) concluded the recent trading session at $64.46, signifying a +2.33% move from its prior day's close.
Kroger (KR) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.
The latest trading day saw Kroger (KR) settling at $61.52, representing a -1.01% change from its previous close.