Kroger(KR) increased by 0.41% from the previous day to close at $33.98 in the latest trading session. The stock exceeded the S&P 500’s daily loss of 0.15%. Also, the Dow and Nasdaq lost 0.07% and 0.47% respectively.
By today, an increment of 5.68% was observed in the shares of supermarket chains over the past month. The Retail-Wholesale sector’s increase was faster in comparison to 6.56% in the same period of time. Whereas, S&P 500’s total gain was surpassed which was at 3.19% during the same duration.
With the next earnings release expected soon, Kroger will be looking to display strength. The expected earning per stock is $0.65 which is a 38.3% rise from the previous year. According to the Zack Consensus Estimate for revenue an increase of up to 7.12% from the previous year is expected, making net sales $29.97 billion.
The Zacks Consensus Estimates analysts are expecting an increase of 49.09% and 8.24% in earnings per share and revenue respectively from the previous year making them $3.28 share and $132.36 billion respectively.
This increase in number should be noted by investors which will help them in understanding the consistent change in the fore coming business trends. The analyst estimates and stats show a positive revision on the company’s business outlook in the near future.
According to the Zacks Consensus Estimate, changes are directly related to the close by stock prices by the virtue of which they have Zacks Rank. According to the Zacks Ranks system, Kroger is currently at #1(Strong Buy).
Kroger has a current P/E ratio of 10.33 which in comparison to its industry has a P/E of 15.13 meaning Kroger is trading at a discount to the group.
The PEG ratio takes into account the growth rate of the company’s expected earnings in contrast to the P/E ratio which doesn’t take it into consideration. The PEG ratio of KR is currently at 1.67. An average PEG ratio of 2.54 was observed for Retail supermarkets at yesterday’s closing. Through the data provided by Zacks rank, it was observed that the top 50% rated industries outperformed the next bottom half by a factor of 2 to 1.