Donoghue Forlines LLC Makes New $2.13 Million Investment in The Kroger Co. (NYSE:KR)

Donoghue Forlines LLC acquired a new stake in shares of The Kroger Co. (NYSE:KR) during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm acquired 34,835 shares of the company’s stock, valued at approximately $2,130,000. Kroger comprises about 0.7% of Donoghue Forlines LLC’s holdings, making the stock its 15th largest holding.

A number of other hedge funds have also bought and sold shares of KR. Nexus Investment Management ULC raised its position in Kroger by 0.4% during the 4th quarter. Nexus Investment Management ULC now owns 48,115 shares of the company’s stock valued at $2,942,000 after purchasing an additional 175 shares in the last quarter. Sanibel Captiva Trust Company Inc. lifted its position in shares of Kroger by 4.0% in the 4th quarter. Sanibel Captiva Trust Company Inc. now owns 4,539 shares of the company’s stock worth $278,000 after purchasing an additional 176 shares during the period. Mendel Capital Management LLC increased its holdings in Kroger by 0.6% during the third quarter. Mendel Capital Management LLC now owns 31,559 shares of the company’s stock valued at $1,808,000 after buying an additional 181 shares during the period. Cooper Financial Group raised its stake in Kroger by 3.7% in the 4th quarter. Cooper Financial Group now owns 5,366 shares of the company’s stock worth $328,000 after acquiring an additional 190 shares during the last quarter. Finally, City Center Advisors LLC grew its stake in Kroger by 3.5% during the 4th quarter. City Center Advisors LLC now owns 5,748 shares of the company’s stock valued at $351,000 after purchasing an additional 195 shares during the last quarter. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Kroger Stock Down 0.8 %

KR opened at $58.59 on Thursday. The Kroger Co. has a one year low of $44.48 and a one year high of $63.59. The company has a market cap of $42.39 billion, a price-to-earnings ratio of 15.51, a PEG ratio of 2.77 and a beta of 0.48. The business’s fifty day moving average is $60.16 and its two-hundred day moving average is $56.73. The company has a debt-to-equity ratio of 1.74, a quick ratio of 1.07 and a current ratio of 1.54.

Kroger (NYSE:KR) last announced its earnings results on Thursday, December 5th. The company reported $0.98 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.97 by $0.01. Kroger had a net margin of 1.85% and a return on equity of 27.73%. The company had revenue of $33.63 billion during the quarter, compared to analysts’ expectations of $34.19 billion. During the same quarter in the previous year, the business posted $0.95 earnings per share. The firm’s quarterly revenue was down 1.0% compared to the same quarter last year. Analysts anticipate that The Kroger Co. will post 4.44 EPS for the current fiscal year.

Kroger declared that its board has approved a stock buyback plan on Wednesday, December 11th that allows the company to buyback $7.50 billion in shares. This buyback authorization allows the company to repurchase up to 16.9% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its stock is undervalued.

Analyst Ratings Changes

KR has been the subject of several research reports. Morgan Stanley lifted their price objective on shares of Kroger from $62.00 to $65.00 and gave the company an “equal weight” rating in a research note on Tuesday. JPMorgan Chase & Co. upped their target price on shares of Kroger from $69.00 to $71.00 and gave the stock an “overweight” rating in a report on Monday, January 6th. Telsey Advisory Group restated an “outperform” rating and issued a $70.00 target price on shares of Kroger in a report on Monday, December 23rd. Guggenheim began coverage on Kroger in a report on Thursday, December 19th. They issued a “buy” rating and a $68.00 price objective on the stock. Finally, Wells Fargo & Company raised their target price on Kroger from $70.00 to $73.00 and gave the company an “overweight” rating in a report on Thursday, December 12th. Six equities research analysts have rated the stock with a hold rating, nine have issued a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $66.14.

Insider Activity

In other Kroger news, SVP Stuart Aitken sold 132,627 shares of Kroger stock in a transaction that occurred on Thursday, December 12th. The shares were sold at an average price of $63.18, for a total transaction of $8,379,373.86. Following the transaction, the senior vice president now directly owns 217,523 shares of the company’s stock, valued at $13,743,103.14. The trade was a 37.88 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CFO Todd A. Foley sold 16,932 shares of the stock in a transaction that occurred on Thursday, December 19th. The shares were sold at an average price of $61.44, for a total transaction of $1,040,302.08. Following the completion of the sale, the chief financial officer now directly owns 53,782 shares of the company’s stock, valued at $3,304,366.08. This trade represents a 23.94 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 195,448 shares of company stock worth $12,143,923 over the last three months. 1.40% of the stock is currently owned by corporate insiders.

Kroger Company Profile

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.