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The Kroger Co. (KR)

Consumer Defensive Out of favourS&P 500

Kroger is one of America's largest grocery chains, operating thousands of supermarkets and multi-department stores across the country.

$58.49

Is The Kroger Co. a good stock for a UK beginner?

The honest version: There's no rating here and nothing for sale. In its favour: Essential nature of the business provides steady demand. Worth weighing: Extremely thin profit margins leave little room for error.

No rating · no target price · nothing for sale here
Price+9.9%
= past earnings-report date
Priced in USD. As a UK investor your £ return also moves with the pound-to-dollar exchange rate, even inside an ISA - a stronger pound can trim your £ gains and a weaker pound can add to them, whatever the share price itself does.
52-week range-18% past year
$58.49
Low $54.15High $76.58
Where today's price sits versus its past year - context, not a signal.

Is this normal for this company?

Each figure against the range this same company has produced recently. Neither end of a range is the good end.

Price to earnings
11.7now
11.414.7

Share price divided by the earnings actually reported over the four most recent quarters. The range is the same calculation at each of this company's last few results, so roughly the past year.

Net profit margin
2.0%now
-3.9%2.5%

Profit as a share of sales, from the company's own quarterly statements. The range covers the 5 quarters we hold, and the figure shown is its most recent one.

How these ranges are built

Every number here is the company's own reported figure, not a comparison with other companies. The ranges come from this company's own results and its share price. Where it reports in a different currency from the one its shares trade in, the price-to-earnings range is left out rather than mixing the two.

What does The Kroger Co. do?

Kroger makes its money by selling food, household goods, and pharmacy items to millions of shoppers every day. Because people need to eat regardless of the economy, it is considered a defensive: A business whose demand holds up whatever the economy does - food, utilities, medicines. Steadier, though often slower-growing. business, though it operates on very thin profit margins. How they handle costs and competition while trying to grow their digital shopping services is worth following.

On our factor screen it looks strongest on value and income, and weakest on momentum.

Quick checks
What's strong
What to watch
  • Quality screens low
  • Momentum screens low

Does The Kroger Co. pay a dividend?

Yes - The Kroger Co. currently pays a dividend of about 2.5% a year, which is £26 a year for every £1,000 invested (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it. An ISA doesn't shelter the US tax on this one →

What do the numbers say about The Kroger Co.'s dividend?

There's no rating here, and we don't judge whether the dividend will continue - that would be advice. Here are the figures income investors usually look at, and what each one means, so you can weigh it up yourself.

Dividend yield2.5%£26 a year for every £1,000 invested. The yearly dividend as a percentage of today's price. A very high figure often means the price has fallen because the market expects a cut, so a big yield is a question to look into, not a prize.
Payout ratio80%about 80 in every 100 pounds of profit. The share of profit paid out as dividends. A lower figure leaves headroom; near or above 100% means most or all of the profit is going out as dividends.
Dividend cover1.2×Profit divided by the dividend (the payout ratio the other way up). As a rough convention many income investors like around 2× or more; below 1× means the company paid out more than it earned that year.

Figures are from the latest available data and can be distorted by one-off results. Past payments don't predict future ones, and a dividend can be cut at any time. This lays out the numbers to help you understand them - it is not a view on what will happen.

Most recent ex-dividend date: 15 May 2026. To receive a dividend you must already own the shares before the ex-dividend date; become a holder on or after it and the previous owner keeps that payment. Why the price usually falls that morning →

Does The Kroger Co. have more cash or more debt?

It holds about $2.87B in cash against about $24.19B of debt - so it has net debt of about $21.32B. Debt is not automatically a problem - it funds growth - but it has to be serviced and repaid, which matters more when profits wobble.

From the latest reported balance sheet. Cash and debt levels change, and some borrowing is normal - this is context, not a judgment.

What do The Kroger Co.'s numbers mean?

Forward P/E
10.15
This suggests that for every pound of expected future profit, investors are currently paying about ten pounds and seventy pence.
Lower than most of the 59 Consumer Defensive shares we cover
Net Margin
0.7%
This shows that for every pound spent at the till, the company keeps less than a penny as actual profit after all expenses are paid.
Lower than most of the 59 Consumer Defensive shares we cover
Beta
0.4
A low number like this indicates the share price tends to be much less jumpy than the wider stock market.
Dividend Yield
2.5%
This is the annual cash payment to shareholders as a percentage of the current share price.
Around the middle of the 59 Consumer Defensive shares we cover

How has it performed?

Growth of £1,000, the worst fall, and year by year
If you had put $1,000 into The Kroger Co.
$1,099+10%

Over about 2 years to 2026-09-11. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.

How much has The Kroger Co. actually fallen?

−27%

Over the last 2 years of daily prices, The Kroger Co. fell as much as −27% from a high to a later low. Falls like this are normal when you own a share.

Past falls are not a forecast - it can fall further, or recover.

How has it done year by year?

2022+0%
2023+5%
2024+37%
2025+4%
2026 so far-9%

Calendar-year total return - the share price with dividends reinvested - from adjusted closing prices. The current year is only part-complete. Past returns are not a guide to the future.

A closer look at the numbers

Ownership, earnings history, where the money goes, and the outlook range
Market cap: The company's total value on the stock market - share price times the number of shares. Big = 'large-cap', small = 'small-cap'.
$34.46B
Avg volume: How many shares change hands on a typical day. Higher means it's easy to buy or exit without moving the price.
7.94M
Day range: The lowest and highest price the shares traded at during the latest day.
$55.65 – $59.49
52-week range: The lowest and highest the shares have traded over the past year - a sense of how wide the swings have been.
$54.15 – $76.58
P/E ratio: Price-to-earnings: the share price divided by yearly profit per share. Lower can mean cheaper; higher often means investors expect fast growth.
32.9
Dividend yield: The yearly dividend as a percentage of the share price - roughly the income you'd earn from dividends alone.
2.5%
Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down.
0.41

Does the share price tell you if it's cheap or expensive?

One share costs$58.49
Number of shares589 million
So the whole company is worth$34.46bn
A £5 share is not cheaper than a £500 one - it means the company cut itself into more slices. Whether the total looks high or low is what the figures below are for; we don't give a verdict.

Who owns The Kroger Co.?

Big institutions 83%Company insiders 8%Public & smaller investors 9%

About 83% of The Kroger Co., or about 83 in every 100 shares, is held by big institutions such as pension and index funds, and company insiders hold about 8%. The rest, roughly 9%, is held by the public and smaller investors.

What this does and doesn't tell you

This is a recent snapshot of the share register, and it moves. We don't read anything into who owns what - a high institutional share is common for any large listed company and is not a signal about it.

How bumpy is it?Beta: How bumpy the share price is versus the whole market. Above 1 swings more than the market; below 1 is calmer. It's about the ride, not whether it goes up or down. 0.41
Calm
Wild
Steadier than most

Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.

Why has it been moving?▼ -5% past week · ▼ -18% past year

Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.

How much money does The Kroger Co. make?

Revenue and profit by quarter, and how much of each sale turns into profit.

RevenueNet income
$0$11.53B$23.06B$34.59B$46.12BQ2 25Q3 25Q4 25Q1 26Q2 26
Gross margin
24.0%
Net margin
0.7%
Return on equity
13.8%

Where does each £100 of The Kroger Co.'s sales go?

Making the product or service £76Running costs, tax and interest £23Left as profit £1

A rough split of the latest full-year figures: of every £100 of sales, about £76 covers making the product or service, £23 goes on running costs, tax and interest, and about £1 is left as profit. Margins vary a lot by industry, and one-off items can distort a single year.

When does The Kroger Co. report earnings, and how did recent quarters go?

‘Beat’ and ‘missed’ are against what analysts expected, not whether the business is doing well.

The Kroger Co.: reported versus expected earnings per share, recent quarters
ReportedExpected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number.Actual EPSvs expected
2026-09-11$1.05$1.09Beat +4%
2026-06-18$1.59$1.58In line
2026-03-05$1.20$1.28Beat +6%
2025-12-04$1.03$1.05Beat +2%
2025-09-11$1.00$1.04Beat +4%
2025-06-20$1.46$1.49Beat +2%

Across the last 6 quarters here, The Kroger Co. came in ahead of what analysts expected 5 times. One quarter is noise, not a trend.

See who else reports over the next two weeks →

Where these figures come from

Each quarter a company reports its results against a consensus of analyst forecasts. The figures here are reported versus expected earnings per share from published results; the expectation is that analyst consensus, not our view. Report dates are estimates and can move.

What are the scenarios for The Kroger Co.?

An illustrative range for the year ahead — not a prediction or a price target.

◀ lowerhigher ▶todayBull▲ UpsideBase• In-lineBear▼ Downside
Bull
+5% to +10%Stronger than expected quarterly sales figures
Base
-2% to +2%Steady, predictable grocery demand
Bear
-5% to -10%Rising operational costs squeezing thin margins

What are the pros, cons and common questions?

The case each way, and the questions people ask
The bull case

Significant expansion of high-margin services

The bear case

Structural decline in physical store footfall

What are the pros and cons of The Kroger Co.?

3bull points
6bear points

A balance check, not a score or verdict.

The bull case3
  • Essential nature of the business provides steady demand
  • Low beta suggests lower volatility than the broader market
  • Consistent history of paying dividends to shareholders
The catch3
  • Extremely thin profit margins leave little room for error
  • High competition from both traditional and discount grocers
  • Recent share price performance has been lacklustre
Key risks3
  • Rising labour and supply chain costs
  • Potential for price wars to erode profitability
  • Changing consumer preferences towards online-only delivery services
What would flip the thesis

The write-up's own warning lights — if these start happening, the case above changes.

  • A major shift in the grocery industry landscape
  • A sustained period of negative earnings growth

Common questions about The Kroger Co.

Does The Kroger Co. pay a dividend?

Yes - The Kroger Co. currently pays a dividend of about 2.5% a year. Dividends are a share of profit paid to holders; the yield moves with the price and payouts can be cut.

More in Consumer Defensive

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Confidence: medium · data: USD · flags: ps · Charts by TradingView Lightweight Charts™
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Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →

This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.

Prices as of 11 Sep 2026; other figures as of 11 Aug 2026. Prices may be delayed and numbers can go stale - always double-check before acting.