Retailer debuts teacher-issued supply lists with one-click purchase, making back-to-school shopping for class and the lunchroom easier than ever; school supplies for as little as 39 centsCINCINNATI, July 23, 2025 /PRNewswire/ -- The Kroger Co. (NYSE: KR) today shared Big Deal! back-to-school savings as students prepare to head back to the lunchroom and low prices on classroom supplies starting at just 39 cents. New this year, the retailer is debuting the Kroger Back to School List, an online tool offering s ...

Core Viewpoint - The Kroger Co. has announced the appointment of George Vincent as the new secretary and general counsel, effective August 4, 2025, following the retirement of Christine Wheatley on September 1, 2025 [1][6]. Group 1: Leadership Transition - George Vincent, previously a partner and managing partner at Dinsmore & Shohl, will bring extensive legal experience to Kroger, having overseen significant expansion and strategic efforts at his former firm [2]. - Christine Wheatley has served as Kroger's general counsel and secretary since 2014 and has been a part of the company since 2008, providing legal and compliance guidance [6][7]. Group 2: George Vincent's Background - Vincent has a strong reputation in the legal community, having received multiple "Best Lawyers" distinctions and being recognized in "America's Leading Lawyers for Business" for nearly 20 years [4]. - He has advised various national and international businesses on strategic growth and has held leadership roles in civic and business organizations [4]. Group 3: Company Overview - Kroger operates with over 400,000 associates and serves more than 11 million customers daily through various retail food stores and eCommerce platforms [7].

Core Viewpoint - The article emphasizes a fundamentals-based approach to value investing, arguing against the misconception that low multiple stocks are inherently cheap, and highlights the importance of long-term growth and a strong balance sheet in investment decisions [1]. Group 1: Investment Philosophy - The company seeks to identify firms that provide long-term durability at affordable prices, focusing on those with steady growth and no cyclicality [1]. - There is an acknowledgment of the risks involved in investing in successful companies, particularly the potential to overpay, which underscores the significance of valuation [1]. - The article suggests that in certain situations, the potential for growth may outweigh immediate price concerns, indicating a broader perspective on investment timing [1].

Kroger (KR) ended the recent trading session at $71.39, demonstrating a -1.15% change from the preceding day's closing price. This change lagged the S&P 500's 0.01% loss on the day. Meanwhile, the Dow lost 0.32%, and the Nasdaq, a tech-heavy index, added 0.05%. Prior to today's trading, shares of the supermarket chain had gained 10.23% outpaced the Retail-Wholesale sector's gain of 3.27% and the S&P 500's gain of 5.37%.The investment community will be closely monitoring the performance of Kroger in its fort ...

CINCINNATI, July 15, 2025 /PRNewswire/ -- The Kroger Co. (NYSE: KR) today announced it received a top score on the Disability Equality Index®, making the company a "Best Place to Work for Disability Inclusion" for the sixth year in a row. "Kroger has a strong commitment to offering a workplace where associates of all abilities can meaningfully contribute, thrive and grow," said Tim Massa, executive vice president and chief associate experience officer. "We are proud to be recognized year after year for our ...

Core Viewpoint - The consumer staples sector is viewed as a safe investment during economic uncertainty, as it includes companies that produce essential goods that people need daily [1][5]. Group 1: Definition and Characteristics of Consumer Staples - Consumer staples stocks consist of companies that produce or sell basic goods, such as groceries and personal-care items [6]. - The Global Industry Classification Standard (GICS) categorizes the Consumer Staples sector as including food and staples retail, food and beverage production, and household and personal product manufacturing [7]. - These stocks are considered defensive, generating stable revenues and producing significant free cash flow, often returned to shareholders as dividends [8]. Group 2: Investment Rationale - Investors are drawn to consumer staples stocks because they provide a steady demand for necessities, making them less sensitive to economic fluctuations [8]. - Historical performance shows that consumer staples outperformed the S&P 500 during major downturns, such as the Great Recession and the COVID-19 crash [10]. - Despite their defensive nature, consumer staples may have limited growth potential during economic expansions, as demand for basic goods does not significantly increase [11]. Group 3: Identifying Quality Consumer Staples Stocks - A quality screen for consumer staples stocks includes criteria such as being part of the S&P Composite 1500, having a long-term estimated earnings-per-share growth rate of at least 5%, and having at least five covering analysts [12][13][14]. - Stocks should also have a consensus Buy rating of 2.5 or less and a dividend yield of at least 1.5% to ensure they provide better income than the S&P 500 [15][16]. Group 4: Recommended Consumer Staples Stocks - The following companies are highlighted as strong consumer staples stocks based on the outlined criteria: - Dollar General (DG): Long-term EPS growth of 6.5%, consensus rating of 2.39, dividend yield of 2.1% [16] - Tyson Foods (TSN): Long-term EPS growth of 19.6%, consensus rating of 2.29, dividend yield of 3.5% [16] - Kroger (KR): Long-term EPS growth of 6.1%, consensus rating of 2.16, dividend yield of 1.8% [16] - Sysco (SYY): Long-term EPS growth of 6.1%, consensus rating of 2.10, dividend yield of 2.6% [16] - Keurig Dr Pepper (KDP): Long-term EPS growth of 7.2%, consensus rating of 1.91, dividend yield of 2.7% [16] - Philip Morris International (PM): Long-term EPS growth of 11.4%, consensus rating of 1.88, dividend yield of 3.0% [16] - Coca-Cola (KO): Long-term EPS growth of 6.1%, consensus rating of 1.62, dividend yield of 2.9% [16]

Core Insights - Kroger is focusing on making summer meal planning affordable for families by offering a grocery haul that provides five kid-friendly lunches for under $50, translating to less than $2 per person [1][3] - The company has lowered prices on thousands of grocery staples, emphasizing value and savings for customers during the summer season [1][4] - Kroger's commitment to quality is highlighted through its Fresh & Quality Guarantees, ensuring customers do not have to compromise on quality for lower prices [4] Pricing and Promotions - Kroger is promoting a variety of summer meal options, including turkey pinwheels, cheese quesadillas, and grilled cheese, with prices for these items being very competitive, such as $2.29 for peanut butter and 79 cents for macaroni and cheese [8] - The company is simplifying promotions and offering bulk packages, which allows families to stock up on favorite items while saving money [4] Customer Engagement - Kroger aims to enhance customer experience by providing meal solutions that allow families to spend more time together rather than focusing on shopping [3] - The grocery chain is also promoting a wide selection of summer treats, including ice cream, at prices starting as low as $2.79, further appealing to families during the summer [4]

For new and old investors, taking full advantage of the stock market and investing with confidence are common goals. Zacks Premium provides lots of different ways to do both.The research service features daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, all of which will help you become a smarter, more confident investor.Zacks Premium also includes the Zacks Style Scores. What are the Zacks Style Scores? Develo ...

Core Insights - The Zacks Retail – Supermarkets industry is experiencing challenges due to persistent inflation and changing consumer spending habits, which are impacting revenue growth [1][5] - Leading supermarket retailers are focusing on omnichannel strategies to enhance competitiveness and drive long-term growth [2][6] Industry Overview - The industry encompasses various supermarket retailers offering a wide range of products, including groceries, health and beauty aids, and household items, operating through multiple formats [3] - E-commerce has significantly transformed the industry, with retailers enhancing pickup and delivery services to meet rising consumer preferences for online shopping [3] Major Trends - Rising operational costs, including store renovations and wage increases, are squeezing profitability for supermarket players [4] - Economic conditions, such as inflation and geopolitical tensions, are reshaping consumer behavior, leading to a preference for budget-friendly products [5] - Supermarket retailers are investing in digital transformation and omnichannel strategies to improve customer experience and operational efficiency [6] Industry Performance - The Zacks Retail – Supermarkets industry currently ranks 179, placing it in the bottom 27% of over 250 Zacks industries, indicating dull near-term prospects [7][8] - The industry has outperformed the S&P 500, with a growth of 44% over the past year compared to the S&P 500's 12.5% [10] Current Valuation - The industry is trading at a forward 12-month price-to-earnings (P/E) ratio of 32.93X, significantly higher than the S&P 500's 22.43X and the sector's 17.42X [13] Company Highlights - Walmart Inc. is leveraging a diversified business model and strong omnichannel strategy, with a consensus EPS estimate of $2.59 for the current fiscal year and a share price increase of 44.2% over the past year [15][16] - The Kroger Co. is focusing on digital transformation and customer-centric approaches, with a recent EPS estimate increase to $4.76 and a share price rise of 41.3% in the past year [19][20]

Sales Performance - Kroger reported first quarter sales of $45,118 million, a slight decrease of 0.3% compared to $45,269 million in the same period last year[84]. - Total sales decreased by 0.3% in Q1 2025 compared to Q1 2024, primarily due to a 12.5% decrease in supermarket fuel sales and the sale of Kroger Specialty Pharmacy[99]. - Total sales to retail customers without fuel increased by 1.1% to $40,401 million in Q1 2025, compared to $39,967 million in Q1 2024[100]. - Identical sales excluding fuel increased by 3.2% in the first quarter of 2025, compared to a 0.5% increase in the first quarter of 2024[84]. - Identical sales, excluding fuel, increased by 3.2% in Q1 2025, with total sales reaching $39,766 million compared to $38,535 million in Q1 2024[103]. eCommerce Growth - eCommerce sales grew by 15% in the first quarter of 2025, driven by strong demand for delivery solutions[88]. - eCommerce sales grew by 15% in Q1 2025, driven by a 20% increase in Delivery solutions[100]. Profitability - Operating profit for the first quarter was $1,322 million, representing a 2.2% increase from $1,294 million in the first quarter of 2024[84]. - Operating profit for Q1 2025 was $1.3 billion, or 2.93% of sales, an increase of 7 basis points from Q1 2024[116]. - FIFO operating profit was $1.4 billion, or 3.02% of sales, reflecting a 3 basis point increase compared to Q1 2024[117]. - Gross margin improved to 23.0% in Q1 2025 from 22.0% in Q1 2024, attributed to the sale of Kroger Specialty Pharmacy and lower supply chain costs[106]. Earnings - Adjusted net earnings attributable to Kroger per diluted common share were $1.49, a 4.2% increase compared to $1.43 in the first quarter of 2024[84]. - The net earnings attributable to The Kroger Co. excluding adjusted items was $996 million in Q1 2025, a decrease of 4.9% from $1,047 million in Q1 2024[97]. - Adjusted net earnings per diluted share increased by 4.2% to $1.49 in Q1 2025, compared to $1.43 in Q1 2024[97]. - Adjusted net earnings per diluted share for Q1 2025 were $1.49, a 4.2% increase from $1.43 in Q1 2024[123]. Cash Flow and Investments - Cash flows from operations decreased by 8% to $2.1 billion compared to the first quarter of 2024[88]. - Net cash provided by operating activities decreased to $2.1 billion in Q1 2025 from $2.3 billion in Q1 2024[126]. - Capital investments totaled $1.2 billion for both Q1 2025 and Q1 2024, with 27 supermarkets opened or remodeled[130]. Debt and Financial Management - Kroger is committed to maintaining a net total debt to adjusted EBITDA ratio target range of 2.30 to 2.50[79]. - Total debt remained consistent at $17.9 billion as of May 24, 2025, compared to the fiscal year-end 2024[133]. - As of May 24, 2025, the company held cash and temporary cash investments of $4.7 billion, reflecting strong operational performance[138]. Shareholder Returns - The company returned $392 million to shareholders through share repurchases and dividend payments in the first quarter[88]. - The company expects total shareholder return within a target range of 8% to 11% over time[80]. Expenses and Charges - Operating, General and Administrative (OG&A) expenses as a percentage of sales increased to 17.6% in Q1 2025 from 16.8% in Q1 2024, influenced by decreased fuel sales and increased healthcare costs[111]. - Charges related to merger costs amounted to $175 million in Q1 2025, impacting OG&A expenses significantly[99]. - The company recorded a net charge of $44 million for labor dispute charges in Q1 2025[99]. - Net interest expense rose to $199 million in Q1 2025 from $123 million in Q1 2024, primarily due to increased average total outstanding debt[120]. - The effective income tax rate increased to 21.3% in Q1 2025 from 19.8% in Q1 2024, influenced by state income taxes and tax credits[121].