Company Overview - The Kroger Co. operates in the thin-margin grocery industry and is undergoing a significant transformation in product offerings and shopping preferences [12] - The company is focusing on plant-based products and technological expansion, including the acquisition of meal kit company Home Chef and a partnership with British online grocery delivery firm Ocado [12] - Kroger has introduced grocery delivery service Kroger Ship and has partnered with driverless car company Nuro to enhance its online ordering and home delivery capabilities [12] Investment Metrics - Kroger is currently rated 3 (Hold) on the Zacks Rank, with a VGM Score of B, indicating a solid investment potential [13] - The company has a Value Style Score of B, supported by attractive valuation metrics such as a forward P/E ratio of 13.38, which may appeal to value investors [13] - In the last 60 days, four analysts have revised their earnings estimates higher for fiscal 2026, with the Zacks Consensus Estimate increasing by $0.01 to $4.77 per share [13] - Kroger has an average earnings surprise of 2.6%, suggesting a positive trend in earnings performance [13] Conclusion - With a solid Zacks Rank and strong Value and VGM Style Scores, Kroger is positioned as a noteworthy option for investors [14]
Why Kroger (KR) is a Top Value Stock for the Long-Term