Kroger Stock Volatile Ahead of Q3 Earnings

Core Viewpoint - Kroger Co is experiencing a decline in stock price ahead of its third-quarter earnings report, with potential for increased volatility due to the upcoming results [1] Group 1: Stock Performance and Earnings Expectations - Kroger stock has historically performed well post-earnings, finishing higher after seven of the last eight reports, with an average post-earnings move of 4.4% over the past two years [2] - Analysts are anticipating a larger-than-usual post-earnings swing of 8.1% for Thursday's trading [2] Group 2: Options Activity and Market Sentiment - There is a strong bullish sentiment for Kroger stock, reflected in a 10-day call/put volume ratio of 3.73, which is in the 78th annual percentile [4] - The Schaeffer's put/call open interest ratio (SOIR) of 0.46 is in the 18th percentile of its annual range, indicating a predominance of call options [4] Group 3: Short Interest and Volatility - Short interest in Kroger stock has increased by 11.9%, with 28.79 million shares representing 4.75% of the stock's available float [5] - The Schaeffer's Volatility Scorecard (SVS) for Kroger is at 12 out of 100, suggesting that the stock has consistently exhibited lower volatility than what its options pricing indicates [5]