# The Kroger Company (KR) fundamentals

Data as of 2026-09-08. NYSE, United States. Sector: Consumer Defensive / Food & Staples Retailing. Price $58.59, market value $35.9 billion.

## Valuation
- **P/E (trailing): 34.3×** (5-yr avg 20.7×, 3-yr avg 23.8×). The Kroger Company trades at 34.3× trailing earnings, well above its own five-year average of 20.7×: investors are paying up relative to the company's past. The Consumer Defensive median in the September 2026 study was 20.1×. Forward P/E is 10.6×, lower than trailing, so analysts expect earnings to grow.
- **Price / sales: 0.2×**. Each dollar of revenue is priced at 0.2×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 6.3×**. The shares trade at 6.3× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 9.3×**. Enterprise value is 9.3× operating earnings before depreciation, the multiple that ignores how the company is financed.
- **Free-cash-flow yield: 7.9%** (5-yr avg 7.7%). Free cash flow equals 7.9% of the market value, in line with its five-year average of 7.7%. Above 5% is generally attractive.
- **Earnings yield: 2.9%**. The inverse of the P/E: 2.9% of the price is earned each year.

## Profitability
- **Operating margin: 1.3%**. 1.3% of revenue is left after running the business, which leaves little cushion in a downturn.
- **Net margin: 0.7%**. 0.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 17.1%**. 17.1% on shareholders' equity is solid.
- **Return on invested capital: 8.1%**. Return on all capital, debt included, is 8.1%.
- **Return on assets: 2.0%**. Each dollar of assets produces 2.0% of profit.

## Growth
- **Revenue growth (1 yr): 0.4%** (3-yr -0.1%/yr, 5-yr 2.2%/yr). Revenue grew 0.4% over the last year, against 2.2% a year compounded over five years: growth is slowing.
- **EPS growth (1 yr): -58.0%** (3-yr -20.5%/yr, 5-yr -14.0%/yr). Earnings per share fell 58.0%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 34.5%/yr**. Free cash flow has compounded at 34.5% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 2.68**. Debt is 2.68 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 2.4×**. It would take 2.4 years of operating earnings to repay net borrowings, within the comfortable range.
- **Altman Z-score: 3.74**. A Z-score of 3.74 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend yield: 2.46%** ($1.05 per share, trailing). The Kroger Company yields 2.46%, a modest yield more typical of a growth-oriented payer.
- **Payout ratio: 87%** (31% of free cash flow). 87% of earnings goes out as dividends, leaving a thin cushion.
- **Consecutive years of increases: 20**. 20 straight years of increases, a record that survived at least one recession.
- **Dividend growth (5 yr): 14.5%/yr** (1-yr 9.8%). The dividend has compounded at 14.5% a year over five years, doubling roughly every 5 years at that pace.

## Analyst view
- **Analyst consensus: buy** (22 analysts). 22 analysts cover The Kroger Company; the consensus is buy, with an average price target of $70.27 (+20% from the current price). Analyst opinion is shown for context; it is not part of the Fundamental Score.

## Price and momentum
- **Total return (1 yr): -12.3%** (YTD -5.3%, 3-mo -7.8%). The shares are down 12.3% over twelve months including dividends.
- **From 52-week high: -23.5%** (8.2% above the low). Trading 23% below its 52-week high.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 55**. An RSI of 55 is neutral.
- **Beta (1 yr): -0.67** (volatility 28%). Beta of -0.67 against the S&P 500: the shares move much less than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=KR · Page: https://foliofundamentals.com/stocks/kr

Not investment advice.