Middleton & Co. Inc. has acquired a significant stake in The Kroger Co. (NYSE: KR), investing approximately $1.46 million during the second quarter of the fiscal year, according to a recent Form 13F filing with the Securities and Exchange Commission. The firm purchased 20,321 shares of Kroger’s stock, reflecting a growing interest in the retail giant among institutional investors.
Several other investment firms have also adjusted their positions in Kroger. Monument Capital Management acquired a new stake worth $2.9 million. Meanwhile, Y Intercept Hong Kong Ltd dramatically increased its holdings by 2,313.4%, now owning 138,915 shares valued at approximately $9.96 million after acquiring an additional 133,159 shares in the last quarter. Additionally, Advocate Group LLC boosted its position by 16.6%, bringing its total holdings to 121,392 shares, valued at $8.7 million.
AdvisorShares Investments LLC and Sowell Financial Services LLC have also made notable investments, with the former acquiring a new stake valued at around $480,000 and the latter increasing its stake by 8.1% to own 51,805 shares worth $3.72 million. Overall, institutional investors hold a commanding 80.93% of Kroger’s stock.
Kroger’s Market Performance and Dividend Announcement
As of the latest trading session, Kroger’s stock opened at $63.44. Over the past year, the stock has fluctuated between a low of $57.08 and a high of $74.90. The company maintains a market capitalization of $42.04 billion and has a price-to-earnings (P/E) ratio of 16.10. Analysts note a current ratio of 0.95 and a quick ratio of 0.54, alongside a debt-to-equity ratio of 1.85.
Kroger has also announced a quarterly dividend of $0.35 per share, set to be paid on December 1, 2023. Shareholders on record as of November 14, 2023 will receive this dividend, translating to an annualized payout of $1.40 and a yield of 2.2%. The company’s dividend payout ratio stands at 35.53%.
Analysts’ Ratings and Market Outlook
Recent assessments from various brokerages reflect a positive outlook on Kroger’s stock. Barclays initiated coverage with an “equal weight” rating and set a price target of $75.00. Roth Capital upgraded its rating from “neutral” to “buy,” also targeting $75.00. Other notable evaluations include a “buy (b)” rating from Weiss Ratings and a downgrade from “strong-buy” to “buy” by Wall Street Zen.
Overall, ten investment analysts have rated Kroger’s stock as a “buy,” while nine have issued a “hold” rating. According to MarketBeat, the stock currently holds a consensus rating of “Moderate Buy” with a price target averaging $74.50.
Established as a key player in the U.S. retail market, The Kroger Co. operates a variety of stores, including food and drug retailers, multi-department stores, and price impact warehouses. Their diverse offerings include organic products, pharmacies, and general merchandise, catering to a wide range of consumer needs.
