How Should Investors View The Kroger Co. (KR) Insider Trading?

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As of Wednesday close, The Kroger Co.’s (NYSE:KR) stock was down -$0.24, moving down -0.50 percent to $47.84. The average number of shares traded per day over the past five days has been 4,060,720 shares. 2 times new highs have been achieved over the past 5 days, with a $0.01 gain in that time frame. In the last twenty days, the average volume was 4,703,670, while in the previous 50 days, it was 6,372,444.

Since last month, KR stock rose 6.86%. Shares of the company fell to $42.85 on 10/24/22, the lowest level in the past month. A 52-week high of $62.78 was reached on 04/08/22 after having rallying from a 52-week low of $40.18. Since the beginning of this year, KR’s stock price has risen by 5.70% or $2.58, and marked a new high 11 times. However, the stock has declined by -23.80% since its 52-week high.


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KR stock investors should be aware that The Kroger Co. (KR) stock had its last reported insider trading activity 218 days ago on Apr 21. Massa Timothy A, the Senior Vice President of the company, disposed of 50,283 shares for $58.03 on Apr 21. It resulted in a $2,917,774 divestment by the insider. COSSET YAEL sold 34,812 shares at an average price of $59.50 on Apr 07. The insider now owns 140,477 shares following the transaction. On Apr 07, Senior Vice President Aitken Stuart sold 44,593 shares at $59.62 apiece. The transaction was valued at $2,658,456.

Valuation Metrics

Right now, The Kroger Co. (KR) has a P/E ratio of about 14.58. The stock’s beta is 0.49. Besides these, the trailing price-to-sales (P/S) ratio of 0.24, the price-to-book (PB) ratio of 3.55, and the price-to-cash flow ratio of 15.92 may also be considered.

The latest dividend of $0.26 per share was paid out, remained unchanged from last year’s $0.26. On Thursday June 23 2022, a $0.05 dividend increase was announced.

Financial Health

In the three months ended July 30, The Kroger Co.’s quick ratio stood at 0.30, while its current ratio was 0.70, showing that the company is not able to pay off its debt. According to company report, the long-term debt-to-equity ratio for the quarter ending July 30 was 1.29, and the total debt-to-equity ratio was 1.37. On the profitability front, the trailing twelve-month gross margin is 21.60% percent. In the year ended July 30, operating margins totaled 3.00%. Based on annual data, KR earned $30.35 billion in gross profit and brought in $137.89 billion in revenue.

A company’s management is another factor that investors consider when determining the profitability of an investment. In the past year, return on investment (ROI) was 13.60%. Return on equity (ROE) for the past 12 months was 25.40%.

According to the earnings report, the company had a lower net income in the recent quarter than it did in the previous quarter. KR’s revenue rose 8.53% to $44.6 billion during the quarter, while net income inched up to $34.64 billion. While analysts expected The Kroger Co. to report $0.83 quarterly earnings, the actual figure was $0.9 per share, beating the consensus estimate by 8.40%. During the quarter, the company generated $1.78 billion in EBITDA. The liabilities of The Kroger Co. were 39.1 billion at the end of its most recent quarter ended July 30, and its total debt was $20.38 billion. The value of shareholders’ equity is $715.81 million.

Technical Picture

This quick technical analysis looks at The Kroger Co.’s (KR) price momentum. With a historical volatility rate of 17.74%, the RSI 9-day stood at 57.84% on 23 November.

With respect to its five-day moving average, the current The Kroger Co. price is up by +0.02% percent or $0.01. At present, KR shares trade +5.28% above its 20-day simple moving average and +1.29% percent above its 100-day simple moving average. However, the stock is currently trading approximately -2.25% below its SMA50 and +5.14% above its SMA200.

Stochastic coefficient K was 60.59% and Stochastic coefficient D was 63.23%, while ATR was 1.12. Given the Stochastic reading of 56.20% for the 14-day period, the RSI (14) reading has been calculated as 57.04%. As of today, the MACD Oscillator reading stands at 0.36, while the 14-day reading stands at 0.49.

Analyst Ratings

Evercore ISI upgraded its rating on The Kroger Co. (NYSE: KR) to an Outperform in a note to investors on November 09, 2022. The analysts firm previously had an In-line rating on the stock.The Kroger Co. (KR) has been rated Hold by analysts. According to 2 brokerage firms, KR is a sell, and 11 firms recommend it is a Hold. There are 1 analyst who say the stock is underweight. A total of 0 analysts rate The Kroger Co. stock as buy, with 7 recommending it as overweight.

With a median target price of $54.00, the current consensus forecast for the stock is $43.00 – $75.00. Based on these forecasts, analysts predict The Kroger Co. (KR) will achieve an average price target of $54.65.

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