Kroger offers a forward earnings multiple of 11.4x, exceptional free cash flow generation at 335% of net income, and a flawless four-quarter earnings beat streak, but confirmed negative price momentum with the stock below its 200-day moving average and quality metrics just short of the minimum threshold argue for waiting on a more constructive technical backdrop before building a position.
Thesis pillars
- Exceptional Free Cash Flow Conversion→Stable
- Four Quarter Earnings Beat Streak↑Improving
- Attractive Valuation Compressed Multiples→Stable
- +1 more pillar — see the Why tab for full reasoning
Kroger Company (The) (KR) Stock Analysis
Recovery setup
Consumer Defensive · Grocery Stores
Sell if holding. Engine safety override at $56.70: Quality below floor (3.9 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.2/10 and A.R:R 2.0:1 is above the 1.5:1 BUY gate. Specifically: Below-average business quality; Negative price momentum; Below long-term trend.
Our Company is built on the foundation of our retail grocery business, which includes the added convenience of our retail pharmacies and fuel centers. Our strategy is focused on growing households and increasing customer loyalty by delivering great value and convenience, and... Read more
Sell if holding. Engine safety override at $56.70: Quality below floor (3.9 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.2/10 and A.R:R 2.0:1 is above the 1.5:1 BUY gate. Specifically: Below-average business quality; Negative price momentum; Below long-term trend. Chart setup: Death cross but MACD improving, RSI 45. Score 5.2/10, moderate confidence.
Passes 5/9 gates (favorable risk/reward ratio, clean insider activity, earnings proximity 47d clear, semi cycle peak clear, materials cycle peak clear). Fails on weak momentum and death cross (50MA < 200MA) and news legal. Suitability: moderate.
Recent developments
updated 2026-07-26Recent Developments — Kroger Company (The)
Material events (past 30 days)
- 8K Jun 26, 2026 MEDIUM Item 5.02: On June 25, 2026, The Kroger Co. (the "Company") held its 2026 Annual Meeting of Shareholders (the "Annual Meeting").
Latest news
- NEWS NYC Mayor Zohran Mamdani Taps Amazon and Meta Antitrust Foe Lina Khan for Key Economic Role as Wall Street Watches for a — benzinga Jul 23, 2026 neutral
- NEWS Kroger Offers the Cheapest Store-Brand Grocery Basket Among Four Major Chains, Study Finds — benzinga Jul 20, 2026 positive
- NEWS Publix Closes More Stores in 2026 as Walmart Competition, Rising Costs and Online Grocery Shopping Bite: Here are the Lo — benzinga Jul 16, 2026 neutral
- NEWS 'White House Pressures Top U.S. Grocers on Beef Prices' - WSJ — benzinga Jul 8, 2026 neutral
- NEWS Evercore ISI Group Maintains Outperform on Kroger, Lowers Price Target to $78 — benzinga Jul 7, 2026 positive
Generated 2026-07-26T08:02:04Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Material Events(8-K, last 90d)
- 2026-06-26Item 5.02MEDIUMOn June 25, 2026, The Kroger Co. (the "Company") held its 2026 Annual Meeting of Shareholders (the "Annual Meeting").SEC filing →
- 2026-05-27Item 5.02MEDIUMOn May 22, 2026, Timothy A. Massa, the Executive Vice President and Associate Experience Officer of The Kroger Co. (the "Company"), provided notice to the Company of his intention to retire in the fall of 2026. Mr.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results.
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Rating Breakdown
4 floor-breakers
Price action weak — below key moving averages, no momentum carry. Needs a base before trend-continuation setups apply.static
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Growth below the gate floor. Component breakdown shows what dragged the score down.static
Quality below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $56.70: Quality below floor (3.9 < 4.0) triggers a hard block regardless of the otherwise-positive setup — overall score 5.2/10 and A.R:R 2.0:1 is above the 1.5:1 BUY gate. Specifically: Below-average business quality; Negative price momentum; Below long-term trend. Chart setup: Death cross but MACD improving, RSI 45. Prior stop was $53.47. Score 5.2/10, moderate confidence.
Take-profit target: $63.57 (+11.8% upside). Prior stop was $53.47. Stop-loss: $53.47.
Quality below floor (3.9 < 4.0).
Kroger Company (The) trades at a P/E of 32.5 (forward 10.3). TrendMatrix value score: 7.8/10. Verdict: Sell.
33 analysts cover KR with a consensus score of 3.8/5. Average price target: $71.
What does Kroger Company (The) do?Our Company is built on the foundation of our retail grocery business, which includes the added convenience of our...
Our Company is built on the foundation of our retail grocery business, which includes the added convenience of our retail pharmacies and fuel centers. Our strategy is focused on growing households and increasing customer loyalty by delivering great value and convenience, and investing in Fresh, _Our Brands_ , Personalization and eCommerce.