Short Interest in The Kroger Co. (NYSE:KR) Increases By 307.0%

The Kroger Co. (NYSE:KR) was the target of a large growth in short interest in December. As of December 31st, there was short interest totalling 48,590,000 shares, a growth of 307.0% from the December 15th total of 11,940,000 shares. Currently, 6.8% of the shares of the stock are short sold. Based on an average trading volume of 4,910,000 shares, the days-to-cover ratio is currently 9.9 days.

Kroger Stock Up 0.7 %

NYSE:KR traded up $0.42 during mid-day trading on Monday, hitting $59.54. The company had a trading volume of 5,382,114 shares, compared to its average volume of 6,347,855. The business has a fifty day simple moving average of $60.17 and a 200-day simple moving average of $56.30. The firm has a market capitalization of $43.08 billion, a price-to-earnings ratio of 15.75, a PEG ratio of 0.97 and a beta of 0.48. Kroger has a 1 year low of $44.48 and a 1 year high of $63.59. The company has a current ratio of 1.54, a quick ratio of 1.07 and a debt-to-equity ratio of 1.74.

Kroger (NYSE:KR) last announced its earnings results on Thursday, December 5th. The company reported $0.98 EPS for the quarter, beating the consensus estimate of $0.97 by $0.01. The business had revenue of $33.63 billion for the quarter, compared to the consensus estimate of $34.19 billion. Kroger had a return on equity of 27.73% and a net margin of 1.85%. The company’s revenue was down 1.0% on a year-over-year basis. During the same period last year, the business posted $0.95 EPS. Equities analysts forecast that Kroger will post 4.43 earnings per share for the current fiscal year.

Kroger announced that its board has authorized a share buyback plan on Wednesday, December 11th that permits the company to buyback $7.50 billion in shares. This buyback authorization permits the company to repurchase up to 16.9% of its shares through open market purchases. Shares buyback plans are generally an indication that the company’s management believes its shares are undervalued.

Analysts Set New Price Targets

Several brokerages have weighed in on KR. Melius Research assumed coverage on Kroger in a report on Monday, September 23rd. They issued a “hold” rating and a $55.00 price target for the company. UBS Group increased their target price on Kroger from $63.00 to $66.00 and gave the stock a “neutral” rating in a research report on Thursday, December 12th. JPMorgan Chase & Co. lifted their price target on Kroger from $69.00 to $71.00 and gave the company an “overweight” rating in a report on Monday, January 6th. Guggenheim assumed coverage on shares of Kroger in a report on Thursday, December 19th. They set a “buy” rating and a $68.00 price objective on the stock. Finally, Bank of America boosted their target price on shares of Kroger from $70.00 to $75.00 and gave the company a “buy” rating in a report on Friday, December 20th. Six investment analysts have rated the stock with a hold rating, eight have given a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $65.93.

Insider Transactions at Kroger

In other Kroger news, SVP Stuart Aitken sold 132,627 shares of the firm’s stock in a transaction on Thursday, December 12th. The stock was sold at an average price of $63.18, for a total transaction of $8,379,373.86. Following the completion of the transaction, the senior vice president now owns 217,523 shares of the company’s stock, valued at approximately $13,743,103.14. This trade represents a 37.88 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, SVP Timothy A. Massa sold 25,889 shares of the company’s stock in a transaction on Friday, December 6th. The shares were sold at an average price of $60.12, for a total value of $1,556,446.68. Following the completion of the sale, the senior vice president now owns 115,861 shares in the company, valued at $6,965,563.32. This represents a 18.26 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 195,448 shares of company stock valued at $12,143,923 in the last quarter. 1.40% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Kroger

Several hedge funds and other institutional investors have recently added to or reduced their stakes in KR. Mendel Capital Management LLC increased its holdings in shares of Kroger by 0.6% in the 3rd quarter. Mendel Capital Management LLC now owns 31,559 shares of the company’s stock valued at $1,808,000 after acquiring an additional 181 shares during the period. Cooper Financial Group grew its position in Kroger by 3.7% during the 4th quarter. Cooper Financial Group now owns 5,366 shares of the company’s stock worth $328,000 after purchasing an additional 190 shares during the last quarter. City Center Advisors LLC increased its stake in Kroger by 3.5% in the fourth quarter. City Center Advisors LLC now owns 5,748 shares of the company’s stock valued at $351,000 after purchasing an additional 195 shares during the period. SignalPoint Asset Management LLC raised its holdings in shares of Kroger by 3.2% in the third quarter. SignalPoint Asset Management LLC now owns 6,500 shares of the company’s stock valued at $367,000 after buying an additional 200 shares during the last quarter. Finally, Bleakley Financial Group LLC boosted its stake in shares of Kroger by 1.9% during the third quarter. Bleakley Financial Group LLC now owns 11,726 shares of the company’s stock worth $672,000 after buying an additional 215 shares during the period. Hedge funds and other institutional investors own 80.93% of the company’s stock.

Kroger Company Profile

The Kroger Co operates as a food and drug retailer in the United States. The company operates combination food and drug stores, multi-department stores, marketplace stores, and price impact warehouses. Its combination food and drug stores offer natural food and organic sections, pharmacies, general merchandise, pet centers, fresh seafood, and organic produce; and multi-department stores provide apparel, home fashion and furnishings, outdoor living, electronics, automotive products, and toys.