What's Happening with KR
Grocery chain Kroger's (KR) stock is relatively flat on the year with shares down 1% year to date. The company will report its third-quarter earnings before the market open December 5 with the consensus calling for earnings of $0.48 per share, in-line with the same period last year.
Technical Analysis
KR was recently trading at $27.23 down $3.4 from its 12-month high and $6.53 above its 12-month low. InvestorsObserver gives KR a 53 long-term technical score and a 40 short-term technical score. The stock has recent support above $26 and recent resistance below $28. Of the 15 analysts who cover the stock 4 rate it Strong Buy, 0 rate it Buy, 10 rate it Hold, 0 rate it Sell, and 1 rate it Strong Sell, KR gets a score of 49 from InvestorsObserver's Stock Score Report.
Analysts' Thoughts
After a horrible first half of the year KR stock has rebounded nicely in the second half and is close to clawing its way back to break even for the year. The company has shuttered a lot of underperforming locations, and last quarter delivered a much needed earnings beat to push shares closer to break even. This quarter the street is looking for another earnings beat with a $0.50 whisper number. KR is trading at just 13 times earnings giving it a lot of upside potential barring any negative news in in the quarterly report. Profits have risen 4% per annum over the last five years and looking ahead analysts expect to see earnings rise at an annual rate of 5% over the next five years. Analysts have an average price target of $27.35 on the stock.