The Kroger Co
KR: XNYS (USA)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
$44.00 | Hrh | Gvllyzhh |
Solid Third-Quarter Results at Kroger Leave Our Long-Term Thesis Intact; Shares Trade Fairly
Our $49.50 per share valuation of narrow-moat Kroger should not change much after it announced third-quarter results, with solid performance amid continuing high inflation. Our long-term forecast still includes low-single-digit revenue growth and adjusted operating margins on average over the next decade, and we continue to suggest that investors should seek a greater margin of safety before building a position.