KROGER CO

Consumer Discretionary • CIK: 0000056873

Market Cap

$43.27B

P/E (TTM)

59.0x

Rev Growth (TTM)

-1.8%

Net Margin (TTM)

0.5%

FCF Yield (TTM)

5.2%

FCF Margin (TTM)

1.5%

LATEST EARNINGS

•

Q4 FY2025

•

28 days ago

•View source

Revenue

$34.73B

+1.2%

Net Income

$861.00M

+35.8%

EPS

$1.35

+50.0%

Gross

23.1%↑ +0.4%

Operating

3.6%↑ +0.9%

Net

2.5%↑ +0.6%

•Identical sales without fuel increased 2.4% in Q4 2025, accelerating from prior periods.
•Gross margin improved to 23.1% in Q4 2025 from 22.7% in the prior year, driven by sourcing improvements and lower supply chain costs.
•Adjusted EPS of $1.28 in Q4 2025 exceeded the prior year's $1.14.
•Completed a $7.5 billion share repurchase authorization, including a $5 billion accelerated share repurchase program, and approved an additional $2 billion authorization.

View Full Earnings →

Cash Flow Health

Free Cash Flow7/8 positive

TTM$2.3B

Q3 '26

$29M-95%

Q2 '26

$615M-44%

FCF Margin

TTM1.5%

Q3 '260.1%-95%

Sector: 2.7%Below Avg

OCF Margin4.1%

OCF/NI7.84x

CapEx Coverage1.6x

FCF Yield5.2%

FCF Growth (2Y)+7%

Cash Conversion Cycle

-28 days

DSO: 5+DIO: 0−DPO: 33

View Insights from Latest Filing →View Full Cash Flow Statement →

Capital Allocation & Returns

Shareholder Friendly

Total Shareholder YieldTTM

TTM13.6%

Div Yield2.1%

Buyback (TTM)11.5%

Strong capital returns to shareholders

Dividend & Payout Metrics

Dividend Yield (TTM)2.1%

FCF Payout Ratio39.4%

Free Cash Flow (TTM)$2.3B

Stock Repurchases (TTM)$5.0B

Capital Return / FCF258.0%

Est. Dividends Paid (TTM)$893.3M

Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM

4.2%

Moderate

-0.6% YoY-15.4%

P25MedianP75

75th pctl (med: 0.1%)

DuPont BreakdownROIC = Margin × Turn × (1+D/E)

NOPAT Margin

1.0%

8Q: 2.1%

Asset Turnover

2.72x

8Q: 2.61x

Leverage (1+D/E)

3.27x

D/E: 2.27x

DuPont: 9.1% ≈ 4.2% ROIC

Asset & CapEx Efficiency

Fixed Asset Turn

5.75x

8Q:5.38x

-64.5%

Invested Cap Turn

4.07x

8Q:4.01x

-74.3%

CapEx Intensity

10.5%

8Q:10.8%

CapEx/Depreciation

1.13x

Asset-based ROIC formula

Full Analysis

QUARTERLY TRENDS

Last 8 quarters + TTM

Metric	TTM	Q3 2026	Q2 2026	Q1 2026	Q4 2026	Q3 2025	Q2 2025	Q1 2025	Q4 2025
Revenue	$147.2B	$33.9B↓0.2%	$33.9B↓24.8%	$45.1B↑31.5%	$34.3B↑2.0%	$33.6B↓0.8%	$33.9B↓25.1%	$45.3B↑22.1%	$37.1B
Operating Income	$1.6B	$-1.5B↓278.6%	$863.0M↓34.7%	$1.3B↑45.0%	$912.0M↑10.1%	$828.0M↑1.6%	$815.0M↓37.0%	$1.3B↑8.4%	$1.2B
Net Income	$773.0M	$-1.3B↓318.7%	$604.0M↓29.8%	$860.0M↑36.5%	$630.0M↑2.8%	$613.0M↑32.4%	$463.0M↓50.7%	$940.0M↑28.8%	$730.0M
Operating Cash Flow	$6.1B	$970.0M↓37.0%	$1.5B↓28.4%	$2.1B↑53.1%	$1.4B↑51.6%	$926.0M↓17.5%	$1.1B↓52.1%	$2.3B↑22.0%	$1.9B
Free Cash Flow	$2.3B	$29.0M↓95.3%	$615.0M↓44.3%	$1.1B↑112.5%	$520.0M↑1957.1%	$-28.0M↓111.3%	$247.0M↓76.2%	$1.0B↑12.5%	$923.0M
Total Equity	N/A

Income Statement Cash Flow Statement Balance Sheet

Valuation Analysis

Fair Value

Price-to-EarningsTTM

59.0x

Volatile

8Q: 60.2x-3802%

Valuation Lenses

Earnings

59.0x

vs – sector

Cash Flow

23.9x

EV/FCF vs –

Growth-Adj

–PEG

N/A

Quality-Adj

14.1P/E per %ROIC

ROIC: 4.2%

Shareholder Returns

Dividend

2.1%

Buyback

11.5%

Total Yield

13.6%

Market Cap$43.27B

EV$54.23B

Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score

60/100

High Quality

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Below Avg

8.5%

8Q:–

Return on Invested Capital (ROIC)Top 25%

4.2%

8Q:–

-15.4%

vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 1.0%

Asset Turnover: 2.72x

Earnings Quality

Cash Conversion

7.84x

OCF / Net Income ✓

FCF Consistency

–

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin23.2%

Capital Efficiency

Invested Capital Turnover4.07x

Working Capital

Cash Conversion Cycle-28 days

Growth Quality & Momentum

Moderate Growth

Growth Quality Score

52/100

Growth 40%

Margins 30%

FCF 20%

Consistency 10%

Growth Rates

Revenue Growth YoY

-1.8%

OpInc Growth YoY

-286.1%

EPS Growth YoY

-71.4%

FCF 3Y CAGR

6.7%

Growth Quality Analysis

✓Efficient Growth: Free cash flow growing faster than revenue

Margin Quality & Sustainability

Low Quality

Profitability Cascade

Gross

23.2%

Operating

1.1%

Below Avg in sector

Net

0.5%

Margins Unknown

Earnings Quality Signals

SBC / Revenue

—

FCF vs Net Gap

+1.0 pts

FCF: 1.5% | Net: 0.5%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Leveraged

Net Debt / EBITDA

–Net Debt: $11.99B

Interest Coverage

–

Leverage Metrics

Debt-to-Equity

2.27x

Balance sheet risk & solvency analysis