Shulman DeMeo Asset Management LLC Lowers Stock Position in The Kroger Co. (NYSE:KR)

Shulman DeMeo Asset Management LLC trimmed its position in shares of The Kroger Co. (NYSE:KR) by 10.5% during the fourth quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 11,289 shares of the company’s stock after selling 1,319 shares during the period. Shulman DeMeo Asset Management LLC’s holdings in Kroger were worth $690,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also modified their holdings of KR. Nordea Investment Management AB increased its stake in Kroger by 3.8% during the 4th quarter. Nordea Investment Management AB now owns 4,052,534 shares of the company’s stock worth $249,717,000 after buying an additional 148,221 shares during the period. Board of the Pension Protection Fund purchased a new stake in shares of Kroger during the fourth quarter worth $1,113,000. Charles Schwab Investment Management Inc. raised its stake in shares of Kroger by 1.1% in the third quarter. Charles Schwab Investment Management Inc. now owns 4,890,887 shares of the company’s stock valued at $280,248,000 after acquiring an additional 53,006 shares in the last quarter. Sumitomo Mitsui Trust Group Inc. boosted its holdings in Kroger by 1.7% in the third quarter. Sumitomo Mitsui Trust Group Inc. now owns 2,176,218 shares of the company’s stock valued at $124,697,000 after purchasing an additional 36,083 shares during the period. Finally, Lighthouse Investment Partners LLC acquired a new position in Kroger during the 2nd quarter worth $10,336,000. 80.93% of the stock is currently owned by hedge funds and other institutional investors.

Kroger Price Performance

Kroger stock opened at $58.68 on Friday. The firm’s 50-day moving average is $60.26 and its two-hundred day moving average is $56.46. The company has a debt-to-equity ratio of 1.74, a current ratio of 1.54 and a quick ratio of 1.07. The stock has a market capitalization of $42.46 billion, a P/E ratio of 15.52, a P/E/G ratio of 2.78 and a beta of 0.48. The Kroger Co. has a 12-month low of $44.48 and a 12-month high of $63.59.

Kroger (NYSE:KR) last announced its quarterly earnings data on Thursday, December 5th. The company reported $0.98 earnings per share for the quarter, topping the consensus estimate of $0.97 by $0.01. The business had revenue of $33.63 billion for the quarter, compared to analyst estimates of $34.19 billion. Kroger had a net margin of 1.85% and a return on equity of 27.73%. The company’s revenue was down 1.0% on a year-over-year basis. During the same period in the prior year, the firm posted $0.95 EPS. Equities analysts predict that The Kroger Co. will post 4.44 earnings per share for the current year.

Kroger declared that its Board of Directors has initiated a stock buyback program on Wednesday, December 11th that permits the company to buyback $7.50 billion in outstanding shares. This buyback authorization permits the company to purchase up to 16.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other news, SVP Yael Cosset sold 20,000 shares of the firm’s stock in a transaction that occurred on Tuesday, December 10th. The shares were sold at an average price of $58.39, for a total transaction of $1,167,800.00. Following the completion of the sale, the senior vice president now owns 144,620 shares of the company’s stock, valued at approximately $8,444,361.80. This trade represents a 12.15 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, 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 transaction, the senior vice president now directly owns 217,523 shares of the company’s stock, valued at approximately $13,743,103.14. This represents a 37.88 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 195,448 shares of company stock worth $12,143,923 over the last three months. 1.40% of the stock is owned by insiders.

Analysts Set New Price Targets

Several equities analysts have recently issued reports on the company. Bank of America lifted their price objective on Kroger from $70.00 to $75.00 and gave the company a “buy” rating in a research note on Friday, December 20th. StockNews.com downgraded Kroger from a “strong-buy” rating to a “buy” rating in a report on Tuesday. Guggenheim assumed coverage on shares of Kroger in a report on Thursday, December 19th. They issued a “buy” rating and a $68.00 target price on the stock. Wells Fargo & Company increased their target price on shares of Kroger from $70.00 to $73.00 and gave the stock an “overweight” rating in a research note on Thursday, December 12th. Finally, BMO Capital Markets upped their price objective on Kroger from $60.00 to $63.00 and gave the company a “market perform” rating in a research note on Thursday, December 12th. Six analysts have rated the stock with a hold rating, nine have given a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $65.93.

About Kroger

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.