January 12, 2015

VALUATION WATCH: Overvalued stocks now make up 29.24% of our stocks assigned a valuation and 8.98% of those equities are calculated to be overvalued by 20% or more. One sector is calculated to be overvalued.

Hungry For Returns? Go To This Grocery Store

ValuEngine BUY Kroger Continues to Perform

Kroger Company (KR) is one of the larger grocery retailers in the United States. The company also manufactures and processes food for sale by its supermarkets. The company intends to develop new food and convenience store locations and will continue to assess existing stores as to possible replacement, remodeling, enlarging, or closing.

While we have written about faltering retailers in the past--hello Wal-Mart!--for today's bulletin we provide our analysis for one of the top grocery store chains, Kroger. Bucking the trend for many, the company has been on a tear for a long time and returned @30% to investors last year.

The firm enjoys higher than average margins thanks to a focus on their own private-label brands, a popular gas station program for shoppers, and a large number of stores across the US --which operate under a variety of names. Of course, the stock has been a winner for a long time now, so the question for interested buyers is whether or not that growth can be sustained.

In the meantime, ValuEngine continues its BUY recommendation on KROGER CO for 2016-01-11. Based on the information we have gathered and our resulting research, we feel that KROGER CO has the probability to OUTPERFORM average market performance for the next year. The company exhibits ATTRACTIVE Sharpe Ratio and Company Size.

You can download a free copy of detailed report on KR from the link below.

ValuEngine Forecast
	Target Price*	Expected Return
1-Month	41.44	0.39%
3-Month	41.69	0.99%
6-Month	42.96	4.06%
1-Year	43.22	4.70%
2-Year	48.13	16.58%
3-Year	48.69	17.95%

Valuation & Rankings
Valuation	3.63% overvalued	Valuation Rank(?)	25
1-M Forecast Return	0.39%	1-M Forecast Return Rank	79
12-M Return	25.09%	Momentum Rank(?)	91
Sharpe Ratio	1.33	Sharpe Ratio Rank(?)	99
5-Y Avg Annual Return	26.39%	5-Y Avg Annual Rtn Rank	96
Volatility	19.90%	Volatility Rank(?)	73
Expected EPS Growth	8.52%	EPS Growth Rank(?)	37
Market Cap (billions)	20.28	Size Rank	95
Trailing P/E Ratio	20.30	Trailing P/E Rank(?)	53
Forward P/E Ratio	18.71	Forward P/E Ratio Rank	28
PEG Ratio	2.38	PEG Ratio Rank	16
Price/Sales	0.19	Price/Sales Rank(?)	92
Market/Book	6.34	Market/Book Rank(?)	17
Beta	0.82	Beta Rank	53
Alpha	0.27	Alpha Rank	90

DOWNLOAD A FREE SAMPLE OF OUR KROGER (KR) REPORT BY CLICKING HERE

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