The Kroger Co. (NYSE:KR), with its low price-to-earnings multiple and significant presence in Warren Buffett’s investment portfolio, secures a spot on our list of the 12 Cheap Value Stocks to Buy Now According to Warren Buffett.
Barclays, on July 21, 2025, initiated coverage on The Kroger Co. (NYSE:KR) with an ‘Equal Weight’ rating and a $90 price target. This revision is attributed to potential improvement in identical stores’ sales through 2025/26, competitor store closures, simplified promotions, and price investments. The investment firm also cited the company’s consistently strong shareholder returns. KR has maintained 19 consecutive years of dividend increases, with a current dividend yield of 2.02%.
Furthermore, Barclays emphasized potential opportunities from net store growth and the ramping of Express Scripts in FY26. The Kroger Co. (NYSE:KR) struck a deal with Express Scripts, a pharmacy benefit services business. With this deal, Express Scripts’ customers will have access to prescription medication and health services at Kroger Family of Pharmacies.
However, Barclays remains wary of growing competition and consumer trade-down, alongside a full valuation. The investment firm projected a 2025 EPS estimate of $4.74 (below the consensus of $4.78) and a 2026 EPS estimate of $5.27 (in line with the consensus of $5.22).
Offering grocery, health, and consumer products with various brands and stores, The Kroger Co. (NYSE:KR) is among the largest supermarket chains in the U.S. It is included in our list of cheap value stocks to buy.
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