Kroger Co. Gives Optimistic Outlook for Holiday Season, Stock Soars Almost 10%

Kroger Co. Gives Optimistic Outlook

On Thursday, after giving an optimistic outlook for the holiday season, Kroger Co. (NYSE:KR) saw its stock increase by almost 10%.

Here’s what you need to know!

The Cincinnati-based retailer said it is forecasting earnings per share for 2017 to come in between the range of $2.00 to $2.05. Considering Kroger’s EPS for the first three quarters of the year came in at $1.41, it makes sense that the company is expecting Q4 earnings per share to be between the range of 59 cents to 64 cents. For perspective, the Street is forecasting that earnings per share will come in at 60 cents for the period.

Additionally, Kroger Co. noted on Thursday that it is forecasting identical supermarket sales growth for Q4 of 2017 to be above the 1.1% mark. Keep in mind this does not include Kroger’s fuel sales for that quarter.

Here’s what CEO Rodney McMullen had to say:

“The holidays are always Kroger’s time to shine. In fact, we had our best ever Black Friday results for general merchandise, led by record sales at Fred Meyer. We remain confident in our ability to continue to grow identical supermarket store sales and market share for the balance of the year and in 2018.”

To no surprise, Kroger Co.’s positive outlook for Q4 came after posting a strong Q3 earnings report. In the report, the company posted earnings per share of 44 cents on revenue of $27.75 billion.

KR stock was up 9% on Thursday, however, it is down 26% year-to-date.

Featured Image: depositphotos/jetcityimage2

If You Liked This Article Click To Share