$KR reported results for its most recent quarter (reported June 18, 2026), and the headline number is hard to ignore: EPS came in at $0.00, down from $1.49 in the same period a year earlier — a year-over-year decline of 100.0%. Revenue told a different story, growing 1.2% year over year, but that top-line progress did nothing to offset the complete collapse in per-share earnings.
The result came in just below expectations, missing the consensus estimate by 1.0%.
We do not have guidance commentary from this report.
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What it means
The gap between a 1.2% revenue gain and a 100% EPS drop points to significant pressure somewhere between the top line and the bottom line — whether that is cost inflation, one-time charges, or margin compression. With a net margin of just +0.7% on a trailing basis, Kroger was already operating on razor-thin profitability. Any meaningful cost increase or write-down is enough to wipe out per-share earnings entirely.
The trailing P/E sits at 40.1 — a number that looks disconnected from the underlying earnings picture, particularly with EPS at zero this quarter. The forward P/E of 11.8 suggests the market is treating this quarter as an anomaly and pricing in a meaningful earnings recovery ahead. Whether that recovery materializes is the central question.
A few data points offer some counterbalance. Free cash flow yield stands at +8.5%, which means the business is still generating cash even when reported earnings are not showing it. ROE is +14.4%, and earnings quality is rated strong — both suggest the structural business has not broken down. The dividend yield of +2.1% is also still in place at the current price of $56.62.
The ACCE score sits at 51/100. Breaking that down: Value scores 75, reflecting the discount to peers and to ACCE's 6-model fair value estimate of $91.02 — a 60.8% premium to the current price of $56.62. Growth scores 55. Quality scores 39 and Momentum scores 34, the two weakest components, consistent with a stock that has returned -13.6% over the past year and just posted a zero-EPS quarter.
The analyst consensus target of $75.36 also sits well above the current price, though analyst targets and fair-value models both depend on earnings recovering from this quarter's result.
For current price and updated score data, see acceinvestments.com/stocks/KR.
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