ACI vs KR

For growth investors, Albertsons Companies, Inc.

(ACI) is the stronger pick with 1. 5% revenue growth year-over-year, versus 0. 4% for The Kroger Co. (KR). Albertsons Companies, Inc. (ACI) offers the better valuation at 9. 8x trailing P/E (7. 1x forward), making it the more compelling value choice. Analysts rate Albertsons Companies, Inc. (ACI) a "Buy" — based on 23 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Albertsons Companies, Inc.

(ACI) is the cheapest at 9. 8x versus The Kroger Co. at 42. 9x. On forward P/E, Albertsons Companies, Inc. is actually cheaper at 7. 1x.

Over the past 5 years, The Kroger Co.

(KR) delivered a total return of +89. 9%, compared to +32. 0% for Albertsons Companies, Inc. (ACI). Over 10 years, the gap is even starker: KR returned +115. 3% versus ACI's +66. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), The Kroger Co.

(KR) is the lower-risk stock at -0. 64β versus Albertsons Companies, Inc. 's -0. 33β — meaning ACI is approximately -48% more volatile than KR relative to the S&P 500. On balance sheet safety, The Kroger Co. (KR) carries a lower debt/equity ratio of 4% versus 4% for Albertsons Companies, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Albertsons Companies, Inc.

(ACI) is pulling ahead at 1. 5% versus 0. 4% for The Kroger Co. (KR). On earnings-per-share growth, the picture is similar: Albertsons Companies, Inc. grew EPS -26. 5% year-over-year, compared to -58. 0% for The Kroger Co.. Over a 3-year CAGR, ACI leads at 3. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Albertsons Companies, Inc.

(ACI) is the more profitable company, earning 1. 2% net margin versus 0. 7% for The Kroger Co. — meaning it keeps 1. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ACI leads at 1. 9% versus 1. 3% for KR. At the gross margin level — before operating expenses — ACI leads at 27. 7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

On forward earnings alone, Albertsons Companies, Inc.

(ACI) trades at 7. 1x forward P/E versus 12. 6x for The Kroger Co. — 5. 6x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ACI: 22. 5% to $19. 63.

All stocks in this comparison pay dividends.

Albertsons Companies, Inc. (ACI) offers the highest yield at 3. 2%, versus 2. 0% for The Kroger Co. (KR).

For long-horizon retirement investors, The Kroger Co.

(KR) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0. 64), 2. 0% yield, +115. 3% 10Y return). Both have compounded well over 10 years (KR: +115. 3%, ACI: +66. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Defensive sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: ACI is a small-cap deep-value stock; KR is a mid-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.