Latest Ratios: P/E Ratio 36.3x · EV/EBITDA 9.6x · ROE 14.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $34.5B | $41.2B | $44.4B | $33.5B | $32.8B | $32.8B | $26.9B | $21.6B | $23.0B | $26.5B | $32.0B |
| Enterprise Value | $55.8B | $62.5B | $65.5B | $50.8B | $52.1B | $51.4B | $45.8B | $42.4B | $37.8B | $41.8B | $45.7B |
| P/E Ratio → | 36.31 | 40.81 | 16.80 | 15.59 | 14.72 | 20.03 | 10.55 | 13.17 | 7.47 | 14.04 | 16.27 |
| P/S Ratio | 0.23 | 0.28 | 0.30 | 0.22 | 0.22 | 0.24 | 0.20 | 0.18 | 0.19 | 0.22 | 0.28 |
| P/B Ratio | 6.17 | 6.94 | 5.36 | 2.88 | 3.27 | 3.48 | 2.82 | 2.52 | 2.93 | 3.84 | 4.76 |
| P/FCF | 10.29 | 12.29 | 24.98 | 11.60 | 26.56 | 9.17 | 6.82 | 14.08 | 19.18 | 43.91 | 55.77 |
| P/OCF | 4.78 | 5.71 | 7.66 | 4.93 | 7.60 | 5.30 | 3.95 | 4.64 | 5.51 | 7.77 | 7.48 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 0.42 | 0.45 | 0.34 | 0.35 | 0.37 | 0.35 | 0.35 | 0.31 | 0.34 | 0.40 |
| EV / EBITDA | 9.61 | 10.76 | 8.51 | 7.42 | 6.77 | 7.44 | 7.45 | 7.65 | 7.43 | 8.27 | 7.89 |
| EV / EBIT | 29.53 | 33.99 | 17.27 | 15.51 | 15.17 | 19.60 | 11.71 | 16.41 | 8.21 | 20.03 | 13.30 |
| EV / FCF | — | 18.66 | 36.86 | 17.62 | 42.29 | 14.37 | 11.61 | 27.61 | 31.55 | 69.15 | 79.78 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 23.3% | 23.3% | 22.7% | 22.2% | 21.4% | 22.0% | 23.3% | 22.1% | 22.0% | 22.3% | 22.4% |
| Operating Margin | 1.3% | 1.3% | 2.6% | 2.1% | 2.8% | 2.5% | 2.1% | 1.8% | 2.1% | 2.1% | 3.0% |
| Net Profit Margin | 0.7% | 0.7% | 1.8% | 1.4% | 1.5% | 1.2% | 2.0% | 1.4% | 2.6% | 1.5% | 1.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 14.3% | 14.3% | 26.8% | 20.0% | 23.1% | 17.4% | 28.5% | 20.2% | 42.2% | 28.0% | 29.2% |
| ROA | 2.0% | 2.0% | 5.2% | 4.3% | 4.5% | 3.4% | 5.5% | 4.0% | 8.3% | 5.2% | 5.6% |
| ROIC | 5.0% | 5.0% | 9.9% | 8.0% | 10.8% | 9.2% | 7.2% | 6.5% | 8.8% | 9.2% | 13.3% |
| ROCE | 5.5% | 5.5% | 10.8% | 9.3% | 12.7% | 10.5% | 8.6% | 8.2% | 11.2% | 11.2% | 15.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 4.16 | 4.16 | 3.03 | 1.66 | 2.04 | 2.17 | 2.16 | 2.47 | 1.94 | 2.26 | 2.10 |
| Debt / EBITDA | 4.25 | 4.25 | 3.26 | 2.81 | 2.65 | 2.96 | 3.35 | 3.82 | 3.00 | 3.09 | 2.43 |
| Net Debt / Equity | — | 3.60 | 2.55 | 1.50 | 1.94 | 1.97 | 1.98 | 2.42 | 1.89 | 2.21 | 2.05 |
| Net Debt / EBITDA | 3.67 | 3.67 | 2.74 | 2.54 | 2.52 | 2.70 | 3.07 | 3.75 | 2.91 | 3.02 | 2.37 |
| Debt / FCF | — | 6.37 | 11.89 | 6.02 | 15.73 | 5.21 | 4.78 | 13.53 | 12.36 | 25.24 | 24.01 |
| Interest Coverage | 2.88 | 2.88 | 8.26 | 7.30 | 6.32 | 4.51 | 7.14 | 4.31 | 7.46 | 3.49 | 6.61 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.80 | 0.80 | 0.96 | 0.81 | 0.74 | 0.75 | 0.81 | 0.76 | 0.76 | 0.78 | 0.80 |
| Quick Ratio | 0.42 | 0.42 | 0.52 | 0.36 | 0.30 | 0.33 | 0.35 | 0.27 | 0.28 | 0.32 | 0.29 |
| Cash Ratio | 0.25 | 0.25 | 0.33 | 0.19 | 0.12 | 0.18 | 0.18 | 0.11 | 0.11 | 0.11 | 0.10 |
| Asset Turnover | — | 2.96 | 2.80 | 2.97 | 2.99 | 2.81 | 2.72 | 2.70 | 3.20 | 3.31 | 3.16 |
| Inventory Turnover | 16.43 | 16.43 | 16.16 | 16.42 | 15.41 | 15.85 | 14.38 | 13.45 | 13.89 | 14.67 | 13.64 |
| Days Sales Outstanding | — | 5.42 | 5.45 | 5.20 | 5.50 | 4.84 | 4.91 | 5.09 | 4.76 | 4.85 | 5.22 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.4% | 2.1% | 2.0% | 2.4% | 2.1% | 1.8% | 2.0% | 2.2% | 1.9% | 1.7% | 1.3% |
| Payout Ratio | 87.1% | 87.1% | 33.1% | 36.8% | 30.4% | 35.6% | 20.7% | 29.3% | 14.1% | 23.2% | 21.7% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.8% | 2.5% | 6.0% | 6.4% | 6.8% | 5.0% | 9.5% | 7.6% | 13.4% | 7.1% | 6.1% |
| FCF Yield | 9.7% | 8.1% | 4.0% | 8.6% | 3.8% | 10.9% | 14.7% | 7.1% | 5.2% | 2.3% | 1.8% |
| Buyback Yield | 7.8% | 6.6% | 11.6% | 0.2% | 3.0% | 5.0% | 4.9% | 2.2% | 8.8% | 6.2% | 5.5% |
| Total Shareholder Yield | 10.2% | 8.7% | 13.6% | 2.6% | 5.1% | 6.8% | 6.9% | 4.4% | 10.7% | 7.8% | 6.9% |
| Shares Outstanding | — | $655M | $720M | $725M | $727M | $754M | $781M | $805M | $818M | $904M | $958M |
Margin compression and leverage
According to recent market data, Kroger trades at a trailing P/E of 37.49, which appears disconnected from its 0.35% revenue growth, suggesting investors may be pricing in a speculative re-rating based on retail media potential rather than current fundamental performance in the competitive grocery landscape.
The disparity between the trailing P/E and the forward P/E of 11.09 indicates that the market anticipates a significant earnings recovery or a normalization of one-time charges. Investors should monitor whether this valuation premium is sustainable given the company's inability to consistently expand margins in a sector where peers like Walmart command higher multiples due to superior digital scale.
Based on reported figures, Kroger's ROIC has struggled to maintain momentum, fluctuating between -4.0% and 3.7% over the last ten quarters, which highlights the difficulty of generating meaningful returns on invested capital within a capital-intensive, low-margin grocery business model that requires constant infrastructure reinvestment.
The volatility in ROIC suggests that the company's heavy investments in automated fulfillment and store upgrades have yet to yield a consistent compounding effect on shareholder value. This performance lags significantly behind peers like Sprouts Farmers Market, implying that Kroger's structural integration may be offset by the sheer weight of its legacy physical footprint.
As reported in financial statements, Kroger's cash conversion cycle has remained consistently negative, ranging from -7 to -1 days, which suggests that the company effectively leverages its supplier relationships to fund operations, though this efficiency is frequently undermined by erratic asset turnover ratios.
While a negative CCC is a hallmark of a strong retail business, the inconsistency in asset turnover—dropping as low as 0.59—indicates that inventory management is not always optimized for sales velocity. This suggests that the company may be carrying excess inventory in certain segments, which ties up capital that could otherwise be deployed toward higher-margin digital initiatives.
According to recent SEC filings, Kroger's debt-to-equity ratio has climbed to 3.63 as of 2026Q1, a concerning trend that indicates an increasing reliance on debt financing to support operations and capital expenditures in an environment characterized by thin operating margins and regulatory uncertainty.
The rising debt load, coupled with an interest coverage ratio that has dipped as low as 6.63, warrants further investigation into the company's ability to service its obligations if operating income remains suppressed. Investors should monitor whether this leverage profile limits management's capacity to pursue strategic acquisitions or return capital to shareholders.
The price-to-earnings ratio is frequently misapplied to Kroger, as it obscures the impact of significant non-recurring charges and LIFO inventory adjustments that distort net income, making the company appear either significantly overvalued or undervalued depending on the specific quarter's accounting treatment.
Analysts should prioritize EV/EBITDA or P/FCF to better assess the company's true earning power, as these metrics are less sensitive to the accounting noise that plagues the bottom line. Relying on P/E in a business with a 0.69% net margin can lead to flawed conclusions regarding the company's long-term terminal value and operational health.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying KR stock.
The Kroger Co.'s current P/E ratio is 36.3x. The historical average is 25.8x. This places it at the 86th percentile of its historical range.
The Kroger Co.'s current EV/EBITDA is 9.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 7.6x.
The Kroger Co.'s return on equity (ROE) is 14.3%. The historical average is 24.5%.
Based on historical data, The Kroger Co. is trading at a P/E of 36.3x. This is at the 86th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
The Kroger Co.'s current dividend yield is 2.42% with a payout ratio of 87.1%.
The Kroger Co. has 23.3% gross margin and 1.3% operating margin.
The Kroger Co.'s Debt/EBITDA ratio is 4.2x, indicating high leverage. A ratio above 4x may signal elevated financial risk.