Kroger results disappoint compared to Walmart, Target
Kroger Co. tumbled the most in six months after the supermarket chain missed analysts’ sales estimates and margins continued to narrow in the company’s fiscal second quarter.
Key Takeaways Kroger’s lackluster results contrast with rivals Walmart Inc. and Target Corp., who raised their 2018 expectations. Comparable-store sales rose 1.6 percent when excluding gasoline sales. That’s below the estimate of 1.8 percent from Consensus Metrix.
A strong consumer environment has put wind at retailers’ backs, with Target and Dollar General CEOs both saying conditions are the best they’ve seen in more than a decade. As a result, investors have punished companies that haven’t been able to take advantage of the favorable climate.