Ocado Stock Continues to Fall Following Kroger Setback
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 19 2025
0mins
Source: Reuters
Ocado's Stock Decline: Shares in Ocado fell significantly, dropping 17% in one day and hitting a 12-year low after partner Kroger announced the closure of three U.S. delivery facilities.
Financial Impact: Despite receiving over $250 million in compensation from Kroger, Ocado anticipates a $50 million reduction in fee revenue for fiscal year 2026 due to the closures.
Analyst Revisions: JPMorgan has lowered its target price for Ocado from 356 pence to 290 pence, reflecting concerns about the company's future prospects.
Kroger's Position: Kroger claims that the facility closures will not affect its core sales and may lead to further cancellations of planned facilities, impacting Ocado's ability to form new partnerships in the U.S. market.
Analyst Views on KR
Wall Street analysts forecast KR stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for KR is 75.00 USD with a low forecast of 68.00 USD and a high forecast of 85.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
9 Buy
6 Hold
0 Sell
Moderate Buy
Current: 62.650
Low
68.00
Averages
75.00
High
85.00
Current: 62.650
Low
68.00
Averages
75.00
High
85.00
About KR
The Kroger Co. is a food and drug retailer. The Company operates supermarkets, multi-department stores and fulfillment centers throughout the United States. It operates approximately 2,731 supermarkets, 2,273 pharmacies and 1,702 fuel centers in over 35 states and the District of Columbia while also operating online through a digital ecosystem to offer customers an omnichannel shopping experience. The Company also manufactures and processes food for sale in its supermarkets and online. It offers Pickup and Harris Teeter ExpressLane personalized, order online, pick-up at the store services at approximately 2,412 of its supermarkets and provides delivery, which allows it to offer digital solutions to substantially all of its customers. Its delivery solutions include orders delivered to customers at retail store locations, customer fulfillment centers and orders placed through third-party platforms. The Company also offers customer-facing apps and interfaces.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
