KR PE Ratio & Valuation,Is KR Overvalued

KR Relative Valuation

KR's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, KR is overvalued; if below, it's undervalued.

Historical Valuation

Kroger Co (KR) is now in the Fair zone, suggesting that its current forward PE ratio of 12.16 is considered Fairly compared with the five-year average of 11.99. The fair price of Kroger Co (KR) is between 60.21 to 72.15 according to relative valuation methord.

Relative Value

Fair Zone

60.21-72.15

Current Price：62.77

Fair

12.06

7.33

EV/EBITDA

Kroger Co. (KR) has a current EV/EBITDA of 7.33. The 5-year average EV/EBITDA is 7.22. The thresholds are as follows: Strongly Undervalued below 6.10, Undervalued between 6.10 and 6.66, Fairly Valued between 7.78 and 6.66, Overvalued between 7.78 and 8.34, and Strongly Overvalued above 8.34. The current Forward EV/EBITDA of 7.33 falls within the Historic Trend Line -Fairly Valued range.

12.62

EV/EBIT

Kroger Co. (KR) has a current EV/EBIT of 12.62. The 5-year average EV/EBIT is 12.36. The thresholds are as follows: Strongly Undervalued below 10.10, Undervalued between 10.10 and 11.23, Fairly Valued between 13.50 and 11.23, Overvalued between 13.50 and 14.63, and Strongly Overvalued above 14.63. The current Forward EV/EBIT of 12.62 falls within the Historic Trend Line -Fairly Valued range.

0.27

Kroger Co. (KR) has a current PS of 0.27. The 5-year average PS is 0.25. The thresholds are as follows: Strongly Undervalued below 0.17, Undervalued between 0.17 and 0.21, Fairly Valued between 0.28 and 0.21, Overvalued between 0.28 and 0.32, and Strongly Overvalued above 0.32. The current Forward PS of 0.27 falls within the Historic Trend Line -Fairly Valued range.

6.33

P/OCF

Kroger Co. (KR) has a current P/OCF of 6.33. The 5-year average P/OCF is 5.91. The thresholds are as follows: Strongly Undervalued below 4.27, Undervalued between 4.27 and 5.09, Fairly Valued between 6.74 and 5.09, Overvalued between 6.74 and 7.56, and Strongly Overvalued above 7.56. The current Forward P/OCF of 6.33 falls within the Historic Trend Line -Fairly Valued range.

12.07

P/FCF

Kroger Co. (KR) has a current P/FCF of 12.07. The 5-year average P/FCF is 14.66. The thresholds are as follows: Strongly Undervalued below 6.55, Undervalued between 6.55 and 10.60, Fairly Valued between 18.71 and 10.60, Overvalued between 18.71 and 22.76, and Strongly Overvalued above 22.76. The current Forward P/FCF of 12.07 falls within the Historic Trend Line -Fairly Valued range.

Kroger Co (KR) has a current Price-to-Book (P/B) ratio of 5.76. Compared to its 3-year average P/B ratio of 3.74 , the current P/B ratio is approximately 54.16% higher. Relative to its 5-year average P/B ratio of 3.59, the current P/B ratio is about 60.32% higher. Kroger Co (KR) has a Forward Free Cash Flow (FCF) yield of approximately 5.67%. Compared to its 3-year average FCF yield of 5.76%, the current FCF yield is approximately -1.51% lower. Relative to its 5-year average FCF yield of 7.09% , the current FCF yield is about -19.97% lower.

5.71

P/B

Median3y

3.74

Median5y

3.59

5.67

FCF Yield

Median3y

5.76

Median5y

7.09

Competitors Valuation Multiple

The average P/S ratio for KR's competitors is 0.78, providing a benchmark for relative valuation. Kroger Co Corp (KR) exhibits a P/S ratio of , which is -100% above the industry average. Given its robust revenue growth of 0.67%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

Revenue Growth

Market Cap

Performance Decomposition

Market capitalization of KR increased by 2.97% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 13.03 to 54.00.

The secondary factor is the Revenue Growth, contributed 0.67%to the performance.

Overall, the performance of KR in the past 1 year is driven by P/E Change. Which is more unsustainable.

0.67%

33.63B → 33.86B

Revenue Growth

-312.02%

1.83 → -3.88

Margin Expansion

314.32%

13.03 → 54.00

P/E Change

2.97%

60.85 → 62.66

Mkt Cap Growth

People Also Watch

Frequently Asked Questions

Is Kroger Co (KR) currently overvalued or undervalued?

What is Kroger Co (KR) fair value?

KR's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Kroger Co (KR) is between 60.21 to 72.15 according to relative valuation methord.

How does KR's valuation metrics compare to the industry average?

The average P/S ratio for KR's competitors is 0.78, providing a benchmark for relative valuation. Kroger Co Corp (KR) exhibits a P/S ratio of , which is -100.00% above the industry average. Given its robust revenue growth of 0.67%, this premium appears unsustainable.

What is the current P/B ratio for Kroger Co (KR) as of Dec 16 2025?

As of Dec 16 2025, Kroger Co (KR) has a P/B ratio of 5.76. This indicates that the market values KR at 5.76 times its book value.

What is the current FCF Yield for Kroger Co (KR) as of Dec 16 2025?

As of Dec 16 2025, Kroger Co (KR) has a FCF Yield of 5.67%. This means that for every dollar of Kroger Co’s market capitalization, the company generates 5.67 cents in free cash flow.

What is the current Forward P/E ratio for Kroger Co (KR) as of Dec 16 2025?

As of Dec 16 2025, Kroger Co (KR) has a Forward P/E ratio of 12.16. This means the market is willing to pay $12.16 for every dollar of Kroger Co’s expected earnings over the next 12 months.

What is the current Forward P/S ratio for Kroger Co (KR) as of Dec 16 2025?

As of Dec 16 2025, Kroger Co (KR) has a Forward P/S ratio of 0.27. This means the market is valuing KR at $0.27 for every dollar of expected revenue over the next 12 months.

KR Valuation