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How Does Kroger Compare to Its Competitors?

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ETFs that invest in Kroger

The PowerShares Dynamic Food & Beverage Portfolio (PBJ) invests 6.09% of its holdings in Kroger (KR). PBJ tracks a multifactor, tiered, and equal-weighted index of US food industry stocks.

The PowerShares Dynamic Retail ETF (PMR) invests 5.83% of its holdings in Kroger. PMR tracks a multifactor, tiered, and equal-weighted index of US retail stocks.

The First Trust Consumer Staples AlphaDEX ETF (FXG) invests 4.33% of its holdings in Kroger. FXG tracks an index of large and midcap US consumer staples stocks. The underlying index uses multifactor selection and a tiered, equal weighting.

The VanEck Vectors Retail ETF (RTH) invests 4.10% of its holdings in Kroger. RTH tracks a market-cap-weighted index of the 25 largest US-listed companies that derive most of the revenue from retail.

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Kroger compared to its ETFs

Kroger’s YTD (year-to-date) price movement is 6.97%. It’s almost double compared to the PowerShares Dynamic Food & Beverage Portfolio (PBJ) at 3.90%, the PowerShares Dynamic Retail ETF (PMR) at -2.65%, and the First Trust Consumer Staples AlphaDEX ETF (FXG) at 1.36%.

Kroger has a PE (price-to-earnings) ratio of 18.22x. The PE ratios for PBJ, PMR, FXG, and RTH are 24.76x, 22.05x, 20.39x, and 26.20x, respectively.

Based on the price movement, Kroger has outperformed its ETFs.

Kroger compared to its peers

Kroger’s gross profit margin was 22.05% in 1Q15. It’s similar to its competitors—Costco (COST) at 13.07%, Walmart (WMT) at 24.68%, and Target (TGT) at 30.40% during the same period.

The PE ratios for Kroger, Costco, Walmart, and Target are 18.22x, 26.56x, 13.36x, and 16.92x.

As a result, the performance for Kroger and its competitors was similar in 1Q15.

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