Kroger Stock Price, News & Analysis

Kroger Houston announced a significant commitment of $56 million to increase wages for associates and improve health care benefits. This investment follows prolonged negotiations with UFCW Local 455, which has yet to schedule a vote on Kroger's proposed offers. The company also plans to enhance pension benefits with a $1 billion investment aimed at transitioning associates to a more stable variable annuity pension plan. The health care coverage will shift from an unstable fund to a company-administered plan, offering lower premiums compared to national averages.

Kroger Health has launched rapid antibody testing at its pharmacies, starting in California and Michigan, with plans to expand nationwide by the end of November. These FDA-authorized tests cost $25 and provide results in approximately 15 minutes. The initiative aims to enhance COVID-19 testing accessibility, especially given the reported shortages in lab testing capacity. Kroger Health emphasizes its commitment to public health through affordable and convenient testing options, helping individuals learn about past infections.

The Kroger Co. (NYSE: KR) has updated investors on its transformative Restock Kroger initiative, which aims to enhance shareholder returns of 8% - 11%. The company reported annual cost savings exceeding $1 billion, which are being reinvested to improve customer and associate experiences. Kroger has returned approximately $6.4 billion to shareholders since fiscal 2017 through dividends and share repurchases. The company reaffirmed its 2020 financial guidance and expressed confidence in future growth, driven by strong market share and operational efficiency.

Kroger Co. (NYSE: KR) will hold an investor update conference call on October 27, 2020, at 9:00 a.m. ET. CEO Rodney McMullen and CFO Gary Millerchip will lead the discussion. Due to COVID-19 travel restrictions, the annual Investor Day has been postponed to spring 2021. The event can be accessed online at ir.kroger.com, with a replay available at approximately 1 p.m. ET on the same day. Kroger aims to foster #ZeroHungerZeroWaste communities by 2025, serving over 11 million customers daily.

The Kroger Co. (NYSE: KR) has announced an expansion of its Simple Truth Plant Based collection, adding over 50 new products. This includes non-dairy cheeses, oat milk ice cream, and new chicken-less options like Emerge Chick'n patties. The collection, launched in September 2020 with over 20 items, aims to cater to the growing demand for plant-based foods among consumers seeking healthier choices. Simple Truth brand sales surpassed $2.5 billion last year, indicating strong market interest. Kroger continues to innovate within this category, focusing on affordable, quality plant-based options.

On October 12, 2020, Kroger Co. (NYSE: KR) launched Chefbot, an AI-powered Twitter tool designed to help users reduce food waste by providing personalized recipe recommendations. Developed alongside 360i and technology partners, Chefbot recognizes nearly 2,000 ingredients and accesses over 20,000 recipes. Users can snap a photo of ingredients, tweet it to @KrogerChefbot, and receive tailored recipes within seconds. This initiative aims to enhance Kroger's Fresh for Everyone brand promise and support customers in meal preparation, particularly during the pandemic.

The Kroger Co. (NYSE: KR) announced the launch of two on-premise kitchens in partnership with ClusterTruck, a delivery-only restaurant technology start-up, on October 8, 2020. The kitchens, located in Metro Indianapolis, IN, and Metro Columbus, OH, aim to provide freshly prepared meals on-demand without additional service fees. Customers can choose from over 80 meal options, with an emphasis on fresh ingredients and quick delivery. Kroger's digital sales grew by 127% in Q2 2020, further supporting this initiative to meet consumer demand for quality meals during the ongoing health crisis.