Kroger Shares Rise Despite Underwhelming 2026 Forecast

Kroger (NYSE: KR) issued a forecast for current-year sales and earnings that largely fell short of Wall Street expectations, although shares climbed more than 4% intra-day Thursday.

The supermarket chain provided its outlook as newly appointed CEO Greg Foran assumed leadership during a period marked by uncertainty around consumer spending.

U.S. consumers have faced several headwinds, including elevated living costs, a labor market that remains subdued but stabilizing, and changes in global trade policies. Although a reduction in tax rates could support consumer spending this year, escalating geopolitical tensions in the Middle East have clouded the broader economic outlook.

Foran, who joined Kroger in February, previously oversaw Walmart’s U.S. division and delivered 20 consecutive quarters of comparable sales growth during his tenure.

Kroger said identical sales excluding fuel are expected to increase between 1% and 2% in 2026, falling short of analyst expectations for growth of approximately 2% at the midpoint.

Adjusted earnings per share are forecast to range between $5.10 and $5.30, slightly below projections of $5.29 at the midpoint.

Fourth-quarter sales totaled $34.73 billion, compared with analyst expectations of $34.98 billion. Adjusted earnings per share were $1.28, exceeding consensus estimates of $1.21.