The Kroger CoLTS:0JS2 +1.27%63 Debt-to-Equity is 3.74 as of Apr. 2026, which is 72% above its 10-year median of 2.17. GuruFocus rates LTS:0JS2 with a GF Score™ of 63/100 and a GF Value™ of $66.94 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 281 Retail - Defensive companies, The Kroger Co ranks worse than 93.95% on this metric.
A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for The Kroger Co's Debt-to-Equity or its related term are showing as below:
LTS:0JS2'
s Debt-to-Equity Range Over the Past 10 Years
Min: 1.55 Med: 2.17 Max: 4.17
Current: 3.74
During the past 13 years, the highest Debt-to-Equity Ratio of The Kroger Co was 4.17. The lowest was 1.55. And the median was 2.17.
LTS:0JS2's Debt-to-Equity is ranked worse than 93.95% of 281
companies
in the Retail - Defensive industry
Industry Median: 0.55
vs LTS:0JS2: 3.74
The Kroger Co (LTS:0JS2) Debt-to-Equity Explanation
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
The Kroger Co Debt-to-Equity Related Terms
The Kroger Co Debt-to-Equity Historical Data
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The historical data trend for The Kroger Co's Debt-to-Equity can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LTS:0JS2 vs SFM, ACI, WMK: Debt-to-Equity Comparison
For the Grocery Stores subindustry, The Kroger Co's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
The Kroger Co Debt-to-Equity vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, The Kroger Co's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where The Kroger Co's Debt-to-Equity falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
The Kroger Co (LTS:0JS2) has a Debt-to-Equity of 3.74 as of Apr. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on The Kroger Co and its competitors. This is 72% above median its historical median of 2.17. Over the past decade, The Kroger Co's Debt-to-Equity has ranged from 1.55 to 4.17. According to the industry distribution chart, The Kroger Co ranks #264 out of 281 companies in the Retail - Defensive industry, placing it in the top 94%.
Is The Kroger Co's Debt-to-Equity too high?
The Kroger Co's current Debt-to-Equity of 3.74 is 72% above median its 10-year median of 2.17. Over the past 10 years, this metric has ranged from a low of 1.55 to a high of 4.17. The Retail - Defensive industry median Debt-to-Equity is 0.55. The Kroger Co's value of 3.74 is 580% above this industry median. Based on the distribution chart, The Kroger Co ranks #264 out of 281 companies in the Retail - Defensive industry, which is in the bottom quartile relative to peers. Overall, The Kroger Co has a GF Score™ of 63/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does The Kroger Co's Debt-to-Equity compare to SFM and ACI?
According to the Retail - Defensive industry distribution chart, The Kroger Co ranks #264 out of 281 companies for Debt-to-Equity. This places The Kroger Co in the lower half of its industry. The industry median Debt-to-Equity is 0.55. The Kroger Co's value of 3.74 is 580% above this benchmark. Historically, The Kroger Co's own Debt-to-Equity has ranged from 1.55 to 4.17 over the past decade. While the company's 10-year median is 2.17 vs. the industry median of 0.55, The Kroger Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Retail - Defensive company?
The median Debt-to-Equity among Retail - Defensive companies is 0.55, based on 281 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Kroger Co's current Debt-to-Equity of 3.74 is 580% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on The Kroger Co and its competitors. For the Retail - Defensive industry, the median Debt-to-Equity is 0.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Kroger Co's current Debt-to-Equity is 3.74, which is 72% above median its own 10-year median of 2.17. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is The Kroger Co stock overvalued right now?
Based on GuruFocus' analysis, The Kroger Co (LTS:0JS2) is currently considered Modestly Undervalued. The stock's GF Value™ is $66.94, compared to a current price of $60.53 — trading 9.6% below its estimated fair value. The current Debt-to-Equity is 3.74, which is 72% above median its 10-year median of 2.17 and 580% above the Retail - Defensive industry median of 0.55. The Kroger Co's overall GF Score™ is 63/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For The Kroger Co (LTS:0JS2), the current Debt-to-Equity is 3.74 as of Apr. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is The Kroger Co (LTS:0JS2) Overvalued in 2026?
Based on GuruFocus' analysis, The Kroger Co stock appears to be undervalued.
The current stock price of $60.53 is trading 9.6% below its estimated GF Value™ of $66.94.
GuruFocus considers The Kroger Co to be Modestly Undervalued.
Key valuation signals for LTS:0JS2:
Debt-to-Equity: 3.74 (72% above median its 10-year median of 2.17)
GF Value™: $66.94 vs. price of $60.53 (9.6% below fair value)
Industry Position: 580% above the Retail - Defensive median (#264 of 281)
No single metric tells the full story. See the LTS:0JS2 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Founded in 1883, Kroger is the largest pure-play supermarket operator in the United States, operating roughly 2,700 stores across more than 30 banners. Kroger's business is primarily grocery-led (roughly 78% of sales), spanning fresh food and private-label offerings, complemented by fuel centers (9%) and pharmacies (12%). The firm also generates income from advertising, data analytics, and manufacturing.
63GF Score
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