The Kroger CoLTS:0JS2 63 Graham Number is $23.27 as of Apr. 2026, which is 1245% above its 10-year median of 1.73. GuruFocus rates LTS:0JS2 with a GF Score™ of 63/100 and a GF Value™ of $66.12 (Modestly Undervalued). The stock has 1 warning sign investors should review. Among 236 Retail - Defensive companies, The Kroger Co ranks worse than 79.66% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
As of today (2026-07-05), the stock price of The Kroger Co is $57.58. The Kroger Co's graham number for the quarter that ended in Apr. 2026 was $23.27. Therefore, The Kroger Co's Price to Graham Number ratio for today is 2.47.
The historical rank and industry rank for The Kroger Co's Graham Number or its related term are showing as below:
LTS:0JS2'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.29 Med: 1.73 Max: 3.15
Current: 2.5
During the past 13 years, the highest Price to Graham Number ratio of The Kroger Co was 3.15. The lowest was 1.29. And the median was 1.73.
LTS:0JS2's Price-to-Graham-Number is ranked worse than 79.66% of 236
companies
in the Retail - Defensive industry
Industry Median: 1.305
vs LTS:0JS2: 2.50
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
The Kroger Co (LTS:0JS2) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
The Kroger Co's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Apr. 2026 )
=
57.58
/
23.27
=
2.47
* 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.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
The Kroger Co Graham Number Related Terms
The Kroger Co Graham Number Historical Data
* Premium members only.
The historical data trend for The Kroger Co's Graham Number 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: Graham Number Comparison
For the Grocery Stores subindustry, The Kroger Co's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number 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 Price-to-Graham-Number vs Retail - Defensive Industry
For the Retail - Defensive industry and Consumer Defensive sector, The Kroger Co's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where The Kroger Co's Price-to-Graham-Number 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 Graham Number of $23.27 as of Apr. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on The Kroger Co and its competitors. This is 1245% above median its historical median of 1.73. Over the past decade, The Kroger Co's Graham Number has ranged from 1.29 to 3.15. According to the industry distribution chart, The Kroger Co ranks #188 out of 236 companies in the Retail - Defensive industry, placing it in the top 79.7%.
Is The Kroger Co's Graham Number too high?
The Kroger Co's current Graham Number of $23.27 is 1245% above median its 10-year median of 1.73. Over the past 10 years, this metric has ranged from a low of 1.29 to a high of 3.15. The Retail - Defensive industry median Graham Number is 1.31. The Kroger Co's value of $23.27 is 1683.1% above this industry median. Based on the distribution chart, The Kroger Co ranks #188 out of 236 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 Graham Number compare to SFM and ACI?
According to the Retail - Defensive industry distribution chart, The Kroger Co ranks #188 out of 236 companies for Graham Number. This places The Kroger Co in the lower half of its industry. The industry median Graham Number is 1.31. The Kroger Co's value of $23.27 is 1683.1% above this benchmark. Historically, The Kroger Co's own Graham Number has ranged from 1.29 to 3.15 over the past decade. While the company's 10-year median is 1.73 vs. the industry median of 1.31, 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 Graham Number for a Retail - Defensive company?
The median Graham Number among Retail - Defensive companies is 1.31, based on 236 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. The Kroger Co's current Graham Number of $23.27 is 1683.1% 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 Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on The Kroger Co and its competitors. For the Retail - Defensive industry, the median Graham Number is 1.31 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. The Kroger Co's current Graham Number is $23.27, which is 1245% above median its own 10-year median of 1.73. 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 $66.12, compared to a current price of $57.58 — trading 12.9% below its estimated fair value. The current Graham Number is $23.27, which is 1245% above median its 10-year median of 1.73 and 1683.1% above the Retail - Defensive industry median of 1.31. 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 Graham Number calculated?
Graham Number is calculated from a company's financial statements. For The Kroger Co (LTS:0JS2), the current Graham Number is $23.27 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 $57.58 is trading 12.9% below its estimated GF Value™ of $66.12.
GuruFocus considers The Kroger Co to be Modestly Undervalued.
Key valuation signals for LTS:0JS2:
Graham Number: $23.27 (1245% above median its 10-year median of 1.73)
GF Value™: $66.12 vs. price of $57.58 (12.9% below fair value)
Industry Position: 1683.1% above the Retail - Defensive median (#188 of 236)
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
Get the complete analysis for LTS:0JS2
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