Kroger Company (KR)vsProcter & Gamble Company (PG)
KR
Kroger Company
$62.23
-8.43%
CONSUMER DEFENSIVE · Cap: $39.90B
PG
Procter & Gamble Company
$146.54
-0.12%
CONSUMER DEFENSIVE · Cap: $350.36B
Smart Verdict
WallStSmart Research — data-driven comparison
Kroger Company generates 70% more annual revenue ($147.64B vs $86.72B). PG leads profitability with a 19.2% profit margin vs 0.7%. KR appears more attractively valued with a PEG of 0.63. PG earns a higher WallStSmart Score of 59/100 (C).
KR
Buy59
out of 100
Grade: C
PG
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.9%
Fair Value
$72.60
Current Price
$62.23
$10.37 discount
Margin of Safety
-53.8%
Fair Value
$99.13
Current Price
$146.54
$47.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 50.9% YoY
Safe zone — low bankruptcy risk
Growing faster than its price suggests
Generating 1.8B in free cash flow
Mega-cap, among the largest globally
Every $100 of equity generates 31 in profit
Safe zone — low bankruptcy risk
Strong operational efficiency at 23.1%
Generating 3.0B in free cash flow
Areas to Watch
1.2% revenue growth
0.7% margin — thin
Operating margin of 3.4%
Premium valuation, high expectations priced in
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : KR
The strongest argument for KR centers on EPS Growth, Altman Z-Score, PEG Ratio. PEG of 0.63 suggests the stock is reasonably priced for its growth.
Bull Case : PG
The strongest argument for PG centers on Market Cap, Return on Equity, Altman Z-Score. Profitability is solid with margins at 19.2% and operating margin at 23.1%.
Bear Case : KR
The primary concerns for KR are Revenue Growth, Profit Margin, Operating Margin. A P/E of 42.0x leaves little room for execution misses. Debt-to-equity of 4.16 is elevated, increasing financial risk.
Bear Case : PG
The primary concerns for PG are PEG Ratio.
Key Dynamics to Monitor
KR profiles as a value stock while PG is a mature play — different risk/reward profiles.
KR carries more volatility with a beta of 0.42 — expect wider price swings.
PG is growing revenue faster at 7.4% — sustainability is the question.
PG generates stronger free cash flow (3.0B), providing more financial flexibility.
Bottom Line
KR scores higher overall (59/100 vs 59/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Kroger Company
CONSUMER DEFENSIVE · GROCERY STORES · USA
The Kroger Company, or simply Kroger, is an American retail company founded by Bernard Kroger in 1883 in Cincinnati, Ohio.
Procter & Gamble Company
CONSUMER DEFENSIVE · HOUSEHOLD & PERSONAL PRODUCTS · USA
The Procter & Gamble Company (P&G) is an American multinational consumer goods corporation headquartered in Cincinnati, Ohio, founded in 1837 by William Procter and James Gamble. It specializes in a wide range of personal health, consumer health, personal care, and hygiene products; these products are organized into several segments including Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine, & Family Care. Before the sale of Pringles to Kellogg's, its product portfolio also included food, snacks, and beverages.
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