UPDATE: Goldman Sachs Group Reiterates Sell Rating, Raises PT on The Kroger Co.
In a report published Friday, Goldman Sachs Group reiterated its Sell rating on The Kroger Co. (NYSE: KR), and slightly raised its price target from $23.00 to $24.00.
Goldman Sachs noted, “KR reported better than expected 3Q EPS and raised guidance by more than the beat. The stronger results were primarily driven by better than expected gross margin due to a combination of greater flow through exfuel, a lower LIFO charge and better gross profit dollars per gallon of fuel. Management's FY12 guidance of $2.44-$2.46 embeds continued ID sales momentum at 3.0%-3.5% coupled with slight op margin expansion ex-fuel.”
The Kroger Co. closed on Thursday at $26.25.
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