Kroger's stock rallied following the announcement that Greg Foran, former Walmart U.S. President, has been appointed as the company's new CEO. This appointment resolves nearly a year of leadership uncertainty at the grocery chain. Evercore ISI raised its price target for Kroger stock to $84 from $77 following the CEO news, maintaining an Outperform rating. The firm cited that Foran brings credibility to the position. Separately, Kroger announced it is closing all 18 Little Clinic locations in Georgia as part of a broader scaling back of its in-store medical clinics. The company cited high operating costs, difficult reimbursement environments, and low margins in primary care services as reasons for the closures, a trend also seen with other major retailers.
Read full analysisKroger's stock rallied following the announcement that Greg Foran, former Walmart U.S. President, has been appointed as the company's new CEO. This appointment resolves nearly a year of leadership uncertainty at the grocery chain. Evercore ISI raised its price target for Kroger stock to $84 from $77 following the CEO news, maintaining an Outperform rating. The firm cited that Foran brings credibility to the position. Separately, Kroger announced it is closing all 18 Little Clinic locations in Georgia as part of a broader scaling back of its in-store medical clinics. The company cited high operating costs, difficult reimbursement environments, and low margins in primary care services as reasons for the closures, a trend also seen with other major retailers.
Kroger Co. (KR) is a publicly traded company in the Consumer Staples sector.