Kroger (NYSE:KR) is down 8.1% after setting guidance for FY16 same-store sales growth to a range of 2.5% to 3.5% which mark a deceleration from last year's pace. Also factoring in was the miss with Q4 revenue.
CEO Rodney McMullen said economic uncertainty and volatile food prices cut into the willingness of consumers to spend freely. Kroger is also a victim of its own success as strong comps from prior years become harder to match.
Volume on Kroger is already 3X normal daily activity.
SA contributor Christopher Davis thinks the slide in Kroger gives investors an excellent entry point.
Previously: Kroger beats by $0.03, misses on revenue (March 3)
Previously: Kroger lower after revenue comes in light (March 3)
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