30 Growing Dividend Stocks with Low PE Ratios

18. The Kroger Co. (NYSE:KR)

Forward P/E Ratio as of April 22: 15.31

The Kroger Co. (NYSE:KR) is an American retail company that operates supermarkets and multi department stores throughout the country. The company runs over 2,700 grocery stores under banners such as King Soopers, Ralphs, and Smith’s, and has established itself as a reliable name in the consumer staples sector, known for steady profits and robust free cash flow. In the fourth quarter of fiscal 2025, the company posted $34.3 billion in revenue, a 7% decline from the previous year and slightly below analysts’ estimates of $34.7 billion. Operating profit also dropped more than 27% year-over-year.

Despite the decline, The Kroger Co. (NYSE:KR) maintained a strong financial footing, solidifying its status as a consistent dividend payer. For fiscal 2024, the company generated $5.8 billion in operating cash flow and returned $883 million to shareholders through dividends. Its healthy cash reserves have helped the company sustain a low payout ratio of roughly 33% over the last five years.

The Kroger Co. (NYSE:KR), one of the best growing dividend stocks, has raised its payouts for 18 consecutive years. The company offers a quarterly dividend of $0.32 per share and has a dividend yield of 1.75%, as of April 22.

The Kroger Co. (NYSE:KR) remained popular among hedge funds in Q4 2024, with 60 funds owning stakes in the company, up from 39 in the previous quarter, according to Insider Monkey’s database. The consolidated value of these stakes is over $5.5 billion. With 50 million shares, Warren Buffett’s Berkshire Hathaway was the company’s leading stakeholder in Q4.