The Kroger Co. (KR): Is This the Right Time to Add This Giant Grocer to Your Portfolio?

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Safeway is a very shareholder-friendly company. With a 3.5% dividend yield, it continuously rewards its investors through share-buybacks and dividends. Between Kroger and Safeway, Kroger definitely has an upper hand. The table below shows a comparison between them.

With a lower PEG, higher return on equity and a lower debt-to-equity ratio, Kroger looks better than Safeway. Moreover, with the acquisition of Harris Teeter, Kroger has tremendous opportunities to expand its business. The synergies generated from the deal will definitely benefit the investors in the long-run. This is the right time to add this grocer to your portfolio!

aastha jhunjhunwala has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks mentioned.

The article Is This the Right Time to Add This Giant Grocer to Your Portfolio? originally appeared on Fool.com and is written by aastha jhunjhunwala.

aastha is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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