Based on the aggregated intelligence of 125,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, grocery store giant Kroger (NYSE:KR) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Kroger's business, and see what CAPS investors are saying about the stock right now.

Kroger facts

Headquarters (founded)

Cincinnati, Ohio (1883)

Market Cap

$14.46 billion


Food Retail

TTM Revenue

$76 billion


CEO David Dillon (since 2003)

COO Donnie McGeorge (since 2003)

Return on Equity (average last three years)


Dividend Yield



Wal-Mart Stores (NYSE:WMT)

Safeway (NYSE:SWY)

Whole Foods Market (NASDAQ:WFMI)

CAPS members bullish on KR also bullish on

Johnson & Johnson (NYSE:JNJ)

CAPS members bearish on KR also bearish on

Best Buy (NYSE:BBY)

Citigroup (NYSE:C)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 481 of the 533 members who have rated Kroger -- some 90% -- believe the stock will outperform the S&P 500 going forward. These bulls include umemtigers and Junkyardhawg1985.

Late last month, umemtigers wrote, "no matter how bad the economy, people still have to eat. lower commodity costs should help margins. foward eps indicates a p/e of 10 with 10% eps growth and 1.0 peg. you still get a minor 2% yield."

In a pitch from two weeks earlier, Junkyardhawg1985 elaborates on that bargain-based bullishness:

Kroger is not strictly a retailer. ... While the company is priced like that of a retailer, when you buy Kroger stock, you also get a manufacturing business. Finally, over the past few years, the company has wisely used its earnings. They have initiated a dividend, continued to grow the business and bought back shares. Based on past performance by management, I think they will continue to use their earning to enhance shareholder value.

What do you think about Kroger, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 125,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Wal-Mart is a Motley Fool Inside Value pick. Johnson & Johnson is an Income Investor choice. Whole Foods is a selection of Stock Advisor. Best Buy is a choice of both Inside Value and Stock Advisor, and the Fool also owns shares of it. The Fool's disclosure policy always gets a perfect score.