KR Debt-to-Equity Ratio Analysis

The Debt-to-Equity Ratio compares a company’s total debt to its shareholders’ equity — a ratio of 2.38x means that for every dollar of equity, KR has $2.38 of debt, indicating a higher reliance on borrowed financing.

Among sector peers, the median ratio is 0.73x, and KR’s 2.38x places it in the 90th percentile, meaning 90% of peers have lower leverage. Trend data for the metric is not available: the year-over-year change is listed as N/A, and the quarter-over-quarter change is also N/A. Because there is no trend direction, the analysis focuses only on the current high level relative to peers. This elevated leverage ratio signals higher financial risk, as debt service costs could pressure earnings, but without trend information it is unclear whether leverage is rising or falling. The ratio directly supports the overall CAUTIOUS verdict, since the high debt load compared to the sector median increases the stock’s vulnerability during economic downturns or rising interest rates.

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