I conclude that Kroger lacks the cash to buy back stocks. Frighteningly, Kroger could also lack the cash to pay a modest hero bonus to employees risking their lives.Read more
This news story shows the sick priorities of America’s so-called leaders. Our leaders demonstrate that politics are now more important to our leaders than the health, security, and safety of ordinary Americans.Read more
Buffett is showing his contrarian views here by rejecting the conventional wisdom that Apple is the future and Kroger is the past. Additionally, Buffett is selling an expensive stock for cash. Mr. Market was paying $324.95 a share for Apple on 14 February 2020. I think Buffett thinks Mr. overprices Apple, and I agree.Read more
The risks Kroger is taking are great, but those risks are far smaller than the gamble Jeff Bezos took on robots. Amazon proves the fulfillment center and robot strategy works.Read more
Kroger wants Ocado’s help because its revenues are shrinking. Specifically, Kroger reports revenues of $121.162 billion for 2018. That number is down from $122.662 billion in 2017.Read more
GrubHub threatens Kroger (NYSE: KR) because of the size of its footprint and growth. For instance, GrubHub claims to serve over 1,700 American cities and 95,000 restaurants.Read more
The technological unemployment jobs apocalypse is coming to Middle America. Kroger (KR) and Britain’s Ocado Group PLC (LSE: OCDO) willRead more
A Kroger/Walgreen hybrid is an obvious use of the capabilities provided by Ocado. A robotic fulfillment center could obviously support both Kroger supermarkets and Walgreen drugstores.
Moreover, a Walgreen drugstore is a logical addition to the 2,782 supermarkets Kroger operates. In addition, Kroger food brands like Simple Truth will be a logical addition to Walgreens inventory.
Importantly, Kroger operates 37 food manufacturing facilities across the United States. Therefore, Kroger offers Walgreens a source of low-priced food products to counter Amazon’s discounting.
Equally important is Kroger’s ability to provide hot takeout meals, meal kits, deli foods, and hot entrees to Walgreen. Markedly, Kroger has a good relationship with the delivery specialist Instacart.
Additionally, an obvious use for Instacart is delivery of Walgreens prescriptions. America’s growing legion of senior citizens will be obvious customers for prescription delivery.
In addition, Nuro’s self-driving Toyota Prius cars will make some deliveries. Delivery reportedly costs $5.96 per order and is only available from one Fry’s store.
This is the second self-driving vehicle delivery effort associated with Kroger. The Ocado Group Group PLC (LON: OCDO) is reportedly testing a self-driving delivery van in London. Kroger purchased 6% of Ocado last year.
Normally nobody would ask if a company that reported $122.662 billion in revenues last year can survive. We are notRead more