Investing

Kroger, Target Sink into Friday's 52-Week Low Club

June 16, 2017: Here are four stocks trading with heavy volume among 132 equities making new 52-week lows in Friday’s session. On the NYSE, advancers led decliners by a tight 8 to 7 margin and on the Nasdaq, decliners led advancers by almost 4 to 3.

Interestingly, all four of today’s most heavily traded losers were influenced by the Amazon’s acquisition of Whole Foods. The grocery business has been rattled, and that’s a fact.

The Kroger Co. (NYSE: KR) dropped about 3.4% Friday to post a new 52-week low of $20.46 after closing at $21.19 on Thursday. The stock’s 52-week high is $37.97. Volume of about 90 million was nearly 6 times the daily average. The company reported poor earnings and offered weak guidance on Thursday and the Amazon acquisition is adding to the pain.

Target Corp. (NYSE: TGT) dropped about 5.6% Friday to post a new 52-week low of $48.56 after closing at $55.46 on Thursday. The stock’s 52-week high is $79.33. Volume topped 40 million, nearly 5 times the daily average of around 8.6 million shares. The company’s grocery business is now threatened even more than before.

Supervalu Inc. (NYSE: SVU) dropped 13% Friday to post a new 52-week  low of $2.93 after closing Thursday at $3.37. The 52-week high is $5.74. Volume was about 4 times the daily average of about 4.1 million shares. The company had no specific news, but Amazon rules today.

Rite Aid Corp. (NYSE: RAD) posted a new 52-week low of $2.90 on Friday, down about 3% compared with Thursday’s closing price of $2.99. Volume totaled around 16 million shares, about 30% below the daily average of around 24 million. The company had no specific, and is not directly threatened by Amazon’s move, but now that the e-commerce giant is in the grocery business for real, how long before it sets its sights on the pharmacy business?.

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