It's not easy to find a sexy supermarket story. In fact, it's not easy to find many sexy retail stories at all these days.
But Kroger is defying the odds.
After going nowhere for a decade, shares of the stock started to march higher at the end of 2012, and they haven't looked back since. Now the stock is sitting at an all-time high, shooting up another 40 percent so far this year.
Despite a highly competitive environment and a consumer who is still reluctant to spend, the company is growing market share and with it, steadily boosting sales. Kroger has delivered 43 straight quarters of rising sales at stores open at least a year, in large part because of its pricing strategy. Management decided to forfeit higher margins for lower, more affordable prices to compete with Wal-Mart and keep its core customer loyal.
"We've invested over $3 billion in pricing when you look at the last seven or eight years. There are a lot of customers whose budgets are tight, and that allows the customer's budget to go a little farther," CEO Rodney McMullen told CNBC.
"So price is just one element of it and our customer-first strategy."