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Special Report These 3 Consumer Stocks Just Authorized Big-Time Buyback ProgramsReported by Leo Miller. Article Published: 12/29/2025. 
In Brief - Kroger, lululemon, and Etsy all expanded share repurchase authorizations large enough to meaningfully support per-share results.
- Kroger holds one of the highest buyback yields in the S&P 500.
- Etsy’s authorization is the biggest relative to company size, making execution on repurchases a key sentiment signal.
Three consumer goods stocks recently announced significant share repurchase authorizations, and all three now have buyback capacity equal to 5% or more of their market capitalization. That capacity can provide a tailwind to per-share metrics such as adjusted earnings per share (EPS) and signals managements' confidence in their outlooks. Here's a look at the recent repurchase news for Kroger (NYSE: KR), lululemon athletica (NASDAQ: LULU), and Etsy (NASDAQ: ETSY). Kroger Boosts Capacity After Aggressive Buyback Spending in 2025 On Dec. 23, the $40 billion consumer staples stock Kroger added $2 billion to its buyback authorization. That brings total buyback capacity to roughly $2.9 billion — about 7.2% of Kroger's market capitalization. Relative to its size, Kroger has been an aggressive buyer of its own shares: the firm has spent more than $6 billion on buybacks over the last 12 months (LTM). After issuing roughly $200 million of shares during the same period, the stock's LTM buyback yield sits at about 14.4%, placing it among the top 10 LTM buyback yields in the S&P 500. Kroger clearly views buybacks as an important way to return capital to shareholders, alongside a solid indicated dividend yield of roughly 2.2% — nearly double the S&P 500 average of about 1.1%. LULU's Tough 2025 Leads to New CEO, New Buybacks lululemon has had a difficult 2025, with the stock down roughly 45% year-to-date (YTD). On Dec. 11, alongside its latest earnings release, the company made two major announcements: CEO Calvin McDonald will step down, and the firm approved a $1 billion buyback program. Combined with remaining capacity, lululemon's total buyback capacity is about $1.6 billion, equal to roughly 6.5% of its $24.5 billion market capitalization. The company's LTM buyback spending is approximately $1.3 billion, so the new authorization gives it the option to continue repurchasing shares at a similar pace to recent periods. While a CEO search and added buybacks could help restore investor confidence, markets will want to see more — notably improved product momentum and execution. With one quarter left in fiscal 2025, lululemon is forecasting annual sales growth of 4%, a sizeable slowdown from 10% last year and nearly 19% the year before. The expanded repurchase authorization may support per-share metrics, but the longer-term market verdict will depend on results and leadership direction. After Post-Earnings Drop, Etsy Now Holds Massive Buyback Capacity Etsy was up nearly 43% in 2025 through Oct. 27, but its earnings report on Oct. 29 prompted a roughly 10% decline, and shares have traded lower since — leaving Etsy up only about 5.4% for the year. Although Etsy beat estimates on both sales and adjusted EPS, management described the outlook for consumer spending as "uncertain" and issued cautious guidance, prompting the sell-off. The company also announced a leadership change: CEO Josh Silverman will step down and Kruti Patel Goyal will replace him. On Dec. 18, Etsy sought to bolster confidence by announcing a new $750 million share repurchase authorization. Including more than $200 million of remaining capacity, total buyback capacity is now roughly $950 million to $1 billion — about 17.7% of its $5.5 billion market capitalization. The company explicitly said it "sees value in our shares." Keep an Eye on Etsy's Repurchases The headline across these companies is simple: buyback capacity has increased enough to move the needle on share count and per-share metrics if managements follow through. Etsy's authorization is the most striking; investors will be watching the company's actual repurchase activity over the next few quarters to assess whether the authorization translates into meaningful buybacks. Strong near-term activity could help rebuild confidence after a choppy spell for the stock. Weak activity, by contrast, may lead the market to view the authorization as more signal than substance.
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