Analysts expect Albertsons to sell banners or real estate

Albertsons cut its initial fiscal-year view in July and pulled the forecast altogether on Tuesday, saying it would not provide an updated outlook until it completes a comprehensive review of its business during the fourth quarter.

Whitman, the former CEO of eBay and Hewlett Packard, came to Albertsons one month ago to help the management team with strategy. On Tuesday’s earnings call, she acknowledged the company’s performance problems alongside the announcement of the strategic review.

“Our performance has fallen short,” Whitman said. “Everything should be on the table as we figure out how Albertsons should be structured to better compete in the years ahead.”

The Idaho-based grocer’s struggles illustrate broader problems in the supermarket industry. With food prices rising, shoppers are cutting back on trips and spending. Costs for everything from energy to labor are surging. The company’s stock is down about 26% so far this year and is on pace for its worst year since 2022.

Albertsons’ difficulties after the collapse of the Kroger deal were predicted by its former CEO, Vivek Sankaran, in federal court in Portland, Oregon, in 2024. Sankaran testified that the supermarket chain would close stores or lay off workers if a judge rejected the takeover, citing rising competition and mounting economic pressures.

“The grocery business is a zero-sum game in America,” Sankaran said in court.

Executives at Albertsons have said that the two years spent pursuing the $20 billion merger with Kroger put the company behind on key business decisions, such as closing or investing in underperforming stores.

Albertsons operates about 2,200 stores across brands including Safeway, Jewel-Osco and ACME, primarily concentrated in the western half of the country, the Northeast and Chicago.

Analysts expect the strategic review to lead Albertsons back to the merger and acquisition market for the first time since the failed Kroger deal. “We wouldn’t be surprised if [Albertsons] attempts to sell banners/certain regions or real estate,” said Kelly Bania of BMO Capital Markets.

Whitman indicated the scope of the review would be broad. “We must also take a close look at our portfolio of banners, markets, assets and businesses, as well as potential strategic actions we can take to enhance shareholder value,” she said. “Dramatic improvement is needed now.”

The article appeared in The Wall Street Journal’s October 14, 2026, print edition as “Albertsons Again Is Seeking a Buyer.”