Kroger brand products are almost always cheaper than their big name counterparts, and their popularity has been growing. It could be another strong quarter for the company, as its CEO David B. Dillon stated in a recent interview that consumers have started to buy the products that they need, and not necessarily those items that they want. This is most certainly a trend that benefits chains like Kroger.

Wall Street is looking to see Kroger show earnings of 61 cents per share. If the company is able to beat analyst estimates, it would mark the eleventh straight quarter that Kroger has been able to outpace analyst estimates.

Overall, analysts seem to be expecting another solid quarter from the quarter.

Scott A. Mushkin, a Jefferies and Co. analyst, is positive on the stock, and gives it a "buy" rating. Last week, he sent out a note to his clients stating that "Kroger has benefited from consumers seeking better value", but did go on to caution that "the current climate looks to be weighing on all retailers, with negative implications even for stronger players."

So far, Kroger has been able to handle the current recession better than most. Its first quarter should be strong, and I would not be surprised to see it post another better than expected earnings report.

The company is also involved in a union dispute that has the potential of getting out hand if not handled quickly. One of its banner stores, King Soopers in Denver, recently asked a Federal judge to prohibit union officials from entering its stores. Employees recently shot down a five- year proposal, and negotiations are still on going. We should hear a little something on this in the morning.

What are your predictions for Kroger? Should we expect an eleventh straight month of topping estimates, or will its luck run out this time?