Heat bacon drippings in a large skillet over medium heat; cook and stir onion until soft and translucent, about 5 minutes.
Place sauerkraut with juice into a large bowl and cover with water. Stir and use your hands to squeeze out as much of the water and juice as possible. Add squeezed sauerkraut to onion.
Stir brown sugar, caraway seeds, chicken stock, and cooking sherry into the sauerkraut mixture. Reduce heat to low and simmer until almost all the liquid has evaporated, 30 to 40 minutes, stirring occasionally.
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