Citigroup Issues Positive Forecast for Krispy Kreme (NASDAQ:DNUT) Stock Price

Key Points

• Citigroup raised its Krispy Kreme price target from $4.00 to $4.80 but kept a neutral rating, implying about 18% upside from the stock’s then-current price.
• Analyst sentiment remains cautious overall: MarketBeat reported a consensus “Reduce” rating and an average price target of $4.45.
• Krispy Kreme beat quarterly EPS and revenue estimates, but revenue fell 12.4% year over year; shares declined 2.5% on Monday.

Krispy Kreme (NASDAQ:DNUT - Get Free Report) had its target price upped by investment analysts at Citigroup from $4.00 to $4.80 in a research report issued to clients and investors on Monday, Benzinga reports. The brokerage currently has a "neutral" rating on the stock. Citigroup's target price would indicate a potential upside of 18.08% from the company's current price.

Several other research analysts have also recently issued reports on DNUT. Evercore set a $4.00 target price on shares of Krispy Kreme in a report on Friday, August 7th. Zacks Research upgraded shares of Krispy Kreme from a "strong sell" rating to a "hold" rating in a report on Tuesday, October 27th. Weiss Ratings cut shares of Krispy Kreme from a "sell (d-)" rating to a "sell (e+)" rating in a research report on Friday, October 16th. Finally, Wall Street Zen raised shares of Krispy Kreme from a "sell" rating to a "hold" rating in a report on Saturday. One research analyst has rated the stock with a Buy rating, two have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Reduce" and a consensus target price of $4.45.

Krispy Kreme Trading Down 2.5%

NASDAQ DNUT traded down $0.10 during trading on Monday, hitting $4.07. 1,546,272 shares of the company's stock traded hands, compared to its average volume of 2,705,200. The stock has a fifty day moving average of $3.14 and a two-hundred day moving average of $3.34. The company has a debt-to-equity ratio of 1.28, a current ratio of 0.36 and a quick ratio of 0.29. Krispy Kreme has a 12-month low of $2.81 and a 12-month high of $5.03. The firm has a market cap of $700.81 million, a P/E ratio of -7.67 and a beta of 1.29.

Krispy Kreme (NASDAQ:DNUT - Get Free Report) last released its quarterly earnings data on Thursday, November 5th. The company reported $0.06 EPS for the quarter, topping the consensus estimate of $0.01 by $0.05. Krispy Kreme had a negative return on equity of 0.28% and a negative net margin of 5.94%. The firm had revenue of $328.76 million for the quarter, compared to the consensus estimate of $311.41 million. During the same quarter in the previous year, the business earned $0.01 earnings per share. The company's quarterly revenue was down 12.4% on a year-over-year basis. As a group, sell-side analysts expect that Krispy Kreme will post -0.06 EPS for the current year.

Institutional Trading of Krispy Kreme

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Allworth Financial LP purchased a new stake in Krispy Kreme in the second quarter worth about $25,000. State of Alaska Department of Revenue bought a new stake in Krispy Kreme during the 3rd quarter valued at approximately $27,000. Coastal Bridge Advisors LLC purchased a new position in shares of Krispy Kreme during the 2nd quarter worth approximately $37,000. Ground Swell Capital LLC purchased a new position in shares of Krispy Kreme during the 3rd quarter worth approximately $32,000. Finally, Sequoia Financial Advisors LLC purchased a new position in shares of Krispy Kreme in the 2nd quarter valued at approximately $56,000. Hedge funds and other institutional investors own 81.72% of the company's stock.

Krispy Kreme Company Profile

Krispy Kreme, Inc is a global doughnut and coffee company best known for its Original Glazed doughnuts. The company sells doughnuts, packaged sweets, coffee and other beverages through Krispy Kreme shops, in-store retail displays and digital ordering channels.

Krispy Kreme operates a hub-and-spoke distribution model that combines doughnut-making hubs and shops with delivery to grocery stores, convenience stores and other retail locations. Its products are also distributed through partnerships and branded locations, allowing the company to expand its reach beyond traditional Krispy Kreme shops.

Founded in 1937 in Winston-Salem, North Carolina, by Vernon Rudolph, Krispy Kreme has grown into an international brand serving customers in the United States and various markets across North America, Europe, Asia and Oceania.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.