Krispy Kreme (NASDAQ:DNUT) Shares Up 10.4% - Still a Buy?

Krispy Kreme, Inc. (NASDAQ:DNUT - Get Free Report) rose 10.4% during trading on Monday . The stock traded as high as $2.93 and last traded at $2.93. Approximately 3,352,936 shares changed hands during trading, an increase of 24% from the average daily volume of 2,712,680 shares. The stock had previously closed at $2.65.

Analyst Ratings Changes

A number of brokerages recently weighed in on DNUT. Truist Financial cut Krispy Kreme from a "buy" rating to a "hold" rating in a research note on Thursday, May 8th. Citigroup dropped their target price on shares of Krispy Kreme from $4.75 to $3.60 and set a "neutral" rating on the stock in a research report on Friday, May 9th. Finally, JPMorgan Chase & Co. reaffirmed a "neutral" rating on shares of Krispy Kreme in a research note on Wednesday, May 14th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating, three have assigned a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $10.58.

Krispy Kreme Trading Up 1.8%

The company has a quick ratio of 0.28, a current ratio of 0.35 and a debt-to-equity ratio of 0.83. The business has a 50-day moving average of $3.20 and a 200-day moving average of $5.89. The stock has a market cap of $554.30 million, a price-to-earnings ratio of -24.73 and a beta of 1.29.

Krispy Kreme (NASDAQ:DNUT - Get Free Report) last posted its earnings results on Thursday, May 8th. The company reported ($0.05) EPS for the quarter, hitting the consensus estimate of ($0.05). The firm had revenue of $375.18 million for the quarter, compared to the consensus estimate of $383.97 million. Krispy Kreme had a negative net margin of 1.36% and a negative return on equity of 2.13%. The business's quarterly revenue was down 15.2% on a year-over-year basis. During the same period in the prior year, the business posted $0.07 earnings per share. As a group, research analysts forecast that Krispy Kreme, Inc. will post 0.07 earnings per share for the current year.

Insider Activity

In related news, major shareholder Indulgence B.V. Jab sold 694,445 shares of the business's stock in a transaction dated Wednesday, April 23rd. The stock was sold at an average price of $4.32, for a total transaction of $3,000,002.40. Following the completion of the transaction, the insider owned 74,190,990 shares of the company's stock, valued at approximately $320,505,076.80. The trade was a 0.93% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 3.00% of the company's stock.

Institutional Investors Weigh In On Krispy Kreme

Several hedge funds have recently modified their holdings of the business. Rhumbline Advisers raised its position in shares of Krispy Kreme by 2.2% during the fourth quarter. Rhumbline Advisers now owns 119,083 shares of the company's stock valued at $1,182,000 after buying an additional 2,532 shares during the last quarter. Handelsbanken Fonder AB increased its position in shares of Krispy Kreme by 4.4% during the fourth quarter. Handelsbanken Fonder AB now owns 30,800 shares of the company's stock valued at $306,000 after purchasing an additional 1,300 shares during the period. Bank of New York Mellon Corp raised its stake in shares of Krispy Kreme by 20.8% in the fourth quarter. Bank of New York Mellon Corp now owns 546,792 shares of the company's stock valued at $5,430,000 after purchasing an additional 94,000 shares in the last quarter. Edgestream Partners L.P. lifted its position in Krispy Kreme by 158.9% in the fourth quarter. Edgestream Partners L.P. now owns 130,995 shares of the company's stock worth $1,301,000 after purchasing an additional 80,394 shares during the period. Finally, OFI Invest Asset Management acquired a new stake in Krispy Kreme during the fourth quarter worth $431,000. 81.72% of the stock is owned by institutional investors.

Krispy Kreme Company Profile

Krispy Kreme, Inc, together with its subsidiaries, produces doughnuts in the United States, the United Kingdom, Ireland, Australia, New Zealand, Mexico, Canada, Japan, and internationally. The company operates through three segments: U.S., International, and Market Development. The company offers doughnut experiences through hot light theater and fresh shops, delivered fresh daily branded cabinets and merchandising units within grocery and convenience stores, quick service restaurants, club memberships, drug stores, and ecommerce, as well as through its branded sweet treat line comprising Krispy Kreme branded sweet treats.