Krispy Kreme (NASDAQ:DNUT) Trading Up 11.5% - Here's Why

Krispy Kreme, Inc. (NASDAQ:DNUT - Get Free Report)'s stock price was up 11.5% during trading on Tuesday . The stock traded as high as $3.61 and last traded at $3.64. Approximately 1,281,879 shares changed hands during trading, a decline of 54% from the average daily volume of 2,802,115 shares. The stock had previously closed at $3.26.

Analysts Set New Price Targets

Several equities research analysts recently commented on DNUT shares. Citigroup cut 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. Bank of America cut their target price on shares of Krispy Kreme from $7.00 to $6.00 and set a "buy" rating on the stock in a research report on Friday. Morgan Stanley dropped their price target on shares of Krispy Kreme from $3.00 to $2.50 and set an "overweight" rating on the stock in a research report on Monday, July 14th. BNP Paribas Exane downgraded shares of Krispy Kreme from an "outperform" rating to a "neutral" rating and set a $3.50 price target on the stock. in a research report on Monday. Finally, JPMorgan Chase & Co. restated a "neutral" rating on shares of Krispy Kreme in a research report on Wednesday, May 14th. Five equities research analysts have rated the stock with a hold rating, four have given a buy rating and one has assigned a strong buy rating to the company's stock. Based on data from MarketBeat.com, Krispy Kreme currently has an average rating of "Moderate Buy" and an average target price of $8.29.

Krispy Kreme Price Performance

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's 50-day simple moving average is $2.98 and its 200 day simple moving average is $5.28. The firm has a market capitalization of $669.67 million, a P/E ratio of -30.58 and a beta of 1.29.

Krispy Kreme (NASDAQ:DNUT - Get Free Report) last issued its earnings results on Thursday, May 8th. The company reported ($0.05) earnings per share (EPS) for the quarter, hitting the consensus estimate of ($0.05). The firm had revenue of $375.18 million for the quarter, compared to analysts' expectations 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 revenue was down 15.2% on a year-over-year basis. During the same quarter last year, the business earned $0.07 earnings per share. Sell-side analysts forecast that Krispy Kreme, Inc. will post 0.07 earnings per share for the current year.

Insiders Place Their Bets

In other Krispy Kreme news, major shareholder Indulgence B.V. Jab sold 694,445 shares of the stock in a transaction on Wednesday, April 23rd. The stock was sold at an average price of $4.32, for a total value of $3,000,002.40. Following the sale, the insider owned 74,190,990 shares in the company, valued at $320,505,076.80. This trade represents a 0.93% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders own 3.00% of the company's stock.

Institutional Investors Weigh In On Krispy Kreme

A number of institutional investors have recently added to or reduced their stakes in DNUT. Spartan Fund Management Inc. lifted its holdings in shares of Krispy Kreme by 150.0% during the fourth quarter. Spartan Fund Management Inc. now owns 5,000 shares of the company's stock worth $50,000 after purchasing an additional 3,000 shares during the period. GAMMA Investing LLC raised its position in Krispy Kreme by 1,440.9% during the first quarter. GAMMA Investing LLC now owns 9,338 shares of the company's stock valued at $46,000 after acquiring an additional 8,732 shares in the last quarter. Malaga Cove Capital LLC purchased a new stake in shares of Krispy Kreme in the first quarter valued at approximately $51,000. Teacher Retirement System of Texas purchased a new stake in shares of Krispy Kreme in the first quarter valued at approximately $61,000. Finally, Ameriprise Financial Inc. purchased a new stake in shares of Krispy Kreme in the fourth quarter valued at approximately $128,000. Institutional investors own 81.72% of the company's stock.

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.

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