Krispy Kreme (NASDAQ:DNUT) Stock Price Down 10.6% – Here’s Why

Krispy Kreme, Inc. (NASDAQ:DNUT)’s share price dropped 10.6% during trading on Wednesday . The company traded as low as $3.90 and last traded at $3.8550. Approximately 2,324,148 shares traded hands during mid-day trading, an increase of 0% from the average daily volume of 2,314,870 shares. The stock had previously closed at $4.31.

Analysts Set New Price Targets

Several analysts have issued reports on DNUT shares. Singular Research raised shares of Krispy Kreme to a “moderate buy” rating in a research note on Wednesday, October 22nd. Zacks Research upgraded Krispy Kreme from a “strong sell” rating to a “hold” rating in a report on Monday, December 22nd. Capital One Financial reduced their price objective on Krispy Kreme from $6.00 to $4.00 and set an “equal weight” rating for the company in a research note on Thursday, October 2nd. Weiss Ratings restated a “sell (d)” rating on shares of Krispy Kreme in a research report on Monday, December 29th. Finally, Wall Street Zen cut Krispy Kreme from a “hold” rating to a “sell” rating in a research note on Saturday, January 3rd. Four investment analysts have rated the stock with a Buy rating, six have issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, Krispy Kreme has a consensus rating of “Hold” and a consensus price target of $5.51.

Krispy Kreme Stock Down 1.6%

The company has a debt-to-equity ratio of 1.31, a current ratio of 0.36 and a quick ratio of 0.30. The business has a 50 day simple moving average of $4.17 and a 200 day simple moving average of $3.74. The stock has a market cap of $621.82 million, a PE ratio of -1.21 and a beta of 1.32.

Krispy Kreme (NASDAQ:DNUT) last posted its quarterly earnings results on Thursday, November 6th. The company reported $0.01 earnings per share for the quarter, topping analysts’ consensus estimates of ($0.06) by $0.07. The company had revenue of $375.30 million during the quarter, compared to the consensus estimate of $378.29 million. Krispy Kreme had a negative return on equity of 5.13% and a negative net margin of 33.27%.The business’s quarterly revenue was down 1.2% on a year-over-year basis. During the same period last year, the business earned ($0.01) EPS. On average, equities research analysts forecast that Krispy Kreme, Inc. will post 0.07 EPS for the current fiscal year.

Institutional Trading of Krispy Kreme

Several large investors have recently added to or reduced their stakes in DNUT. AQR Capital Management LLC bought a new position in shares of Krispy Kreme during the 1st quarter valued at $217,000. Millennium Management LLC increased its position in Krispy Kreme by 522.1% during the first quarter. Millennium Management LLC now owns 2,093,416 shares of the company’s stock worth $10,300,000 after buying an additional 1,756,932 shares during the last quarter. Rhumbline Advisers raised its holdings in Krispy Kreme by 3.2% during the first quarter. Rhumbline Advisers now owns 122,856 shares of the company’s stock valued at $604,000 after buying an additional 3,773 shares in the last quarter. AFG Fiduciary Services Limited Partnership acquired a new stake in shares of Krispy Kreme in the second quarter worth about $81,000. Finally, Counterpoint Mutual Funds LLC bought a new stake in shares of Krispy Kreme during the 2nd quarter worth about $333,000. 81.72% of the stock is owned by institutional investors.

About Krispy Kreme

Krispy Kreme Doughnuts, Inc (NASDAQ: DNUT) is a global retailer and wholesaler renowned for its signature Original Glazed doughnut and a variety of other sweet treats. The company operates through a combination of company-owned stores, franchise outlets and strategic partnerships with supermarkets, convenience stores and other foodservice channels. In addition to its doughnut portfolio, Krispy Kreme offers freshly brewed coffee, assorted beverages and proprietary seasonal items designed to drive traffic and foster brand loyalty.

Founded in 1937 in Winston-Salem, North Carolina, by Vernon Rudolph, Krispy Kreme has grown from a single local shop to a multinational brand.