Krispy Kreme (NASDAQ:DNUT) Trading 3.5% Higher – Should You Buy?

Krispy Kreme, Inc. (NASDAQ:DNUT) shares rose 3.5% during trading on Monday . The stock traded as high as $3.27 and last traded at $3.26. 1,554,664 shares were traded during trading, a decline of 41% from the average session volume of 2,621,517 shares. The stock had previously closed at $3.15.

Analyst Ratings Changes

A number of analysts have commented on the company. Wall Street Zen raised Krispy Kreme from a “sell” rating to a “hold” rating in a report on Sunday, May 17th. Zacks Research downgraded Krispy Kreme from a “strong-buy” rating to a “hold” rating in a report on Friday, May 15th. Finally, Weiss Ratings reaffirmed a “sell (d)” rating on shares of Krispy Kreme in a research report on Wednesday, June 24th. Two research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and three have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average target price of $4.50.

Krispy Kreme Stock Up 3.5%

The stock has a market cap of $562.02 million, a PE ratio of -1.09 and a beta of 1.26. The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.36 and a current ratio of 0.42. The company’s 50-day moving average price is $3.49 and its 200 day moving average price is $3.47.

Krispy Kreme (NASDAQ:DNUT) last announced its earnings results on Thursday, May 7th. The company reported ($0.05) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by ($0.02). Krispy Kreme had a negative net margin of 33.36% and a negative return on equity of 4.34%. The business had revenue of $367.03 million for the quarter, compared to the consensus estimate of $359.42 million. During the same quarter last year, the firm posted ($0.05) earnings per share. The business’s quarterly revenue was down 2.2% compared to the same quarter last year. As a group, analysts forecast that Krispy Kreme, Inc. will post -0.07 EPS for the current fiscal year.

Insider Buying and Selling at Krispy Kreme

In other Krispy Kreme news, Director Bernardo Hees acquired 235,875 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The stock was purchased at an average price of $3.39 per share, with a total value of $799,616.25. Following the transaction, the director directly owned 1,229,037 shares in the company, valued at approximately $4,166,435.43. The trade was a 23.75% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. In the last 90 days, insiders have acquired 880,190 shares of company stock worth $2,973,833. Company insiders own 1.60% of the company’s stock.

Institutional Investors Weigh In On Krispy Kreme

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Prudential Financial Inc. bought a new stake in shares of Krispy Kreme during the 2nd quarter valued at $32,000. Russell Investments Group Ltd. boosted its holdings in Krispy Kreme by 1,229.5% in the 3rd quarter. Russell Investments Group Ltd. now owns 8,469 shares of the company’s stock worth $33,000 after buying an additional 7,832 shares during the period. Captrust Financial Advisors bought a new position in Krispy Kreme in the 2nd quarter worth $34,000. Apollon Wealth Management LLC bought a new position in Krispy Kreme in the 1st quarter worth $35,000. Finally, Raymond James Financial Inc. purchased a new stake in Krispy Kreme in the 2nd quarter worth $37,000. Institutional investors own 81.72% of the company’s stock.

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.