Krispy Kreme (NASDAQ:DNUT) Shares Up 6.3% – Here’s What Happened

Krispy Kreme, Inc. (NASDAQ:DNUT)’s share price traded up 6.3% during trading on Thursday . The company traded as high as $6.39 and last traded at $6.35. 4,800,603 shares changed hands during trading, an increase of 89% from the average session volume of 2,541,822 shares. The stock had previously closed at $5.97.

Analyst Upgrades and Downgrades

A number of analysts recently commented on the company. JPMorgan Chase & Co. dropped their price target on Krispy Kreme from $14.00 to $13.00 and set an “overweight” rating on the stock in a report on Tuesday, November 12th. Truist Financial reiterated a “buy” rating and set a $12.00 price target (down from $15.00) on shares of Krispy Kreme in a report on Wednesday. Morgan Stanley lowered Krispy Kreme from an “equal weight” rating to an “underweight” rating and dropped their price target for the stock from $12.00 to $6.00 in a report on Wednesday. Finally, Piper Sandler dropped their price target on Krispy Kreme from $18.00 to $12.00 and set an “overweight” rating on the stock in a report on Wednesday. One research analyst has rated the stock with a sell rating, two have issued a hold rating, five have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat, Krispy Kreme currently has a consensus rating of “Moderate Buy” and an average target price of $13.13.

Krispy Kreme Stock Performance

The company has a market capitalization of $1.06 billion, a PE ratio of 36.53, a PEG ratio of 3.24 and a beta of 1.34. The company has a quick ratio of 0.28, a current ratio of 0.35 and a debt-to-equity ratio of 0.67. The company has a 50-day moving average price of $8.90 and a two-hundred day moving average price of $10.32.

Krispy Kreme (NASDAQ:DNUT) last announced its quarterly earnings results on Tuesday, February 25th. The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.10 by ($0.09). The company had revenue of $404.00 million during the quarter, compared to analysts’ expectations of $413.18 million. Krispy Kreme had a net margin of 1.64% and a return on equity of 0.53%. Krispy Kreme’s revenue for the quarter was down 10.4% compared to the same quarter last year. During the same quarter last year, the firm posted $0.09 earnings per share. Analysts predict that Krispy Kreme, Inc. will post 0.07 EPS for the current fiscal year.

Krispy Kreme Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, May 7th. Investors of record on Wednesday, April 23rd will be given a dividend of $0.035 per share. This represents a $0.14 annualized dividend and a yield of 2.25%. The ex-dividend date is Wednesday, April 23rd. Krispy Kreme’s payout ratio is 82.35%.

Hedge Funds Weigh In On Krispy Kreme

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. BNP Paribas Financial Markets purchased a new position in Krispy Kreme during the fourth quarter worth about $152,305,000. Bamco Inc. NY grew its position in Krispy Kreme by 24.7% during the fourth quarter. Bamco Inc. NY now owns 13,069,717 shares of the company’s stock worth $129,782,000 after buying an additional 2,588,398 shares in the last quarter. Cooper Creek Partners Management LLC grew its position in Krispy Kreme by 43.0% during the fourth quarter. Cooper Creek Partners Management LLC now owns 7,264,760 shares of the company’s stock worth $72,139,000 after buying an additional 2,186,136 shares in the last quarter. Banco Santander S.A. grew its position in Krispy Kreme by 0.3% during the third quarter. Banco Santander S.A. now owns 6,916,972 shares of the company’s stock worth $74,288,000 after buying an additional 21,723 shares in the last quarter. Finally, Dimensional Fund Advisors LP lifted its stake in Krispy Kreme by 8.7% during the fourth quarter. Dimensional Fund Advisors LP now owns 4,191,111 shares of the company’s stock worth $41,614,000 after purchasing an additional 333,764 shares during the last quarter. 81.72% of the stock is currently owned by hedge funds and other institutional investors.

About Krispy Kreme

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.