Krispy Kreme (NASDAQ:DNUT) Reaches New 1-Year Low – Here’s Why

Krispy Kreme, Inc. (NASDAQ:DNUT)’s stock price hit a new 52-week low on Tuesday . The company traded as low as $5.76 and last traded at $5.70, with a volume of 699669 shares. The stock had previously closed at $5.90.

Analyst Upgrades and Downgrades

DNUT has been the topic of a number of recent research reports. Morgan Stanley downgraded shares of Krispy Kreme from an “equal weight” rating to an “underweight” rating and reduced their price target for the stock from $12.00 to $6.00 in a research report on Wednesday, February 26th. Piper Sandler dropped their price objective on shares of Krispy Kreme from $18.00 to $12.00 and set an “overweight” rating on the stock in a research note on Wednesday, February 26th. Finally, Truist Financial restated a “buy” rating and issued a $12.00 target price (down from $15.00) on shares of Krispy Kreme in a research note on Wednesday, February 26th. One analyst has rated the stock with a sell rating, two have assigned a hold rating, five have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, Krispy Kreme has a consensus rating of “Moderate Buy” and a consensus target price of $13.13.

Krispy Kreme Stock Down 1.4 %

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 firm’s 50 day simple moving average is $8.29 and its 200 day simple moving average is $10.04. The company has a market cap of $931.54 million, a price-to-earnings ratio of 32.03, a price-to-earnings-growth ratio of 3.24 and a beta of 1.41.

Krispy Kreme (NASDAQ:DNUT) last announced its 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). Krispy Kreme had a net margin of 1.64% and a return on equity of 0.53%. The business had revenue of $404.00 million for the quarter, compared to the consensus estimate of $413.18 million. During the same period in the previous year, the firm earned $0.09 EPS. The firm’s revenue was down 10.4% on a year-over-year basis. Sell-side analysts anticipate that Krispy Kreme, Inc. will post 0.07 EPS for the current fiscal year.

Krispy Kreme Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, May 7th. Shareholders of record on Wednesday, April 23rd will be given a $0.035 dividend. The ex-dividend date of this dividend is Wednesday, April 23rd. This represents a $0.14 dividend on an annualized basis and a yield of 2.56%. Krispy Kreme’s dividend payout ratio (DPR) is 700.00%.

Hedge Funds Weigh In On Krispy Kreme

Hedge funds have recently modified their holdings of the company. BNP Paribas Financial Markets bought a new position in Krispy Kreme during the fourth quarter valued at about $152,305,000. Bamco Inc. NY boosted its position in shares of Krispy Kreme by 24.7% during the 4th quarter. Bamco Inc. NY now owns 13,069,717 shares of the company’s stock valued at $129,782,000 after purchasing an additional 2,588,398 shares in the last quarter. Cooper Creek Partners Management LLC grew its stake in shares of Krispy Kreme by 43.0% in the 4th quarter. Cooper Creek Partners Management LLC now owns 7,264,760 shares of the company’s stock worth $72,139,000 after purchasing an additional 2,186,136 shares during the last quarter. Banco Santander S.A. raised its holdings in shares of Krispy Kreme by 0.3% in the 3rd quarter. Banco Santander S.A. now owns 6,916,972 shares of the company’s stock worth $74,288,000 after purchasing 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 valued at $41,614,000 after purchasing an additional 333,764 shares during the last quarter. 81.72% of the stock is currently owned by institutional investors and hedge funds.

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.