Krispy Kreme (NASDAQ:DNUT) Trading Up 6% – Time to Buy?

Krispy Kreme, Inc. (NASDAQ:DNUT)’s share price rose 6% during mid-day trading on Monday . The company traded as high as $3.78 and last traded at $3.8260. 726,366 shares changed hands during trading, a decline of 68% from the average daily volume of 2,282,628 shares. The stock had previously closed at $3.61.

Analyst Upgrades and Downgrades

DNUT has been the topic of several research reports. Morgan Stanley reiterated an “underweight” rating and set a $3.00 price objective on shares of Krispy Kreme in a report on Tuesday, January 20th. Zacks Research upgraded Krispy Kreme from a “hold” rating to a “strong-buy” rating in a research note on Friday, March 27th. Weiss Ratings reaffirmed a “sell (d)” rating on shares of Krispy Kreme in a research report on Friday, March 27th. Capital One Financial raised Krispy Kreme from an “equal weight” rating to an “overweight” rating and set a $6.00 price target on the stock in a research note on Thursday, March 26th. Finally, Wall Street Zen raised Krispy Kreme from a “sell” rating to a “hold” rating in a research note on Sunday, February 22nd. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, three have assigned a Hold rating and three have assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $4.85.

Krispy Kreme Trading Up 7.9%

The stock has a market capitalization of $670.72 million, a PE ratio of -1.28 and a beta of 1.27. The firm has a 50-day moving average price of $3.33 and a 200-day moving average price of $3.68. The company has a current ratio of 0.38, a quick ratio of 0.32 and a debt-to-equity ratio of 1.40.

Krispy Kreme (NASDAQ:DNUT) last posted its quarterly earnings data on Thursday, February 26th. The company reported $0.09 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.03 by $0.06. The business had revenue of $392.37 million during the quarter, compared to the consensus estimate of $386.72 million. Krispy Kreme had a negative net margin of 33.87% and a negative return on equity of 3.66%. The firm’s quarterly revenue was down 2.9% compared to the same quarter last year. During the same quarter last year, the company posted $0.01 earnings per share. As a group, equities analysts forecast that Krispy Kreme, Inc. will post 0.07 EPS for the current fiscal year.

Hedge Funds Weigh In On Krispy Kreme

Several large investors have recently modified their holdings of DNUT. SG Americas Securities LLC boosted its holdings in shares of Krispy Kreme by 53.0% in the third quarter. SG Americas Securities LLC now owns 1,199,552 shares of the company’s stock worth $4,642,000 after acquiring an additional 415,416 shares during the period. Divisadero Street Capital Management LP lifted its holdings in Krispy Kreme by 117.9% during the 3rd quarter. Divisadero Street Capital Management LP now owns 1,089,341 shares of the company’s stock worth $4,216,000 after purchasing an additional 589,341 shares in the last quarter. Russell Investments Group Ltd. boosted its stake 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 purchasing an additional 7,832 shares during the period. Prudential Financial Inc. purchased a new position in Krispy Kreme during the 2nd quarter valued at about $32,000. Finally, Alpine Global Management LLC purchased a new stake in shares of Krispy Kreme in the fourth quarter worth about $92,000. Hedge funds and other 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.