Krispy Kreme, Inc. (NASDAQ:DNUT) Given Consensus Recommendation of “Reduce” by Brokerages

Krispy Kreme, Inc. (NASDAQ:DNUT) has been assigned a consensus recommendation of “Reduce” from the five analysts that are covering the firm, Marketbeat reports. Three equities research analysts have rated the stock with a sell rating and two have issued a buy rating on the company. The average twelve-month price target among brokers that have issued ratings on the stock in the last year is $4.3333.

Several equities analysts have recently issued reports on DNUT shares. Zacks Research lowered Krispy Kreme from a “hold” rating to a “strong sell” rating in a research report on Thursday, August 6th. Wall Street Zen downgraded Krispy Kreme from a “hold” rating to a “sell” rating in a research note on Saturday, August 8th. Weiss Ratings raised shares of Krispy Kreme from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Wednesday. Finally, Evercore set a $4.00 target price on Krispy Kreme in a research report on Friday, August 7th.

Krispy Kreme Price Performance

Krispy Kreme stock opened at $3.47 on Friday. Krispy Kreme has a 12-month low of $2.88 and a 12-month high of $5.11. The business’s 50-day simple moving average is $3.36 and its 200 day simple moving average is $3.42. The company has a quick ratio of 0.29, a current ratio of 0.36 and a debt-to-equity ratio of 1.28. The stock has a market cap of $598.23 million, a price-to-earnings ratio of -6.20 and a beta of 1.27.

Krispy Kreme (NASDAQ:DNUT) last posted its quarterly earnings results on Thursday, August 6th. The company reported ($0.03) earnings per share for the quarter, hitting analysts’ consensus estimates of ($0.03). The business had revenue of $331.00 million during the quarter, compared to the consensus estimate of $303.35 million. Krispy Kreme had a negative net margin of 6.16% and a negative return on equity of 1.17%. Krispy Kreme’s revenue for the quarter was down 12.8% compared to the same quarter last year. During the same period in the previous year, the firm posted ($0.15) earnings per share. As a group, research analysts anticipate that Krispy Kreme will post -0.07 earnings per share for the current year.

Insider Buying and Selling at Krispy Kreme

In other news, Director Bernardo Hees bought 235,875 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was acquired at an average cost of $3.39 per share, with a total value of $799,616.25. Following the completion of the purchase, the director owned 1,229,037 shares of the company’s stock, valued at $4,166,435.43. This represents a 23.75% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which can be accessed through this link. Insiders have acquired 655,113 shares of company stock valued at $2,205,191 over the last three months. 1.60% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. California State Teachers Retirement System increased its stake in shares of Krispy Kreme by 281.2% during the 2nd quarter. California State Teachers Retirement System now owns 294,610 shares of the company’s stock worth $1,040,000 after purchasing an additional 217,327 shares during the last quarter. AXQ Capital LP grew its holdings in Krispy Kreme by 44.5% during the second quarter. AXQ Capital LP now owns 22,600 shares of the company’s stock worth $80,000 after purchasing an additional 6,955 shares during the period. Two Sigma Securities LLC bought a new position in Krispy Kreme during the second quarter worth about $120,000. Empowered Funds LLC acquired a new position in Krispy Kreme during the second quarter worth approximately $175,000. Finally, Coastal Bridge Advisors LLC acquired a new position in Krispy Kreme during the second quarter worth approximately $37,000. Institutional investors own 81.72% of the company’s stock.

Krispy Kreme Company Profile

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.