Krispy Kreme (NASDAQ:DNUT) Shares Gap Down – What’s Next?

Krispy Kreme, Inc. (NASDAQ:DNUT)’s stock price gapped down before the market opened on Thursday . The stock had previously closed at $12.42, but opened at $11.22. Krispy Kreme shares last traded at $11.24, with a volume of 1,060,646 shares traded.

Analyst Upgrades and Downgrades

A number of research firms have commented on DNUT. Evercore ISI restated an “in-line” rating and set a $13.00 price target on shares of Krispy Kreme in a research note on Tuesday, August 27th. HSBC upgraded Krispy Kreme from a “hold” rating to a “buy” rating and set a $14.00 price target on the stock in a research note on Tuesday, July 23rd. Bank of America upped their price target on Krispy Kreme from $15.00 to $16.00 and gave the stock a “buy” rating in a research note on Tuesday, October 22nd. Morgan Stanley began coverage on Krispy Kreme in a research note on Tuesday. They set an “equal weight” rating and a $14.00 price target on the stock. Finally, Hsbc Global Res upgraded Krispy Kreme from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 23rd. Four equities research analysts have rated the stock with a hold rating, five have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, Krispy Kreme currently has an average rating of “Moderate Buy” and an average target price of $15.67.

Krispy Kreme Stock Down 3.6 %

The business has a 50-day moving average price of $11.40 and a two-hundred day moving average price of $11.26. The company has a quick ratio of 0.26, a current ratio of 0.34 and a debt-to-equity ratio of 0.73. The firm has a market cap of $2.03 billion, a PE ratio of -39.33, a price-to-earnings-growth ratio of 2.98 and a beta of 1.39.

Krispy Kreme (NASDAQ:DNUT) last posted its quarterly earnings data on Thursday, August 8th. The company reported $0.05 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.05. Krispy Kreme had a positive return on equity of 1.12% and a negative net margin of 2.98%. The business had revenue of $438.80 million for the quarter, compared to analyst estimates of $435.43 million. During the same quarter in the prior year, the company earned $0.04 earnings per share. The company’s revenue was up 7.3% on a year-over-year basis. On average, equities research analysts expect that Krispy Kreme, Inc. will post 0.13 EPS for the current year.

Krispy Kreme Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, November 6th. Stockholders of record on Wednesday, October 23rd were given a dividend of $0.035 per share. This represents a $0.14 dividend on an annualized basis and a dividend yield of 1.17%. The ex-dividend date of this dividend was Wednesday, October 23rd. Krispy Kreme’s dividend payout ratio is currently -46.67%.

Hedge Funds Weigh In On Krispy Kreme

Several large investors have recently bought and sold shares of the business. Bamco Inc. NY increased its holdings in Krispy Kreme by 2.6% in the first quarter. Bamco Inc. NY now owns 9,734,467 shares of the company’s stock valued at $148,305,000 after buying an additional 246,600 shares during the last quarter. Vanguard Group Inc. increased its holdings in Krispy Kreme by 0.8% in the first quarter. Vanguard Group Inc. now owns 8,548,548 shares of the company’s stock valued at $130,237,000 after buying an additional 67,130 shares during the last quarter. Dimensional Fund Advisors LP increased its holdings in Krispy Kreme by 38.1% in the second quarter. Dimensional Fund Advisors LP now owns 3,779,882 shares of the company’s stock valued at $40,670,000 after buying an additional 1,042,345 shares during the last quarter. Millennium Management LLC increased its holdings in Krispy Kreme by 136.7% in the second quarter. Millennium Management LLC now owns 3,500,855 shares of the company’s stock valued at $37,669,000 after buying an additional 2,021,974 shares during the last quarter. Finally, Samlyn Capital LLC increased its holdings in Krispy Kreme by 120.5% in the second quarter. Samlyn Capital LLC now owns 2,230,176 shares of the company’s stock valued at $23,997,000 after buying an additional 1,218,699 shares during the last quarter. Hedge funds and other institutional investors own 81.72% of the company’s stock.

Krispy Kreme Company Profile

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.