Krispy Kreme, Inc. (NASDAQ:DNUT – Get Free Report) gapped up prior to trading on Friday after an insider bought additional shares in the company. The stock had previously closed at $3.27, but opened at $3.55. Krispy Kreme shares last traded at $3.5350, with a volume of 1,096,328 shares.
Specifically, Director Bernardo Hees bought 150,000 shares of the firm’s stock in a transaction on Thursday, June 4th. The shares were bought at an average cost of $3.29 per share, for a total transaction of $493,500.00. Following the transaction, the director owned 1,549,633 shares of the company’s stock, valued at approximately $5,098,292.57. This trade represents a 10.72% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Bernardo Hees purchased 170,596 shares of the stock in a transaction dated Wednesday, June 3rd. The shares were bought at an average cost of $3.35 per share, for a total transaction of $571,496.60. Following the completion of the purchase, the director owned 1,399,633 shares in the company, valued at approximately $4,688,770.55. This trade represents a 13.88% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In related news, Director Bernardo Hees purchased 235,875 shares of the business’s stock in a transaction dated Tuesday, June 2nd. The stock was acquired at an average price of $3.39 per share, for a total transaction of $799,616.25. Following the acquisition, the director directly owned 1,229,037 shares of the company’s stock, valued at $4,166,435.43. This trade represents a 23.75% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website.
Wall Street Analysts Forecast Growth
A number of analysts recently commented on DNUT shares. Wall Street Zen raised shares of Krispy Kreme from a “sell” rating to a “hold” rating in a report on Sunday, May 17th. Capital One Financial upgraded shares of Krispy Kreme from an “equal weight” rating to an “overweight” rating and set a $6.00 price target for the company in a research report on Thursday, March 26th. Weiss Ratings reissued a “sell (d)” rating on shares of Krispy Kreme in a research note on Friday, March 27th. Finally, Zacks Research cut Krispy Kreme from a “strong-buy” rating to a “hold” rating in a report on Friday, May 15th. Three research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $4.63.
Key Headlines Impacting Krispy Kreme
Here are the key news stories impacting Krispy Kreme this week:
- Positive Sentiment: Director Bernardo Hees made multiple open-market purchases this week, including 150,000 shares at $3.29, 170,596 shares at $3.35, 235,875 shares at $3.39, and 73,640 shares at $3.44. Repeated insider buying can signal confidence in Krispy Kreme’s outlook. SEC Form 4 filing
- Positive Sentiment: National Doughnut Day coverage highlights Krispy Kreme freebies and giveaways across the U.S. and U.K., which could drive higher traffic, brand visibility, and near-term sales for the company. Article reference
- Neutral Sentiment: The National Doughnut Day publicity is broad and includes competitors such as Dunkin’ and 7-Eleven, so the sales boost for Krispy Kreme may be temporary rather than a lasting demand driver. Article reference
- Negative Sentiment: Krispy Kreme still faces weak fundamentals, including a recent earnings miss, negative margins, and revenue that declined year over year, which may limit enthusiasm for the stock despite the promotional headlines. Stock information
Krispy Kreme Stock Up 8.4%
The firm has a market capitalization of $611.16 million, a PE ratio of -1.18 and a beta of 1.27. The firm’s 50-day moving average is $3.48 and its 200 day moving average is $3.64. The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.36 and a current ratio of 0.42.
Krispy Kreme (NASDAQ:DNUT – Get Free Report) last announced its earnings results on Thursday, May 7th. The company reported ($0.05) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.03) by ($0.02). Krispy Kreme had a negative return on equity of 4.34% and a negative net margin of 33.36%.The business had revenue of $367.03 million for the quarter, compared to analyst estimates of $359.42 million. During the same quarter in the previous year, the firm posted ($0.05) EPS. The business’s revenue was down 2.2% on a year-over-year basis. As a group, research analysts forecast that Krispy Kreme, Inc. will post -0.07 earnings per share for the current fiscal year.
Institutional Inflows and Outflows
Hedge funds have recently modified their holdings of the business. Russell Investments Group Ltd. raised its position in shares of Krispy Kreme by 1,229.5% during 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 last quarter. FNY Investment Advisers LLC acquired a new stake in Krispy Kreme during the 4th quarter valued at $40,000. Apollon Wealth Management LLC purchased a new position in Krispy Kreme during the first quarter worth $35,000. Prudential Financial Inc. acquired a new position in shares of Krispy Kreme in the second quarter worth $32,000. Finally, Captrust Financial Advisors acquired a new position in shares of Krispy Kreme in the second quarter worth $34,000. 81.72% of the stock is owned by hedge funds and other institutional investors.
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.
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