Krispy Kreme (NASDAQ:DNUT) Shares Up 9.8% After Insider Buying Activity

Shares of Krispy Kreme, Inc. (NASDAQ:DNUT) shot up 9.8% during trading on Wednesday after an insider bought additional shares in the company. The company traded as high as $15.48 and last traded at $15.48. 34,287 shares traded hands during trading, a decline of 98% from the average session volume of 1,444,028 shares. The stock had previously closed at $14.10.

Specifically, major shareholder Indulgence B.V. Jab bought 88,000 shares of the business’s stock in a transaction on Thursday, November 11th. The shares were purchased at an average price of $14.25 per share, with a total value of $1,254,000.00. The acquisition was disclosed in a legal filing with the SEC, which is available through this link. Also, major shareholder Holdings B.V. Jab bought 103,529 shares of the business’s stock in a transaction on Thursday, September 2nd. The shares were acquired at an average cost of $16.73 per share, for a total transaction of $1,732,040.17. The disclosure for this purchase can be found here. In the last three months, insiders purchased 1,875,314 shares of company stock worth $27,830,855.

A number of research firms have recently commented on DNUT. Truist downgraded Krispy Kreme from a “buy” rating to a “hold” rating and dropped their price objective for the stock from $21.00 to $15.00 in a research note on Monday, November 8th. Morgan Stanley dropped their price objective on Krispy Kreme from $23.00 to $21.00 and set an “overweight” rating on the stock in a research note on Wednesday, October 13th. HSBC downgraded Krispy Kreme from a “buy” rating to a “hold” rating and dropped their price objective for the stock from $20.50 to $14.00 in a research note on Thursday, October 21st. Finally, Truist Securities downgraded Krispy Kreme from a “buy” rating to a “hold” rating and dropped their price objective for the stock from $21.00 to $15.00 in a research note on Monday, November 8th. Six analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to MarketBeat, the stock has a consensus rating of “Buy” and a consensus target price of $18.60.

The company has a quick ratio of 0.26, a current ratio of 0.33 and a debt-to-equity ratio of 0.52. The firm’s fifty day simple moving average is $13.99.

Krispy Kreme (NASDAQ:DNUT) last issued its quarterly earnings results on Tuesday, November 9th. The company reported $0.06 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.06. Krispy Kreme had a negative return on equity of 0.34% and a negative net margin of 3.82%. Sell-side analysts expect that Krispy Kreme, Inc. will post 0.39 earnings per share for the current fiscal year.

The company also recently announced a quarterly dividend, which was paid on Wednesday, November 10th. Shareholders of record on Wednesday, October 27th were paid a $0.035 dividend. The ex-dividend date of this dividend was Tuesday, October 26th. This represents a $0.14 dividend on an annualized basis and a yield of 0.90%.

Hedge funds and other institutional investors have recently modified their holdings of the business. Ghisallo Capital Management LLC purchased a new position in Krispy Kreme in the third quarter valued at about $2,800,000. Bamco Inc. NY purchased a new position in Krispy Kreme in the third quarter valued at about $42,673,000. AlpInvest Partners B.V. purchased a new position in Krispy Kreme in the third quarter valued at about $11,576,000. SG Americas Securities LLC purchased a new position in Krispy Kreme in the third quarter valued at about $129,000. Finally, New York State Common Retirement Fund purchased a new position in Krispy Kreme in the third quarter valued at about $108,000. Hedge funds and other institutional investors own 51.44% of the company’s stock.

Krispy Kreme Company Profile (NASDAQ:DNUT)

Krispy Kreme, Inc, together with its subsidiaries, operates as a branded retailer and wholesaler of doughnuts, coffee and other complementary beverages, and treats and packaged sweets. The company operates through four segments: Company Stores, Domestic Franchise, International Franchise, and KK Supply Chain.

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