Krispy Kreme (NASDAQ:DNUT) Cut to Sell at Wall Street Zen

Wall Street Zen downgraded shares of Krispy Kreme (NASDAQ:DNUT) from a hold rating to a sell rating in a report released on Saturday.

Several other research firms have also recently weighed in on DNUT. Weiss Ratings reiterated a “sell (d)” rating on shares of Krispy Kreme in a research report on Wednesday, June 24th. Zacks Research lowered shares of Krispy Kreme from a “strong-buy” rating to a “hold” rating in a report on Friday, May 15th. Finally, Evercore set a $4.00 price target on shares of Krispy Kreme in a research report on Friday. Two investment analysts have rated the stock with a Buy rating and four have assigned a Sell rating to the stock. Based on data from MarketBeat.com, Krispy Kreme presently has an average rating of “Reduce” and an average price target of $4.33.

Krispy Kreme Stock Performance

Shares of DNUT stock opened at $3.14 on Friday. The business’s 50 day simple moving average is $3.45 and its 200 day simple moving average is $3.41. Krispy Kreme has a one year low of $2.88 and a one year high of $5.11. The stock has a market capitalization of $541.34 million, a PE ratio of -5.61 and a beta of 1.27. The company has a debt-to-equity ratio of 1.28, a current ratio of 0.36 and a quick ratio of 0.29.

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

Insider Transactions at Krispy Kreme

In other Krispy Kreme news, Director Bernardo Hees purchased 235,875 shares of the business’s stock in a transaction on Tuesday, June 2nd. The shares were purchased at an average cost of $3.39 per share, for a total transaction of $799,616.25. Following the acquisition, the director owned 1,229,037 shares of the company’s stock, valued at approximately $4,166,435.43. This represents a 23.75% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Insiders purchased 880,190 shares of company stock valued at $2,973,833 over the last quarter. 1.60% of the stock is currently owned by insiders.

Institutional Trading of Krispy Kreme

Hedge funds have recently modified their holdings of the stock. Prudential Financial Inc. bought a new position in Krispy Kreme during the second quarter worth $32,000. Russell Investments Group Ltd. increased its stake in Krispy Kreme by 1,229.5% in the third quarter. Russell Investments Group Ltd. now owns 8,469 shares of the company’s stock valued at $33,000 after purchasing an additional 7,832 shares in the last quarter. Captrust Financial Advisors bought a new stake in Krispy Kreme in the second quarter valued at $34,000. Apollon Wealth Management LLC acquired a new position in shares of Krispy Kreme during the first quarter valued at about $35,000. Finally, Raymond James Financial Inc. acquired a new position in shares of Krispy Kreme during the second quarter valued at about $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.