Krispy Kreme (NASDAQ:DNUT) Hits New 1-Year Low – Should You Sell?

Shares of Krispy Kreme, Inc. (NASDAQ:DNUT) reached a new 52-week low during trading on Tuesday . The company traded as low as $5.76 and last traded at $5.70, with a volume of 699669 shares traded. The stock had previously closed at $5.90.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the stock. Morgan Stanley lowered shares of Krispy Kreme from an “equal weight” rating to an “underweight” rating and dropped their price objective for the company from $12.00 to $6.00 in a research report on Wednesday, February 26th. JPMorgan Chase & Co. lowered their price target on shares of Krispy Kreme from $14.00 to $13.00 and set an “overweight” rating on the stock in a report on Tuesday, November 12th. Truist Financial restated a “buy” rating and set a $12.00 price objective (down from $15.00) on shares of Krispy Kreme in a research report on Wednesday, February 26th. Finally, Piper Sandler lowered their target price on Krispy Kreme from $18.00 to $12.00 and set an “overweight” rating on the stock in a research note on Wednesday, February 26th. One analyst has rated the stock with a sell rating, two have given a hold rating, five have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $13.13.

Krispy Kreme Trading Down 8.9 %

The company has a debt-to-equity ratio of 0.67, a current ratio of 0.35 and a quick ratio of 0.28. The company has a market capitalization of $915.36 million, a price-to-earnings ratio of 31.79, a P/E/G ratio of 3.24 and a beta of 1.41. The business’s 50-day moving average price is $8.47 and its two-hundred day moving average price is $10.11.

Krispy Kreme (NASDAQ:DNUT) last released its earnings results on Tuesday, February 25th. The company reported $0.01 earnings per share for the quarter, missing analysts’ consensus estimates of $0.10 by ($0.09). The company had revenue of $404.00 million for the quarter, compared to the consensus estimate of $413.18 million. Krispy Kreme had a net margin of 1.64% and a return on equity of 0.53%. The business’s revenue was down 10.4% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.09 earnings per share. Research analysts predict that Krispy Kreme, Inc. will post 0.07 earnings per share for the current year.

Krispy Kreme Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, May 7th. Shareholders of record on Wednesday, April 23rd will be paid a dividend of $0.035 per share. This represents a $0.14 annualized dividend and a yield of 2.60%. The ex-dividend date is Wednesday, April 23rd. Krispy Kreme’s payout ratio is 700.00%.

Institutional Trading of Krispy Kreme

A number of hedge funds have recently added to or reduced their stakes in the stock. Stifel Financial Corp boosted its stake in shares of Krispy Kreme by 2.5% during the third quarter. Stifel Financial Corp now owns 38,658 shares of the company’s stock valued at $415,000 after purchasing an additional 958 shares in the last quarter. Handelsbanken Fonder AB increased its holdings in Krispy Kreme by 4.4% in the fourth quarter. Handelsbanken Fonder AB now owns 30,800 shares of the company’s stock valued at $306,000 after purchasing an additional 1,300 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its position in Krispy Kreme by 3.6% during the 4th quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 48,683 shares of the company’s stock worth $483,000 after purchasing an additional 1,707 shares during the last quarter. Swiss National Bank lifted its holdings in Krispy Kreme by 1.3% during the 4th quarter. Swiss National Bank now owns 166,800 shares of the company’s stock worth $1,656,000 after buying an additional 2,100 shares during the period. Finally, Rhumbline Advisers grew its position in shares of Krispy Kreme by 2.2% in the 4th quarter. Rhumbline Advisers now owns 119,083 shares of the company’s stock valued at $1,182,000 after buying an additional 2,532 shares during the last quarter. Institutional investors and hedge funds 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.