Krispy Kreme (NASDAQ:DNUT) Hits New 12-Month Low – Time to Sell?

Krispy Kreme, Inc. (NASDAQ:DNUT)’s stock price hit a new 52-week low during trading on Wednesday . The stock traded as low as $3.91 and last traded at $3.98, with a volume of 2665268 shares. The stock had previously closed at $4.05.

Analysts Set New Price Targets

DNUT has been the subject of several recent research reports. Piper Sandler dropped their target price on shares of Krispy Kreme from $18.00 to $12.00 and set an “overweight” rating for the company in a research report on Wednesday, February 26th. Morgan Stanley lowered Krispy Kreme from an “equal weight” rating to an “underweight” rating and cut their target price for the company from $12.00 to $6.00 in a research note on Wednesday, February 26th. Finally, Truist Financial reaffirmed a “buy” rating and issued a $12.00 price target (down from $15.00) on shares of Krispy Kreme in a research note on Wednesday, February 26th. One analyst has rated the stock with a sell rating, one has assigned a hold rating, five have given a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, Krispy Kreme presently has an average rating of “Moderate Buy” and an average target price of $12.29.

Krispy Kreme Stock Performance

The stock’s 50 day simple moving average is $5.94 and its two-hundred day simple moving average is $8.78. 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 stock has a market cap of $707.60 million, a P/E ratio of 24.44, a price-to-earnings-growth ratio of 3.24 and a beta of 1.47.

Krispy Kreme (NASDAQ:DNUT) last released its quarterly earnings results on Tuesday, February 25th. The company reported $0.01 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.10 by ($0.09). The firm had revenue of $404.00 million during the quarter, compared to analyst estimates 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 for the quarter was down 10.4% compared to the same quarter last year. During the same period in the prior year, the business earned $0.09 EPS. As a group, research analysts forecast that Krispy Kreme, Inc. will post 0.07 EPS for the current year.

Krispy Kreme Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, May 7th. Investors of record on Wednesday, April 23rd will be given a $0.035 dividend. This represents a $0.14 dividend on an annualized basis and a yield of 3.37%. The ex-dividend date of this dividend is Wednesday, April 23rd. Krispy Kreme’s dividend payout ratio (DPR) is currently 700.00%.

Hedge Funds Weigh In On Krispy Kreme

Several hedge funds have recently modified their holdings of DNUT. BNP Paribas Financial Markets bought a new position in Krispy Kreme in the fourth quarter valued at approximately $152,305,000. Bamco Inc. NY increased its holdings in Krispy Kreme by 24.7% during the fourth quarter. Bamco Inc. NY now owns 13,069,717 shares of the company’s stock worth $129,782,000 after buying an additional 2,588,398 shares during the last quarter. Cooper Creek Partners Management LLC raised its position in Krispy Kreme by 43.0% during the fourth quarter. Cooper Creek Partners Management LLC now owns 7,264,760 shares of the company’s stock worth $72,139,000 after acquiring an additional 2,186,136 shares in the last quarter. Barrow Hanley Mewhinney & Strauss LLC acquired a new stake in Krispy Kreme in the fourth quarter valued at $10,591,000. Finally, Peregrine Capital Management LLC bought a new position in shares of Krispy Kreme in the 4th quarter valued at about $5,897,000. Institutional investors own 81.72% of the company’s stock.

About Krispy Kreme

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.