Krispy Kreme (NASDAQ:DNUT) Sees Unusually-High Trading Volume – Should You Buy?

Krispy Kreme, Inc. (NASDAQ:DNUT) shares saw an uptick in trading volume on Friday . 2,696,440 shares changed hands during mid-day trading, an increase of 12% from the previous session’s volume of 2,412,034 shares.The stock last traded at $4.4750 and had previously closed at $4.20.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on DNUT. Weiss Ratings reissued a “sell (d)” rating on shares of Krispy Kreme in a research report on Friday, March 27th. Zacks Research lowered shares of Krispy Kreme from a “strong-buy” rating to a “hold” rating in a research report on Friday, May 15th. Wall Street Zen raised shares of Krispy Kreme from a “sell” rating to a “hold” rating in a research report on Sunday, May 17th. Finally, Capital One Financial raised shares of Krispy Kreme from an “equal weight” rating to an “overweight” rating and set a $6.00 price objective for the company in a research report on Thursday, March 26th. Three equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $4.63.

Krispy Kreme Stock Performance

The company has a market capitalization of $759.42 million, a price-to-earnings ratio of -1.48 and a beta of 1.27. The company has a debt-to-equity ratio of 1.31, a quick ratio of 0.36 and a current ratio of 0.42. The company’s fifty day simple moving average is $3.52 and its two-hundred day simple moving average is $3.64.

Krispy Kreme (NASDAQ:DNUT) last announced its quarterly earnings data on Thursday, May 7th. The company reported ($0.05) earnings per share for the quarter, missing the consensus estimate 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 company had revenue of $367.03 million for the quarter, compared to analyst estimates of $359.42 million. During the same period in the prior year, the business earned ($0.05) earnings per share. Krispy Kreme’s revenue was down 2.2% on a year-over-year basis. Equities research analysts predict that Krispy Kreme, Inc. will post -0.07 earnings per share for the current fiscal year.

Insider Activity

In other Krispy Kreme news, Director Bernardo Hees purchased 235,875 shares of Krispy Kreme stock in a transaction dated Tuesday, June 2nd. The shares were bought at an average cost of $3.39 per share, for a total transaction of $799,616.25. Following the transaction, the director owned 1,229,037 shares in the company, valued at $4,166,435.43. This represents a 23.75% increase in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. In the last 90 days, insiders have bought 880,190 shares of company stock valued at $2,973,833. Company insiders own 1.60% of the company’s stock.

Institutional Trading of Krispy Kreme

Several hedge funds have recently bought and sold shares of DNUT. Prudential Financial Inc. acquired a new position in Krispy Kreme during the 2nd quarter valued at about $32,000. Russell Investments Group Ltd. increased its stake in Krispy Kreme by 1,229.5% during the 3rd quarter. Russell Investments Group Ltd. now owns 8,469 shares of the company’s stock valued at $33,000 after buying an additional 7,832 shares during the period. Captrust Financial Advisors acquired a new position in Krispy Kreme during the 2nd quarter valued at about $34,000. Apollon Wealth Management LLC acquired a new position in Krispy Kreme during the 1st quarter valued at about $35,000. Finally, Raymond James Financial Inc. acquired a new position in Krispy Kreme during the 2nd quarter valued at about $37,000. 81.72% of the stock is currently owned by 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.