Krispy Kreme, Inc. (NASDAQ:DNUT) Sees Large Drop in Short Interest

Krispy Kreme, Inc. (NASDAQ:DNUT) saw a large decrease in short interest in the month of September. As of September 15th, there was short interest totalling 18,160,000 shares, a decrease of 7.3% from the August 31st total of 19,600,000 shares. Based on an average daily volume of 1,740,000 shares, the days-to-cover ratio is currently 10.4 days. Approximately 21.9% of the company’s shares are sold short.

Hedge Funds Weigh In On Krispy Kreme

Several hedge funds and other institutional investors have recently modified their holdings of DNUT. Point72 Asset Management L.P. raised its holdings in shares of Krispy Kreme by 8.7% in the second quarter. Point72 Asset Management L.P. now owns 47,294 shares of the company’s stock worth $509,000 after buying an additional 3,794 shares during the last quarter. Driehaus Capital Management LLC lifted its position in Krispy Kreme by 121.7% during the 2nd quarter. Driehaus Capital Management LLC now owns 1,190,865 shares of the company’s stock worth $12,814,000 after acquiring an additional 653,637 shares during the period. The Manufacturers Life Insurance Company grew its stake in Krispy Kreme by 2.8% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 50,819 shares of the company’s stock valued at $547,000 after purchasing an additional 1,399 shares during the last quarter. Millennium Management LLC increased its holdings in shares of Krispy Kreme by 136.7% in the second quarter. Millennium Management LLC now owns 3,500,855 shares of the company’s stock valued at $37,669,000 after purchasing an additional 2,021,974 shares during the period. Finally, Marshall Wace LLP acquired a new stake in Krispy Kreme during the 2nd quarter worth about $18,765,000. 81.72% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on DNUT. Truist Financial upgraded Krispy Kreme from a “hold” rating to a “buy” rating and boosted their target price for the company from $13.00 to $15.00 in a research report on Monday, June 10th. Hsbc Global Res upgraded Krispy Kreme from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 23rd. Bank of America lowered their target price on shares of Krispy Kreme from $19.00 to $16.00 and set a “buy” rating for the company in a research note on Wednesday, July 17th. JPMorgan Chase & Co. started coverage on shares of Krispy Kreme in a research note on Monday, June 3rd. They issued an “overweight” rating and a $14.00 price target on the stock. Finally, Evercore ISI reaffirmed an “in-line” rating and set a $13.00 price target on shares of Krispy Kreme in a research note on Tuesday, August 27th. Three analysts have rated the stock with a hold rating, five have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $15.88.

Krispy Kreme Stock Down 1.6 %

Shares of NASDAQ DNUT traded down $0.17 during mid-day trading on Tuesday, reaching $10.57. 474,520 shares of the company were exchanged, compared to its average volume of 2,142,388. Krispy Kreme has a 1 year low of $9.18 and a 1 year high of $17.84. The firm has a 50-day moving average of $11.00 and a 200 day moving average of $11.76. The stock has a market cap of $1.78 billion, a price-to-earnings ratio of -39.78, a P/E/G ratio of 3.54 and a beta of 1.41. The company has a quick ratio of 0.26, a current ratio of 0.34 and a debt-to-equity ratio of 0.73.

Krispy Kreme (NASDAQ:DNUT) last released its quarterly earnings results on Thursday, August 8th. The company reported $0.05 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.05. The business had revenue of $438.80 million for the quarter, compared to analysts’ expectations of $435.43 million. Krispy Kreme had a negative net margin of 2.98% and a positive return on equity of 1.12%. The company’s revenue was up 7.3% compared to the same quarter last year. During the same period last year, the business earned $0.04 EPS. On average, research analysts expect that Krispy Kreme will post 0.13 earnings per share for the current year.

Krispy Kreme Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, November 6th. Stockholders of record on Wednesday, October 23rd will be paid a dividend of $0.035 per share. The ex-dividend date of this dividend is Wednesday, October 23rd. This represents a $0.14 dividend on an annualized basis and a dividend yield of 1.32%. Krispy Kreme’s payout ratio is -51.85%.

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.