Short Interest in Krispy Kreme, Inc. (NASDAQ:DNUT) Drops By 7.3%

Krispy Kreme, Inc. (NASDAQ:DNUT) saw a significant decline in short interest in September. As of September 15th, there was short interest totalling 18,160,000 shares, a decline of 7.3% from the August 31st total of 19,600,000 shares. Currently, 21.9% of the shares of the stock are short sold. Based on an average daily trading volume, of 1,740,000 shares, the short-interest ratio is currently 10.4 days.

Institutional Investors Weigh In On Krispy Kreme

Hedge funds have recently modified their holdings of the company. Millennium Management LLC raised its position in Krispy Kreme by 136.7% during the second quarter. Millennium Management LLC now owns 3,500,855 shares of the company’s stock worth $37,669,000 after acquiring an additional 2,021,974 shares during the period. Marshall Wace LLP purchased a new stake in Krispy Kreme in the 2nd quarter valued at $18,765,000. Samlyn Capital LLC increased its stake in shares of Krispy Kreme by 120.5% in the 2nd quarter. Samlyn Capital LLC now owns 2,230,176 shares of the company’s stock worth $23,997,000 after acquiring an additional 1,218,699 shares during the last quarter. Dimensional Fund Advisors LP lifted its holdings in Krispy Kreme by 38.1% in the second quarter. Dimensional Fund Advisors LP now owns 3,779,882 shares of the company’s stock valued at $40,670,000 after acquiring an additional 1,042,345 shares during the last quarter. Finally, Driehaus Capital Management LLC increased its stake in Krispy Kreme by 121.7% during the second 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 last quarter. 81.72% of the stock is owned by hedge funds and other institutional investors.

Krispy Kreme Stock Performance

Shares of NASDAQ DNUT traded down $0.10 during trading on Tuesday, reaching $10.64. 552,336 shares of the company traded hands, compared to its average volume of 2,142,800. The stock has a market cap of $1.79 billion, a P/E ratio of -39.78, a PEG ratio of 3.54 and a beta of 1.41. The firm’s fifty day simple moving average is $11.00 and its 200 day simple moving average is $11.76. The company has a current ratio of 0.34, a quick ratio of 0.26 and a debt-to-equity ratio of 0.73. Krispy Kreme has a 12-month low of $9.18 and a 12-month high of $17.84.

Krispy Kreme (NASDAQ:DNUT) last announced its quarterly earnings results on Thursday, August 8th. The company reported $0.05 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $0.05. The company had revenue of $438.80 million during the quarter, compared to the consensus estimate of $435.43 million. Krispy Kreme had a positive return on equity of 1.12% and a negative net margin of 2.98%. Krispy Kreme’s revenue for the quarter was up 7.3% on a year-over-year basis. During the same period in the previous year, the company posted $0.04 earnings per share. As a group, research analysts anticipate that Krispy Kreme will post 0.13 earnings per share for the current fiscal year.

Krispy Kreme Dividend Announcement

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

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on DNUT shares. Evercore ISI restated an “in-line” rating and set a $13.00 price target on shares of Krispy Kreme in a report on Tuesday, August 27th. Truist Financial raised shares of 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 note on Monday, June 10th. HSBC raised shares of Krispy Kreme from a “hold” rating to a “buy” rating and set a $14.00 price target on the stock in a research note on Tuesday, July 23rd. JPMorgan Chase & Co. began coverage on shares of Krispy Kreme in a research report on Monday, June 3rd. They set an “overweight” rating and a $14.00 target price on the stock. Finally, Bank of America reduced their price objective on Krispy Kreme from $19.00 to $16.00 and set a “buy” rating on the stock in a report on Wednesday, July 17th. Three investment analysts have rated the stock with a hold rating, five have given a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Krispy Kreme has a consensus rating of “Moderate Buy” and a consensus target price of $15.88.

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.