DNUTDNUT
US • —
$3.53
P/E
—
PEG
—
FCF Yield
—
Rev Growth YoY
-5.2% YoY
Gross Margin
29.5%
Health Score
2/10
D/E Ratio
1.50
Confidence
LOW
Business Snapshot
Krispy Kreme, Inc. operates as a global doughnut and coffeehouse chain, generating revenue primarily through company-owned retail stores, franchise operations, and partnerships with consumer packaged goods (CPG) companies. The company operates in the highly competitive quick-service restaurant (QSR) and specialty snack market, where it competes against global chains like Dunkin' and Starbucks, as well as local bakeries. DNUT is a micro-to-small-cap stock with a market capitalisation and TTM revenue that are not available in this data set, limiting a full assessment of its financial scale. A defining operational characteristic is its high brand recognition and "doughnut theatre" retail experience, but the business requires significant capital for its store network and production infrastructure.
Financial Health
Gross margin stands at 29.5%, while net margin is deeply negative at -33.4%, indicating the company is unprofitable at the bottom line with costs far exceeding revenue. The balance sheet shows a debt/equity ratio of 1.5x, suggesting moderate leverage, but the current ratio of 0.38x is dangerously low, implying the company may struggle to cover short-term liabilities with its current assets...
Risk Assessment
- EARNINGS QUALITY — The company beat estimates in only 2 of the last 4 quarters, indicating mixed guidance credibility.
- REVENUE DECELERATION — Revenue declined by 5.2% year-over-year, confirming a contracting top-line trend.
- DEBT / LIQUIDITY — A current ratio of 0.38x signals acute short-term liquidity risk, as current assets cover less than half of current liabilities.
- EARNINGS QUALITY — A net margin of -33.4% and return on equity of -76.4% confirm deep unprofitability and shareholder value destruction.
- TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed....
Gross margin stands at 29.5%, while net margin is deeply negative at -33.4%, indicating the company is unprofitable at the bottom line with costs far exceeding revenue. The balance sheet shows a debt/equity ratio of 1.5x, suggesting moderate leverage, but the current ratio of 0.38x is dangerously low, implying the company may struggle to cover short-term liabilities with its current assets. Return on equity is severely negative at -76.4%, reflecting significant shareholder value destruction. Free cash flow data is unavailable, making it impossible to assess the company's cash generation or burn rate. Overall, the combination of negative margins, a low current ratio, and a poor return on equity paints a picture of a financially stressed business with limited capacity for internal investment and elevated risk of needing dilutive financing.
- EARNINGS QUALITY — The company beat estimates in only 2 of the last 4 quarters, indicating mixed guidance credibility. - REVENUE DECELERATION — Revenue declined by 5.2% year-over-year, confirming a contracting top-line trend. - DEBT / LIQUIDITY — A current ratio of 0.38x signals acute short-term liquidity risk, as current assets cover less than half of current liabilities. - EARNINGS QUALITY — A net margin of -33.4% and return on equity of -76.4% confirm deep unprofitability and shareholder value destruction. - TECHNICALS — RSI, MACD, and moving average data unavailable for this period; momentum cannot be independently confirmed.
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