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DNUT Stock Analysis 2026 - Krispy Kreme, Inc. AI Rating

DNUT Nasdaq Retail-Food Stores CIK: 0001857154
Recently Updated • Analysis: Mar 23, 2026 • SEC Data: 2025-12-28
STRONG SELL
92% Conf
Pending
Analysis scheduled

📊 DNUT Key Takeaways

Revenue: $1.5B
Net Margin: -33.9%
Free Cash Flow: $-64.0M
Current Ratio: 0.38x
Debt/Equity: 1.40x
EPS: $-3.04
AI Rating: STRONG SELL with 92% confidence

Is DNUT a Good Investment? Thesis Analysis

Claude

Krispy Kreme faces severe operational distress with negative net income of -$515.8M, negative operating margins of -30.8%, and deteriorating revenue (-8.6% YoY). The company is burning cash with negative free cash flow of -$64M despite modest operating cash generation, while maintaining high debt burden of $911.9M against minimal liquidity of $42.4M and a critically low current ratio of 0.38x.

Why Buy DNUT? Key Strengths

Claude
  • + Positive operating cash flow of $33.9M demonstrates some underlying business cash generation despite accounting losses
  • + Established brand with significant market presence in retail food stores sector
  • + Modest liquid asset base of $42.4M provides temporary cushion

DNUT Investment Risks to Consider

Claude
  • ! Negative net income of -$515.8M with -33.9% net margin indicates fundamental business model failure at current scale
  • ! Severe liquidity crisis: current ratio of 0.38x and quick ratio of 0.32x indicate inability to cover short-term obligations
  • ! High leverage with debt-to-equity of 1.40x and $911.9M long-term debt against minimal cash creates refinancing and solvency risk
  • ! Negative free cash flow of -$64M demonstrates cash burn that is unsustainable; capital expenditure of $97.9M exceeds operating cash flow
  • ! Revenue decline of -8.6% YoY combined with negative margins suggests business deterioration rather than temporary headwind
  • ! Negative ROE of -79.3% and ROA of -19.9% indicate shareholder value destruction and poor asset utilization

Key Metrics to Watch

Claude
  • * Operating cash flow trend and sustainability of cash generation
  • * Revenue stabilization and margin recovery pathway
  • * Debt refinancing needs and access to capital markets
  • * Current ratio improvement and working capital management
  • * Free cash flow trajectory and burn rate

DNUT Financial Metrics

Revenue
$1.5B
Net Income
$-515.8M
EPS (Diluted)
$-3.04
Free Cash Flow
$-64.0M
Total Assets
$2.6B
Cash Position
$42.4M

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

DNUT Profitability Ratios

Gross Margin N/A
Operating Margin -30.8%
Net Margin -33.9%
ROE -79.3%
ROA -19.9%
FCF Margin -4.2%

DNUT vs Consumer Sector

How Krispy Kreme, Inc. compares to Consumer sector averages

Net Margin
DNUT -33.9%
vs
Sector Avg 8.0%
DNUT Sector
ROE
DNUT -79.3%
vs
Sector Avg 18.0%
DNUT Sector
Current Ratio
DNUT 0.4x
vs
Sector Avg 1.5x
DNUT Sector
Debt/Equity
DNUT 1.4x
vs
Sector Avg 0.8x
DNUT Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is DNUT Overvalued or Undervalued?

Based on fundamental analysis, Krispy Kreme, Inc. shows some fundamental concerns relative to the Consumer sector in 2026.

Return on Equity
-79.3%
Sector avg: 18%
Net Profit Margin
-33.9%
Sector avg: 8%
Revenue Growth
N/A
Year-over-year
Debt/Equity
1.40x
Sector avg: 0.8x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

DNUT Balance Sheet & Liquidity

Current Ratio
0.38x
Quick Ratio
0.32x
Debt/Equity
1.40x
Debt/Assets
73.9%
Interest Coverage
N/A
Long-term Debt
$911.9M

DNUT 5-Year Financial Trend & Growth Analysis

DNUT 5-year financial data: Year 2021: Revenue $1.4B, Net Income -$37.4M, EPS $-0.30. Year 2022: Revenue $1.5B, Net Income -$64.3M, EPS $-0.52. Year 2023: Revenue $1.7B, Net Income -$24.5M, EPS $-0.18. Year 2024: Revenue $1.7B, Net Income -$15.6M, EPS $-0.10. Year 2025: Revenue $1.7B, Net Income -$37.9M, EPS $-0.23.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: Krispy Kreme, Inc.'s revenue has grown significantly by 22% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.23 indicates the company is currently unprofitable.

DNUT Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-4.2%
Free cash flow / Revenue

DNUT Quarterly Performance

Quarterly financial performance data for Krispy Kreme, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $375.3M -$19.4M $-0.11
Q2 2025 $379.8M -$5.5M $-0.03
Q1 2025 $375.2M -$8.5M $-0.05
Q3 2024 $379.9M $25.5M $0.15
Q2 2024 $408.9M -$78.0K $0.00
Q1 2024 $419.0M -$301.0K $0.00
Q3 2023 $377.5M -$12.9M $-0.08
Q2 2023 $375.2M -$78.0K $0.00

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

DNUT Capital Allocation

Operating Cash Flow
$33.9M
Cash generated from operations
Stock Buybacks
$1.4M
Shares repurchased (TTM)
Capital Expenditures
$97.9M
Investment in assets
Dividends Paid
$11.9M
Returned to shareholders

DNUT SEC 10-K & 10-Q Filing Analysis

Access official SEC EDGAR filings for Krispy Kreme, Inc. (CIK: 0001857154)

📋 Recent SEC Filings

Date Form Document Action
Mar 6, 2026 10-K dnut-20251228.htm View →
Mar 4, 2026 4 xslF345X05/tm268016-1_4seq1.xml View →
Feb 26, 2026 8-K dnut-20260226.htm View →
Feb 4, 2026 8-K dnut-20260129.htm View →
Feb 2, 2026 4 xslF345X05/wk-form4_1770068195.xml View →

Frequently Asked Questions about DNUT

What is the AI rating for DNUT?

Krispy Kreme, Inc. (DNUT) has an AI rating of STRONG SELL with 92% confidence, based on fundamental analysis of SEC EDGAR filings.

What are DNUT's key strengths?

Claude: Positive operating cash flow of $33.9M demonstrates some underlying business cash generation despite accounting losses. Established brand with significant market presence in retail food stores sector.

What are the risks of investing in DNUT?

Claude: Negative net income of -$515.8M with -33.9% net margin indicates fundamental business model failure at current scale. Severe liquidity crisis: current ratio of 0.38x and quick ratio of 0.32x indicate inability to cover short-term obligations.

What is DNUT's revenue and growth?

Krispy Kreme, Inc. reported revenue of $1.5B.

Does DNUT pay dividends?

Krispy Kreme, Inc. pays dividends, with $11.9M distributed to shareholders in the trailing twelve months.

Where can I find DNUT SEC filings?

Official SEC filings for Krispy Kreme, Inc. (CIK: 0001857154) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is DNUT's EPS?

Krispy Kreme, Inc. has a diluted EPS of $-3.04.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is DNUT a good stock to buy right now?

Based on our AI fundamental analysis in March 2026, Krispy Kreme, Inc. has a STRONG SELL rating with 92% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is DNUT stock overvalued or undervalued?

Valuation metrics for DNUT: ROE of -79.3% (sector avg: 18%), net margin of -33.9% (sector avg: 8%). Compare these metrics with sector averages to assess valuation.

Should I buy DNUT stock in 2026?

Our dual AI analysis gives Krispy Kreme, Inc. a combined STRONG SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is DNUT's free cash flow?

Krispy Kreme, Inc.'s operating cash flow is $33.9M, with capital expenditures of $97.9M. FCF margin is -4.2%.

How does DNUT compare to other Consumer stocks?

Vs Consumer sector averages: Net margin -33.9% (avg: 8%), ROE -79.3% (avg: 18%), current ratio 0.38 (avg: 1.5).

Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 23, 2026 | Data as of: 2025-12-28 | Powered by Claude AI