Why Shares of Krispy Kreme Donuts Soared on Thursday
fool.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from fool.com Daily Mail and Mail on Sunday newspapers.
Jim Cramer Sees One Major Issue at Krispy Kreme
thestreet.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from thestreet.com Daily Mail and Mail on Sunday newspapers.
Donut Roller Coaster: Krispy Kreme Shares After Lower IPO After Financial Markets News
The new roller coaster reflects the unstable environment of U.S. restaurants as the coronavirus pandemic subsides.
Shares of Krispy Kreme Inc rose on the first day of trading, giving the donut chain the lift it needed one day to reduce its initial public offering.
Shares reversed the initial decline on Thursday to a 26% jump to $ 20.58 in New York. Charlotte, a North Carolina-based company owned by investment firm JAB Holdings BV, opened at $ 16.30, below the IPO price of $ 17.
The new roller coaster reflects the unstable environment of restaurants as the pandemic subsides. Many U.S. restaurants, especially those that focused on breakfast, had a hard time closing stores and reduced sales as Covid-19 encouraged Americans to eat more at home.
Credit:
Angus Mordant/Bloomberg
Krispy Kreme Inc.’s shares soared in their first day of trading, giving the doughnut chain a much-needed lift a day after it was forced to downsize its initial public offering.
The stock reversed an early decline and jumped 24% to $21 a share Thursday. The Charlotte, North Carolina-based company, which is owned by investment firm JAB Holdings BV, opened at $16.30, below the $17 IPO price.
The roller-coaster debut reflects the volatile environment for restaurants as the pandemic subsides. Many U.S. eateries, particularly those focused on breakfast, faced a difficult period of store closures and reduced sales as COVID-19 led Americans to eat more at home. Sales at U.S. Krispy Kreme shops rose 4.5% to $733.4 million in 2020, according to Technomic.