The market doesn't value KKD's continued expansion (amidst stateside contraction) anywhere near the value it would collectively place on recent financial data and reassurances that the majority of the hurting is over.
Until they report FY2006 10-K, I don't see any headlines moving the PPS a great deal...unless that move were downward, of course. Personally, I think the Krispy Kreme name alone is worth $5/share, which is about what I paid for my shares. To pay more than that, I have to be assured that the company is stabilizing...thereafter, I'll be looking for growth. Expecting expansion to drive up shares when the ship's been taking on water is putting the cart before the horse, don't you think?
well, this is the first time that an existing franchisee commits to opening more stores beyond cases where construction was already planned and zoning was done.
- again, it's just 1 store for now, but maybe more eventually. - notice that it took a long time to announce this even though rumors have been running wild. that i do not get. is it or isn't it brewster who did this deal? it seems it took a lot of convincing on the part of kkd to get this onto the headlines. maybe KKD has provided some of the capital to build those 1st stores for these new franchisees. it seems like a fair price to pay for these headlines.
that's the earliest ever indication that we had that the lotte group was expanding in japan?