Thu, Mar 5, 2015, 4:11 PM EST - U.S. Markets closed


% | $
Quotes you view appear here for quick access.

Krispy Kreme Doughnuts, Inc. Message Board

  • fisk007 fisk007 Jan 21, 2013 3:29 PM Flag

    Point Made

    Without sounding like I am crediting Cramer with ANYTHING...

    The SIMPLE point he made was that KKD is STILL trading at a discount to it's growth rate.

    Simply put - talk of fair value doesn't seem to begin until it trades at 25 times it's estimated upcoming annual earnings estimate of $.56 per share which is $14 per share.

    AND...the point he made was...THAT $14 merely reflects fair value based upon projected growth rate. NEW GROWTH COMPANIES at this stage GENERALLLY trade at a PREMIUM to the growth rate.

    Thus a 28 PE or a 30 PE is completely possible if not probable.


    Is $.56 per share REALLY accurate? That represents approximately $40 Million +/- in operating earnings.

    They just reported $9.2 Million in the November Earnings Report.

    Wouldn't doubt the TRUE earnings picture is closer to $44 to $46 Million in 2013.

    Closer to $.64 to $.66 per share.

    Applying a 25 P/E to that number is a $16.25 Target

    Applying a higher (and possible) 30 PE to that estimate is a $19.50 Target.

    These numbers are one more reason that IF...IF there is any truth to a possible near term acquisition HIGH TEENS seem to be a good place to start.

    AND - it is reason why mid to high teens ARE NOT out of the question in the DAYS and WEEKS ahead while the low $20's are NOT out of the question in the Months ahead.

21.65+0.52(+2.46%)4:04 PMEST

Trending Tickers

Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.