New York (TheStreet) -- Monday’s 9% advance aside, Krispy Kreme Doughnuts (KKD) stock performance has been dreadful recently. Down 15% for the year to date, and 23% over the past year, the stock’s amazing comeback since a near implosion almost a decade ago is seemingly on hold as investors grapple with the company’s future.
Shares, at around $16.50, are now trading just 2% above the level when I last commented on the company in June, and that’s thanks to Monday’s gain on news of an upgrade by Wedbush, but I am standing firm. Nonetheless, if you are a Krispy Kreme shareholder, a strong stomach is essential.
This is the veritable rags to "riches to rags, back to riches" story, with the latest chapter seemingly on hold for now, at least judging by the stock price movement. Between 2007 and 2010, after the dust had settled on this former cult stock, and its over-expansion, poor accounting practices and overall bad management, you could not give shares away.