Krispy Kreme upgraded to Buy from Hold at Truist

Truist upgraded Krispy Kreme (DNUT) to Buy from Hold with a price target of $15, up from $13, after spending time with management. The analyst came away from the meetings with the belief the Krispy Kreme story is either unknown or misunderstood by most investors. Investors are undervaluing the potential of the company’s recently announced partnership with McDonald’s (MCD), the analyst tells investors in a research note. The firm says the partnership will accelerate the revenue growth of Krispy Kreme’s legacy business in the next few quarters, well before the McDonald’s rollout is complete. It also believes the weight loss drug overhang is fully reflected in Krispy Kreme’s current valuation.