Here’s What Make Baron Funds Love Krispy Kreme (DNUT)

Baron Funds, an asset management firm, published its “Baron Focused Growth Fund” first quarter 2022 investor letter – a copy of which can be downloaded here. Baron Focused Growth Fund (the “Fund”) declined 8.03% (Institutional Shares) in the quarter ended March 31, 2022. The Fund’s primary benchmark, the Russell 2500 Growth Index (the “Index”), fell 12.30% in the period. The S&P 500 Index, which measures the performance of large-cap companies, fell 4.60%. Try to spend some time taking a look at the fund’s top 5 holdings to be informed about their best picks for 2022.

In its Q1 2022 investor letter, Baron Focused Growth Fund mentioned Krispy Kreme, Inc. (NASDAQ:DNUT) and explained its insights for the company. Founded in 1937, Krispy Kreme, Inc. (NASDAQ:DNUT) is a Charlotte, North Carolina-based multinational doughnut company with a $2.1 billion market capitalization. Krispy Kreme, Inc. (NASDAQ:DNUT) delivered a -7.31% and it closed at $13.06 per share on June 15, 2022. 

Here is what Baron Focused Growth Fund has to say about Krispy Kreme, Inc. (NASDAQ:DNUT) in its Q1 2022 investor letter:

“We also added to our positions in Krispy Kreme, Inc. (NASDAQ:DNUT). The company has large addressable markets with strong brands that should allow them to take significant market share over time. We believeKrispy Kreme, Inc. (NASDAQ:DNUT) is appropriately financed and should generate significant cash to continue investing in its business for further growth.”

Photo by Ben Dutton on Unsplash

Our calculations show that Krispy Kreme, Inc. (NASDAQ:DNUT) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Krispy Kreme, Inc. (NASDAQ:DNUT) was in 11 hedge fund portfolios at the end of the first quarter of 2022, compared to 13 funds in the previous quarter. Krispy Kreme, Inc. (NASDAQ:DNUT) delivered a -9.93% return in the past 3 months.

In December 2021, we also shared another hedge fund’s views on Krispy Kreme, Inc. (NASDAQ:DNUT) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q1 page.

Disclosure: None. This article is originally published at Insider Monkey.