Krispy Kreme (KKM) Plunges 5.74% as Seasonal Promotions and Market Dynamics Weigh on Sentiment

Krispy Kreme shares fell 5.74% in pre-market trading on Dec. 12, 2025, as investors reacted to the company’s promotional calendar and broader market dynamics. The stock decline came amid the rollout of its annual “Day of the Dozens” event, which offers customers a dozen Original Glazed doughnuts for $1 when purchasing a dozen or 16 minis at full price.

. The limited-time offer, available through Dec. 12, also includes a collaboration with the Peanuts franchise, featuring themed doughnuts inspired by the comic’s 75th anniversary. These products remain available until Dec. 24.

While the promotion is designed to drive short-term sales and customer engagement, analysts noted that such seasonal campaigns may not directly correlate with long-term stock performance. The Peanuts collection, though a novelty, does not address underlying challenges such as competitive pressure in the bakery-café sector or evolving consumer preferences. Additionally, the one-day-only $1 deal, while attention-grabbing, may not significantly impact revenue beyond the event window. Investors appeared to prioritize broader market trends over immediate promotional gains, contributing to the pre-market selloff.

Market watchers suggest that the broader economic environment is playing a key role in the stock’s pre-market decline. Rising interest rates and shifting consumer behaviors are affecting the entire quick-service and bakery industry, not just Krispy Kreme. These macroeconomic pressures may weigh on margins and limit the ability of promotional strategies to drive substantial top-line growth. As the company navigates these headwinds, investors are advised to remain cautious and monitor how effectively the brand adapts to the evolving landscape.