Who doesn’t love donuts? Every once in a while, I enjoy stopping by a store, picking up a donut for myself or even bringing a box to share with the office. Stores like Dunkin Donuts and Krispy Kreme Donuts are extremely popular for purchasing donuts and coffee, but are either of them interesting investments? In a troubling global economy, one of the few industries that will not be extremely volatile is the food services industry.
Certain restaurants may not be appropriate for investors, because they have become extremely mature and represent the luxurious facet of consumer discretionary spending. However, companies like Krispy Kreme Donuts may interesting to consider. The primary reason is that its product offerings are very cheap and easily available. Millions of Americans drink coffee in the morning, and many of them enjoy complementing their drinks with a donut.