What's the world coming to? Krispy Kreme (NYSE:KKD) has declared that it plans a new doughnut for release by year's end -- one with lower sugar and fat content. This comes despite the concept's continued sales success, which has flown in the face of conventional wisdom about health and diet trends. Is this really Krispy Kreme?
Krispy Kreme, a Motley Fool Stock Advisor pick, has remained popular despite obvious health trends. Seth Jayson showed how healthy it can be earlier this week, writing about its sweet quarterly numbers and nostalgia cache. Meanwhile, Munarriz made the stock his Valentine last month, when he covered it for Stocks Fools Love.
Indeed, when I wrote about it recently, I mused on the fact that even dieters sometimes have a need for decadence as long as it is in moderation. Some folks do revel in Krispy Kreme's sugary (and a little bit naughty) goodness, judging by the reader feedback I received.
Admittedly, the trends are difficult to ignore. It was hardly surprising that McDonald's (NYSE:MCD) decided to discontinue its famous (sometimes infamous) Super Sized portions and plans to roll out low-carb options. Fast-food companies in general have taken heat, with other names in the business such as Wendy's (NYSE:WEN) and Yum! Brands (NYSE:YUM) having grabbed front-row seats on the healthy-eating bandwagon, too.
Just yesterday, the Fool examined a new bill that prohibits obesity lawsuits. This is against the backdrop of a new American Medical Association study once again hammering home the danger of our increasing obesity, which is about to overcome even smoking as no-no No. 1.
Admittedly, if Krispy Kreme comes up with a doughnut that doesn't skimp on the taste as well as the fat and calories, it certainly could lure some previous no-shows to its stores. Some investors seemed to think that Krispy Kreme's popularity was bound to wear thin with its sticky, stubborn grip on high sugar and fat treats.
However, perhaps some concepts don't belong on the low-carb, healthy eating bandwagon. Krispy Kreme, after all, is a company that has described its wares in its SEC filings as "an affordable indulgence," and when it comes to its appeal, that just about nails it. Hot Original Glazed doughnuts might sell out fast when the hot light's on, but whether Hot Healthy Half-Glazed doughnuts sound so appetizing is a whole other matter.
Are you happy to hear that Krispy Kreme is addressing healthy-eating trends? Or do you think it undermines that brand? Fools are talking about this issue and more on the Krispy Kreme discussion board.
Alyce Lomax does not own shares of any companies mentioned. She welcomes your feedback.
