Karat Packaging Inc. (NASDAQ:KRT) Receives Consensus Recommendation of “Hold” from Analysts

Shares of Karat Packaging Inc. (NASDAQ:KRT) have earned a consensus recommendation of “Hold” from the six brokerages that are covering the firm, Marketbeat Ratings reports. One analyst has rated the stock with a sell recommendation, two have given a hold recommendation and three have given a buy recommendation to the company. The average 12 month price objective among brokerages that have issued a report on the stock in the last year is $36.50.

A number of brokerages have recently commented on KRT. Wall Street Zen raised Karat Packaging from a “hold” rating to a “buy” rating in a report on Saturday, August 15th. Bank of America boosted their price objective on shares of Karat Packaging from $23.00 to $34.00 and gave the stock an “underperform” rating in a report on Tuesday, July 14th. The Goldman Sachs Group lowered Karat Packaging to a “neutral” rating in a research note on Thursday, June 4th. Weiss Ratings upgraded shares of Karat Packaging from a “buy (b-)” rating to a “buy (b)” rating in a research note on Wednesday, August 12th. Finally, William Blair raised Karat Packaging from a “market perform” rating to an “outperform” rating in a report on Thursday, June 4th.

Karat Packaging Stock Performance

Shares of NASDAQ KRT opened at $46.77 on Friday. The business’s 50-day moving average price is $43.08 and its two-hundred day moving average price is $33.28. Karat Packaging has a one year low of $20.61 and a one year high of $50.81. The company has a market capitalization of $932.13 million, a P/E ratio of 18.71, a price-to-earnings-growth ratio of 1.37 and a beta of 0.84. The company has a debt-to-equity ratio of 0.13, a current ratio of 2.25 and a quick ratio of 1.25.

Karat Packaging (NASDAQ:KRT) last issued its quarterly earnings data on Thursday, August 6th. The company reported $1.48 earnings per share for the quarter, beating the consensus estimate of $0.47 by $1.01. Karat Packaging had a net margin of 10.18% and a return on equity of 30.62%. The firm had revenue of $136.30 million for the quarter, compared to analyst estimates of $135.46 million. Analysts anticipate that Karat Packaging will post 2.63 earnings per share for the current fiscal year.

Karat Packaging Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, August 28th. Stockholders of record on Friday, August 21st were issued a dividend of $0.47 per share. The ex-dividend date was Friday, August 21st. This is a boost from Karat Packaging’s previous quarterly dividend of $0.45. This represents a $1.88 annualized dividend and a dividend yield of 4.0%. Karat Packaging’s dividend payout ratio (DPR) is currently 75.20%.

Institutional Trading of Karat Packaging

Several hedge funds have recently modified their holdings of KRT. Integrated Wealth Concepts LLC acquired a new stake in shares of Karat Packaging in the 2nd quarter valued at $25,000. Clearstead Advisors LLC increased its stake in shares of Karat Packaging by 188.8% in the 4th quarter. Clearstead Advisors LLC now owns 1,493 shares of the company’s stock valued at $34,000 after acquiring an additional 976 shares during the last quarter. Quarry LP bought a new stake in Karat Packaging in the third quarter valued at approximately $70,000. Legal & General Group Plc acquired a new stake in Karat Packaging during the 2nd quarter worth $75,000. Finally, Deutsche Bank AG raised its position in shares of Karat Packaging by 142.8% during the fourth quarter. Deutsche Bank AG now owns 3,861 shares of the company’s stock worth $87,000 after purchasing an additional 2,271 shares during the period. 25.20% of the stock is owned by institutional investors.

Karat Packaging Company Profile

Karat Packaging Technologies, Inc (NASDAQ: KRT) is a U.S.-based provider of premium packaging solutions for consumer goods and industrial products. The company specializes in the design, manufacture and delivery of high-quality litho-laminated folding cartons, tubes and flexible packaging. Karat Packaging operates an integrated production model that combines prepress, printing, converting and finishing capabilities to support the branding and shelf-appeal needs of its customers.

The company serves a diverse range of end markets, including food and beverage, confectionery, health and beauty, pharmaceuticals, specialty chemicals and promotional packaging.