Karat Packaging (NASDAQ:KRT) Cut to “Hold” at Wall Street Zen

Wall Street Zen cut shares of Karat Packaging (NASDAQ:KRT) from a buy rating to a hold rating in a report issued on Saturday morning.

KRT has been the topic of several other reports. Bank of America increased their price target on shares of Karat Packaging from $23.00 to $34.00 and gave the stock an “underperform” rating in a research report on Tuesday, July 14th. The Goldman Sachs Group downgraded shares of Karat Packaging to a “neutral” rating in a research report on Thursday, June 4th. William Blair upgraded Karat Packaging from a “market perform” rating to an “outperform” rating in a research note on Thursday, June 4th. Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Karat Packaging in a report on Thursday, June 11th. Finally, Lake Street Capital reaffirmed a “buy” rating and issued a $39.00 target price on shares of Karat Packaging in a report on Friday, May 8th. Two research analysts have rated the stock with a Buy rating, three have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $36.50.

Karat Packaging Price Performance

NASDAQ KRT opened at $40.95 on Friday. Karat Packaging has a 52 week low of $20.61 and a 52 week high of $41.38. The firm has a market capitalization of $817.36 million, a P/E ratio of 25.92, a PEG ratio of 1.71 and a beta of 0.85. The company has a quick ratio of 1.15, a current ratio of 2.29 and a debt-to-equity ratio of 0.15. The company has a 50-day moving average price of $31.73 and a 200-day moving average price of $28.31.

Karat Packaging (NASDAQ:KRT) last issued its quarterly earnings data on Thursday, May 7th. The company reported $0.34 earnings per share for the quarter, topping the consensus estimate of $0.32 by $0.02. The firm had revenue of $116.95 million for the quarter, compared to analysts’ expectations of $112.98 million. Karat Packaging had a net margin of 6.61% and a return on equity of 19.87%. Equities research analysts anticipate that Karat Packaging will post 1.78 earnings per share for the current year.

Karat Packaging Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, May 28th. Stockholders of record on Thursday, May 21st were paid a $0.45 dividend. The ex-dividend date of this dividend was Thursday, May 21st. This represents a $1.80 dividend on an annualized basis and a dividend yield of 4.4%. Karat Packaging’s dividend payout ratio is 113.92%.

Institutional Trading of Karat Packaging

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Clearstead Advisors LLC lifted its holdings in Karat Packaging by 188.8% in the 4th quarter. Clearstead Advisors LLC now owns 1,493 shares of the company’s stock worth $34,000 after purchasing an additional 976 shares in the last quarter. CWM LLC grew its holdings in Karat Packaging by 61.5% during the 4th quarter. CWM LLC now owns 2,651 shares of the company’s stock valued at $60,000 after buying an additional 1,010 shares in the last quarter. Quarry LP bought a new stake in shares of Karat Packaging during the third quarter valued at approximately $70,000. 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 valued at $87,000 after buying an additional 2,271 shares during the last quarter. Finally, State of Wyoming purchased a new position in shares of Karat Packaging in the fourth quarter worth $122,000. Institutional investors own 25.20% of the company’s stock.

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.