Karat Packaging (NASDAQ:KRT) Reaches New 52-Week High – Still a Buy?

Karat Packaging Inc. (NASDAQ:KRT)’s share price reached a new 52-week high during trading on Tuesday . The stock traded as high as $34.90 and last traded at $34.79, with a volume of 132238 shares changing hands. The stock had previously closed at $34.25.

Analysts Set New Price Targets

Several equities analysts recently commented on the company. Weiss Ratings restated a “hold (c+)” rating on shares of Karat Packaging in a research report on Thursday, June 11th. William Blair upgraded Karat Packaging from a “market perform” rating to an “outperform” rating in a research note on Thursday, June 4th. The Goldman Sachs Group cut Karat Packaging to a “neutral” rating in a report on Thursday, June 4th. Zacks Research downgraded shares of Karat Packaging from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, May 12th. Finally, Bank of America set a $24.00 target price on shares of Karat Packaging and gave the stock an “underperform” rating in a report on Friday, March 13th. Two equities research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Karat Packaging currently has an average rating of “Hold” and an average target price of $31.50.

Karat Packaging Stock Down 2.1%

The firm has a 50 day moving average price of $29.34 and a 200-day moving average price of $26.98. The firm has a market cap of $666.26 million, a price-to-earnings ratio of 21.13, a price-to-earnings-growth ratio of 1.70 and a beta of 0.85. The company has a debt-to-equity ratio of 0.15, a current ratio of 2.29 and a quick ratio of 1.15.

Karat Packaging (NASDAQ:KRT) last announced its quarterly earnings data on Thursday, May 7th. The company reported $0.34 EPS for the quarter, topping analysts’ consensus estimates of $0.32 by $0.02. The firm had revenue of $116.95 million during the quarter, compared to analyst estimates of $112.98 million. Karat Packaging had a return on equity of 19.87% and a net margin of 6.61%. As a group, equities analysts predict that Karat Packaging Inc. will post 1.78 EPS for the current fiscal year.

Karat Packaging Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, May 28th. Investors of record on Thursday, May 21st were paid a dividend of $0.45 per share. This represents a $1.80 dividend on an annualized basis and a dividend yield of 5.4%. The ex-dividend date of this dividend was Thursday, May 21st. Karat Packaging’s payout ratio is 113.92%.

Hedge Funds Weigh In On Karat Packaging

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Clearstead Advisors LLC raised its position in shares of Karat Packaging by 188.8% during 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. CWM LLC boosted its position in shares of Karat Packaging by 61.5% in the 4th quarter. CWM LLC now owns 2,651 shares of the company’s stock worth $60,000 after purchasing an additional 1,010 shares during the last quarter. Quarry LP bought a new position in shares of Karat Packaging in the 3rd quarter worth $70,000. Deutsche Bank AG grew its stake 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. Finally, State of Wyoming acquired a new stake in shares of Karat Packaging during the fourth quarter worth $122,000. 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.