Karat Packaging (NASDAQ:KRT) Posts Quarterly Earnings Results, Beats Expectations By $0.06 EPS

Karat Packaging (NASDAQ:KRT) released its earnings results on Thursday. The company reported $0.34 earnings per share for the quarter, beating the consensus estimate of $0.28 by $0.06, FiscalAI reports. Karat Packaging had a net margin of 6.67% and a return on equity of 18.98%. The business had revenue of $115.62 million during the quarter, compared to analysts’ expectations of $113.95 million.

Karat Packaging Stock Performance

Shares of Karat Packaging stock traded down $0.51 on Thursday, hitting $22.31. The stock had a trading volume of 61,710 shares, compared to its average volume of 65,002. The stock has a market cap of $448.43 million, a price-to-earnings ratio of 14.87, a price-to-earnings-growth ratio of 1.24 and a beta of 1.09. The company has a quick ratio of 1.09, a current ratio of 2.14 and a debt-to-equity ratio of 0.14. Karat Packaging has a twelve month low of $20.61 and a twelve month high of $32.68. The business’s 50 day moving average is $24.56 and its two-hundred day moving average is $23.95.

Karat Packaging Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, February 27th. Stockholders of record on Friday, February 20th were issued a dividend of $0.45 per share. This represents a $1.80 dividend on an annualized basis and a dividend yield of 8.1%. The ex-dividend date was Friday, February 20th. Karat Packaging’s payout ratio is currently 120.00%.

Wall Street Analyst Weigh In

KRT has been the subject of a number of recent analyst reports. Weiss Ratings reiterated a “hold (c+)” rating on shares of Karat Packaging in a research note on Thursday, January 22nd. Bank of America cut shares of Karat Packaging from a “buy” rating to an “underperform” rating and dropped their target price for the company from $27.00 to $22.00 in a report on Monday, November 17th. Finally, Zacks Research upgraded shares of Karat Packaging from a “strong sell” rating to a “hold” rating in a research note on Monday, January 5th. Three research analysts have rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Reduce” and a consensus price target of $26.50.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Stifel Financial Corp lifted its holdings in shares of Karat Packaging by 1.8% during the fourth quarter. Stifel Financial Corp now owns 22,798 shares of the company’s stock worth $515,000 after buying an additional 398 shares in the last quarter. First Trust Advisors LP increased its position in Karat Packaging by 1.9% during the fourth quarter. First Trust Advisors LP now owns 27,345 shares of the company’s stock worth $617,000 after acquiring an additional 508 shares during the period. Lazard Asset Management LLC increased its position in Karat Packaging by 1.9% during the second quarter. Lazard Asset Management LLC now owns 40,390 shares of the company’s stock worth $1,137,000 after acquiring an additional 770 shares during the period. Punch & Associates Investment Management Inc. raised its stake in Karat Packaging by 1.8% in the 4th quarter. Punch & Associates Investment Management Inc. now owns 62,615 shares of the company’s stock worth $1,413,000 after purchasing an additional 1,100 shares in the last quarter. Finally, Barclays PLC boosted its holdings in Karat Packaging by 2.6% in the 4th quarter. Barclays PLC now owns 42,766 shares of the company’s stock valued at $965,000 after purchasing an additional 1,102 shares during the period. 25.20% of the stock is owned by institutional investors and hedge funds.

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.