Karat Packaging (NASDAQ:KRT) Issues Quarterly Earnings Results

Karat Packaging (NASDAQ:KRT) issued its earnings results on Thursday. The company reported $0.37 earnings per share for the quarter, meeting analysts’ consensus estimates of $0.37, FiscalAI reports. Karat Packaging had a return on equity of 18.98% and a net margin of 6.67%.The firm had revenue of $124.52 million for the quarter, compared to the consensus estimate of $124.09 million. Karat Packaging updated its FY 2025 guidance to EPS and its Q4 2025 guidance to EPS.

Karat Packaging Trading Down 6.3%

NASDAQ KRT traded down $1.50 during trading hours on Friday, reaching $22.50. The company’s stock had a trading volume of 221,442 shares, compared to its average volume of 115,346. The firm has a fifty day simple moving average of $24.45 and a 200-day simple moving average of $26.77. The stock has a market cap of $452.03 million, a P/E ratio of 15.00, a P/E/G ratio of 1.19 and a beta of 1.09. Karat Packaging has a 52 week low of $21.25 and a 52 week high of $33.89. The company has a debt-to-equity ratio of 0.29, a current ratio of 2.68 and a quick ratio of 1.40.

Karat Packaging Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, November 28th. Stockholders of record on Friday, November 21st will be paid a $0.45 dividend. The ex-dividend date of this dividend is Friday, November 21st. This represents a $1.80 annualized dividend and a dividend yield of 8.0%. Karat Packaging’s dividend payout ratio is currently 120.00%.

Hedge Funds Weigh In On Karat Packaging

Several large investors have recently modified their holdings of the business. Jane Street Group LLC bought a new stake in shares of Karat Packaging in the 1st quarter valued at $219,000. Occudo Quantitative Strategies LP acquired a new position in Karat Packaging in the second quarter valued at $278,000. Rhumbline Advisers grew its holdings in Karat Packaging by 14.6% during the 3rd quarter. Rhumbline Advisers now owns 11,437 shares of the company’s stock worth $288,000 after acquiring an additional 1,456 shares during the period. Brevan Howard Capital Management LP acquired a new stake in Karat Packaging during the 2nd quarter worth about $322,000. Finally, Bank of America Corp DE raised its position in shares of Karat Packaging by 51.2% in the 2nd quarter. Bank of America Corp DE now owns 12,509 shares of the company’s stock worth $352,000 after acquiring an additional 4,236 shares in the last quarter. Institutional investors own 25.20% of the company’s stock.

Analysts Set New Price Targets

KRT has been the topic of several research analyst reports. Wall Street Zen lowered Karat Packaging from a “buy” rating to a “hold” rating in a research note on Saturday. Zacks Research upgraded shares of Karat Packaging from a “strong sell” rating to a “hold” rating in a research note on Monday, October 6th. Weiss Ratings lowered shares of Karat Packaging from a “buy (b-)” rating to a “hold (c+)” rating in a report on Wednesday, October 8th. Finally, Bank of America upgraded shares of Karat Packaging from a “neutral” rating to a “buy” rating and set a $31.00 price objective for the company in a research report on Thursday, October 9th. Two equities research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $32.67.

About Karat Packaging

Karat Packaging Inc, together with its subsidiaries, engages in the manufacture and distribution of single-use disposable products in plastic, paper, biopolymer-based, and other compostable forms used in various restaurant and foodservice settings. It provides food and take-out containers, bags, tableware, cups, lids, cutlery, straws, specialty beverage ingredients, equipment, gloves, and other products under the Karat Earth brand.