Karat Packaging Inc. $KRT Shares Bought by Acadian Asset Management LLC

Key Points

• Acadian Asset Management LLC increased its stake in Karat Packaging by 9.0%, now owning 245,734 shares worth approximately $6.53 million.
• Research firms recently set a consensus price target of $31.67 for Karat Packaging, with one analyst rating it as a Buy and three as Hold.
• The company announced a quarterly dividend of $0.45 per share, reflecting an annualized yield of 7.5%, despite a high payout ratio of 113.21%.

Acadian Asset Management LLC boosted its stake in Karat Packaging Inc. (NASDAQ:KRT - Free Report) by 9.0% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 245,734 shares of the company's stock after acquiring an additional 20,262 shares during the period. Acadian Asset Management LLC owned about 1.22% of Karat Packaging worth $6,529,000 as of its most recent SEC filing.

A number of other institutional investors and hedge funds have also recently bought and sold shares of the stock. American Century Companies Inc. lifted its position in Karat Packaging by 13.2% in the first quarter. American Century Companies Inc. now owns 212,340 shares of the company's stock valued at $5,644,000 after acquiring an additional 24,791 shares during the last quarter. Russell Investments Group Ltd. lifted its position in Karat Packaging by 11.8% in the first quarter. Russell Investments Group Ltd. now owns 89,028 shares of the company's stock valued at $2,366,000 after acquiring an additional 9,383 shares during the last quarter. Millennium Management LLC lifted its position in Karat Packaging by 108.5% in the fourth quarter. Millennium Management LLC now owns 84,038 shares of the company's stock valued at $2,543,000 after acquiring an additional 43,740 shares during the last quarter. Jacobs Levy Equity Management Inc. lifted its position in Karat Packaging by 2.2% in the first quarter. Jacobs Levy Equity Management Inc. now owns 59,768 shares of the company's stock valued at $1,589,000 after acquiring an additional 1,307 shares during the last quarter. Finally, Northern Trust Corp lifted its position in Karat Packaging by 5.2% in the fourth quarter. Northern Trust Corp now owns 56,330 shares of the company's stock valued at $1,705,000 after acquiring an additional 2,762 shares during the last quarter. 25.20% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other news, CEO Alan Yu sold 112,500 shares of the business's stock in a transaction dated Friday, June 27th. The shares were sold at an average price of $27.00, for a total transaction of $3,037,500.00. Following the transaction, the chief executive officer directly owned 6,091,305 shares in the company, valued at $164,465,235. The trade was a 1.81% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 66.20% of the stock is currently owned by company insiders.

Karat Packaging Stock Performance

Shares of Karat Packaging stock traded up $0.20 on Thursday, reaching $24.40. 74,888 shares of the stock were exchanged, compared to its average volume of 67,088. Karat Packaging Inc. has a 1-year low of $23.00 and a 1-year high of $33.89. The company has a current ratio of 2.68, a quick ratio of 1.40 and a debt-to-equity ratio of 0.29. The business has a fifty day moving average price of $26.17 and a two-hundred day moving average price of $27.40. The firm has a market capitalization of $490.20 million, a PE ratio of 15.35, a PEG ratio of 1.29 and a beta of 1.11.

Karat Packaging Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, August 27th. Stockholders of record on Wednesday, August 20th were paid a dividend of $0.45 per share. This represents a $1.80 dividend on an annualized basis and a dividend yield of 7.4%. The ex-dividend date was Wednesday, August 20th. Karat Packaging's payout ratio is 113.21%.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on KRT shares. Wall Street Zen cut shares of Karat Packaging from a "strong-buy" rating to a "buy" rating in a research report on Saturday, August 9th. Bank of America initiated coverage on shares of Karat Packaging in a research note on Wednesday, August 13th. They issued a "neutral" rating and a $28.00 price objective on the stock. One analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. According to MarketBeat, Karat Packaging currently has a consensus rating of "Hold" and a consensus target price of $31.67.

Karat Packaging Company Profile

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.