Karat Packaging Inc. (NASDAQ:KRT) Receives Average Rating of "Hold" from Brokerages

Key Points

• Karat Packaging Inc. has received an average rating of "Hold" from five analysts, with three hold ratings and two buy ratings, and a 1-year price target of $31.67.
• Institutional investors have increased their stakes significantly, including GAMMA Investing, which raised its holdings by 4,151.4% in the first quarter.
• The company recently announced a quarterly dividend of $0.45 per share, resulting in an annual yield of 7.5% despite a high payout ratio of 113.21%.

Shares of Karat Packaging Inc. (NASDAQ:KRT - Get Free Report) have been assigned an average rating of "Hold" from the five analysts that are currently covering the stock, MarketBeat.com reports. Three analysts have rated the stock with a hold rating and two have given a buy rating to the company. The average 1-year price target among analysts that have issued a report on the stock in the last year is $31.6667.

Several brokerages recently commented on KRT. Wall Street Zen cut shares of Karat Packaging from a "strong-buy" rating to a "buy" rating in a report on Saturday, August 9th. Weiss Ratings reaffirmed a "buy (b-)" rating on shares of Karat Packaging in a research report on Saturday, September 27th. Finally, Bank of America assumed coverage on shares of Karat Packaging in a report on Wednesday, August 13th. They issued a "neutral" rating and a $28.00 target price on the stock.

Institutional Investors Weigh In On Karat Packaging

A number of institutional investors have recently modified their holdings of the company. GAMMA Investing LLC increased its stake in Karat Packaging by 4,151.4% during the 1st quarter. GAMMA Investing LLC now owns 1,488 shares of the company's stock valued at $40,000 after purchasing an additional 1,453 shares in the last quarter. Deutsche Bank AG grew its stake in shares of Karat Packaging by 773.6% in the 4th quarter. Deutsche Bank AG now owns 1,590 shares of the company's stock worth $48,000 after acquiring an additional 1,408 shares in the last quarter. Copeland Capital Management LLC grew its stake in shares of Karat Packaging by 58.3% in the 2nd quarter. Copeland Capital Management LLC now owns 2,083 shares of the company's stock worth $59,000 after acquiring an additional 767 shares in the last quarter. Jane Street Group LLC bought a new stake in shares of Karat Packaging in the 1st quarter worth $219,000. Finally, DAVENPORT & Co LLC bought a new stake in shares of Karat Packaging in the 2nd quarter worth $259,000. 25.20% of the stock is owned by institutional investors.

Karat Packaging Stock Performance

Shares of KRT remained flat at $23.87 on Friday. 69,583 shares of the company were exchanged, compared to its average volume of 65,532. The company has a debt-to-equity ratio of 0.29, a current ratio of 2.68 and a quick ratio of 1.40. The stock has a market cap of $479.55 million, a PE ratio of 15.01, a P/E/G ratio of 1.28 and a beta of 1.09. The stock's 50 day simple moving average is $25.41 and its 200 day simple moving average is $27.07. Karat Packaging has a twelve month low of $23.00 and a twelve month high of $33.89.

Karat Packaging Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, August 27th. Investors of record on Wednesday, August 20th were given a dividend of $0.45 per share. The ex-dividend date was Wednesday, August 20th. This represents a $1.80 annualized dividend and a yield of 7.5%. Karat Packaging's dividend payout ratio (DPR) is currently 113.21%.

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.

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