Karat Packaging (NASDAQ:KRT) Cut to Buy at Wall Street Zen

Wall Street Zen downgraded shares of Karat Packaging (NASDAQ:KRT - Free Report) from a strong-buy rating to a buy rating in a research note released on Friday morning.

Separately, Truist Financial raised their price target on shares of Karat Packaging from $28.00 to $31.00 and gave the stock a "hold" rating in a research report on Monday, May 12th.

Karat Packaging Stock Up 0.3%

NASDAQ KRT traded up $0.10 during trading hours on Friday, hitting $31.32. 35,982 shares of the company traded hands, compared to its average volume of 40,958. The stock has a market capitalization of $628.28 million, a price-to-earnings ratio of 22.37 and a beta of 1.19. Karat Packaging has a twelve month low of $23.00 and a twelve month high of $33.89. The business's 50-day moving average is $27.89 and its 200-day moving average is $29.32. The company has a debt-to-equity ratio of 0.29, a quick ratio of 1.82 and a current ratio of 3.12.

Karat Packaging (NASDAQ:KRT - Get Free Report) last issued its earnings results on Thursday, March 13th. The company reported $0.29 EPS for the quarter, missing the consensus estimate of $0.43 by ($0.14). The business had revenue of $101.65 million for the quarter, compared to the consensus estimate of $102.27 million. Karat Packaging had a return on equity of 19.84% and a net margin of 6.78%. Sell-side analysts anticipate that Karat Packaging will post 1.66 earnings per share for the current year.

Karat Packaging Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, May 23rd. Investors of record on Friday, May 16th were given a $0.45 dividend. This represents a $1.80 dividend on an annualized basis and a dividend yield of 5.75%. The ex-dividend date of this dividend was Friday, May 16th. Karat Packaging's payout ratio is currently 120.00%.

Hedge Funds Weigh In On Karat Packaging

Several hedge funds have recently bought and sold shares of KRT. Barclays PLC lifted its holdings in shares of Karat Packaging by 12.5% during the 3rd quarter. Barclays PLC now owns 71,153 shares of the company's stock worth $1,843,000 after acquiring an additional 7,911 shares during the period. American Century Companies Inc. lifted its stake in Karat Packaging by 3.4% during the fourth quarter. American Century Companies Inc. now owns 187,549 shares of the company's stock worth $5,675,000 after purchasing an additional 6,224 shares during the last quarter. Geode Capital Management LLC boosted its holdings in shares of Karat Packaging by 2.0% in the 4th quarter. Geode Capital Management LLC now owns 182,271 shares of the company's stock valued at $5,517,000 after purchasing an additional 3,626 shares in the last quarter. Trexquant Investment LP bought a new position in shares of Karat Packaging in the 4th quarter valued at $352,000. Finally, Wells Fargo & Company MN increased its stake in shares of Karat Packaging by 20.8% in the 4th quarter. Wells Fargo & Company MN now owns 5,538 shares of the company's stock valued at $168,000 after purchasing an additional 955 shares during the last quarter. 25.20% of the stock is owned by institutional investors.

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.