Karat Packaging (KRT) Stock Price, News & Analysis

Company Overview

Karat Packaging Inc. is a manufacturer and distributor of disposable foodservice products and supplies. The company serves restaurants, cafés, foodservice distributors, grocery stores, convenience stores, and other commercial and institutional customers, primarily in North America.

Its product portfolio includes cups and lids, food containers, plates, bowls, cutlery, straws, napkins, gloves, bags, and related serving and packaging products. Karat Packaging offers products made from materials such as paper, plastic, aluminum, and compostable or other environmentally oriented alternatives, including products marketed under the Karat Earth brand.

Founded in 2000 and headquartered in Chino, California, the company operates through a combination of manufacturing, sourcing, distribution, and product development activities. Karat Packaging was publicly listed on the Nasdaq stock exchange in 2019. Alan Yu, one of the company’s founders, serves as its chief executive officer.

Key Stats

• Today's Range: $53.51 to $55.18
• 50-Day Range: $40.78 to $54.68
• 52-Week Range: $20.61 to $55.36
• Volume: 184,039 shs
• Average Volume: 201,999 shs
• Market Capitalization: $1.09 billion
• P/E Ratio: 21.83
• Dividend Yield: 3.44%
• Price Target: $47.00
• Consensus Rating: Hold

Karat Packaging Stock Analysis - MarketRank™

Karat Packaging scored higher than 30% of companies evaluated by MarketBeat, and ranked 562nd out of 664 stocks in the industrials sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 1.8 / 5
• Analyst Rating: Hold

Consensus Rating

Karat Packaging has received a consensus rating of Hold. The company's average rating score is 2.33, and is based on no strong buy ratings, 3 buy ratings, 2 hold ratings, and 1 sell rating.

Downside Risk

Karat Packaging has a consensus price target of $47.00, representing about 13.9% downside from its current price of $54.58.

Amount of Analyst Coverage

Karat Packaging has only been the subject of 3 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.3 / 5
• Proj. Earnings Growth: -14.45%

Earnings Growth

Earnings for Karat Packaging are expected to decrease by -14.45% in the coming year, from $2.63 to $2.25 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Karat Packaging is 21.83, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 44.80.

Price to Earnings Ratio vs. Sector

The P/E ratio of Karat Packaging is 21.83, which means that it is trading at a less expensive P/E ratio than the Industrials sector average P/E ratio of about 26.76.

Price to Earnings Growth Ratio

Karat Packaging has a PEG Ratio of 1.50. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Karat Packaging has a P/B Ratio of 7.00. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 2.0 / 5
• Short Interest Level: Bearish

Percentage of Shares Shorted

7.06% of the float of Karat Packaging has been sold short.

Short Interest Ratio / Days to Cover

Karat Packaging has a short interest ratio ("days to cover") of 2.85, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Karat Packaging has recently increased by 35.88%, indicating that investor sentiment is decreasing significantly.

Dividend

• Score: 0.8 / 5
• Dividend Strength: Weak

Dividend Yield

Karat Packaging pays a meaningful dividend of 3.44%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Karat Packaging has only been increasing its dividend for 2 years.

Dividend Coverage

The dividend payout ratio of Karat Packaging is 75.20%. Payout ratios above 75% are not desirable because they may not be sustainable.

Dividend Sustainability

Based on EPS estimates, Karat Packaging will have a dividend payout ratio of 83.56% in the coming year. This indicates that Karat Packaging may not be able to sustain their current dividend.

News and Social Media

• Score: 2.2 / 5
• News Sentiment: 0.50

News Sentiment

Karat Packaging has a news sentiment score of 0.50. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This news sentiment score is similar to the average news sentiment of Industrials companies.

News Coverage This Week

MarketBeat has tracked 6 news articles for Karat Packaging this week, compared to 3 articles on an average week.

Search Interest

Only 7 people have searched for KRT on MarketBeat in the last 30 days. This is a decrease of -22% compared to the previous 30 days.

MarketBeat Follows

Only 3 people have added Karat Packaging to their MarketBeat watchlist in the last 30 days. This is a decrease of 0% compared to the previous 30 days.

Company Ownership

• Score: 1.0 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Karat Packaging insiders have not sold or bought any company stock.

Percentage Held by Insiders

57.90% of the stock of Karat Packaging is held by insiders. A high percentage of insider ownership can be a sign of company health.

Percentage Held by Institutions

25.20% of the stock of Karat Packaging is held by institutions.

Company Calendar

• Last Earnings: 8/06/2026
• Record date for 8/28 Dividend: 8/21/2026
• Ex-Dividend for 8/28 Dividend: 8/21/2026
• Dividend Payable: 8/28/2026
• Today: 10/11/2026
• Next Earnings (Estimated): 11/05/2026
• Fiscal Year End: 12/31/2026

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Industrials
• Industry: Trading Companies & Distributors
• Sub-Industry: Trading Companies & Distributors
• Current Symbol: NASDAQ:KRT
• CIK: 1758021
• Web: www.karatpackaging.com
• Phone: 626-965-8882
• Fax: N/A
• Employees: 696
• Year Founded: 2000

Price Target and Rating

• Average Price Target for Karat Packaging: $47.00
• High Price Target: $60.00
• Low Price Target: $34.00
• Potential Upside/Downside: -13.9%
• Consensus Rating: Hold
• Rating Score (0-4): 2.33
• Research Coverage: 6 Analysts

Profitability

• EPS (Trailing Twelve Months): $2.50
• Trailing P/E Ratio: 21.83
• Forward P/E Ratio: 20.75
• P/E Growth: 1.5
• Net Income: $31.48 million
• Net Margins: 10.18%
• Pretax Margin: 13.78%
• Return on Equity: 30.62%
• Return on Assets: 16.67%

Debt

• Debt-to-Equity Ratio: 0.13
• Current Ratio: 2.25
• Quick Ratio: 1.25

Sales & Book Value

• Annual Sales: $467.74 million
• Price / Sales: 2.33
• Cash Flow: $2.61 per share
• Price / Cash Flow: 20.89
• Book Value: $7.80 per share
• Price / Book: 7.00

Miscellaneous

• Outstanding Shares: 19,930,000
• Free Float: 8,391,000
• Market Cap: $1.09 billion
• Optionable: Not Optionable
• Beta: 0.79