Karat Packaging (NASDAQ:KRT) Shares Gap Up – Time to Buy?

Shares of Karat Packaging Inc. (NASDAQ:KRT) gapped up before the market opened on Monday . The stock had previously closed at $28.75, but opened at $30.10. Karat Packaging shares last traded at $29.87, with a volume of 6,267 shares traded.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on KRT shares. Zacks Research raised shares of Karat Packaging from a “hold” rating to a “strong-buy” rating in a research report on Friday, March 20th. Bank of America set a $24.00 target price on shares of Karat Packaging and gave the stock an “underperform” rating in a report on Friday, March 13th. Wall Street Zen upgraded shares of Karat Packaging from a “buy” rating to a “strong-buy” rating in a report on Sunday, March 22nd. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Karat Packaging in a report on Thursday, January 22nd. One research analyst has rated the stock with a Strong Buy rating, two have given a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Karat Packaging currently has an average rating of “Hold” and a consensus price target of $27.50.

Karat Packaging Trading Down 1.6%

The business’s 50-day moving average price is $26.52 and its 200 day moving average price is $24.56. The company has a market cap of $593.31 million, a P/E ratio of 19.04, a P/E/G ratio of 1.18 and a beta of 0.99. The company has a debt-to-equity ratio of 0.15, a quick ratio of 1.13 and a current ratio of 2.30.

Karat Packaging (NASDAQ:KRT) last announced its quarterly earnings data on Thursday, March 12th. The company reported $0.34 EPS for the quarter, beating analysts’ consensus estimates of $0.28 by $0.06. The company had revenue of $115.62 million during the quarter, compared to the consensus estimate of $113.95 million. Karat Packaging had a net margin of 6.73% and a return on equity of 19.63%. As a group, analysts expect that Karat Packaging Inc. will post 1.66 earnings per share for the current year.

Karat Packaging Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, February 27th. Stockholders of record on Friday, February 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 6.1%. The ex-dividend date was Friday, February 20th. Karat Packaging’s dividend payout ratio (DPR) is currently 115.38%.

Institutional Trading of Karat Packaging

Several hedge funds and other institutional investors have recently bought and sold shares of KRT. CWA Asset Management Group LLC bought a new position in Karat Packaging in the 4th quarter valued at about $2,398,000. Harel Insurance Investments & Financial Services Ltd. grew its holdings in shares of Karat Packaging by 130.2% during the 3rd quarter. Harel Insurance Investments & Financial Services Ltd. now owns 57,552 shares of the company’s stock valued at $1,447,000 after purchasing an additional 32,552 shares during the last quarter. Polar Asset Management Partners Inc. bought a new stake in shares of Karat Packaging during the 3rd quarter valued at approximately $5,039,000. CWM LLC grew its holdings in shares of Karat Packaging by 378.4% during the 3rd quarter. CWM LLC now owns 1,641 shares of the company’s stock valued at $41,000 after purchasing an additional 1,298 shares during the last quarter. Finally, Inspire Investing LLC bought a new stake in shares of Karat Packaging during the 3rd quarter valued at approximately $461,000. Institutional investors and hedge funds own 25.20% of the company’s stock.

Karat Packaging Company Profile

Karat Packaging Technologies, Inc (NASDAQ: KRT) is a U.S.-based provider of premium packaging solutions for consumer goods and industrial products. The company specializes in the design, manufacture and delivery of high-quality litho-laminated folding cartons, tubes and flexible packaging. Karat Packaging operates an integrated production model that combines prepress, printing, converting and finishing capabilities to support the branding and shelf-appeal needs of its customers.

The company serves a diverse range of end markets, including food and beverage, confectionery, health and beauty, pharmaceuticals, specialty chemicals and promotional packaging.