Is Karat Packaging Stock a Good Investment?
Karat Packaging Investment Advice | KRT |
- Examine Karat Packaging's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Karat Packaging's leadership team and their track record. Good management can help Karat Packaging navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Diversified Metals & Mining space and any emerging trends that could impact Karat Packaging's business and its evolving consumer preferences.
- Compare Karat Packaging's performance and market position to its competitors. Analyze how Karat Packaging is positioned in terms of product offerings, innovation, and market share.
- Check if Karat Packaging pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Karat Packaging's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Karat Packaging stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Karat Packaging is a good investment.
Sell | Buy |
Strong Buy
Market Performance | OK | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Karat Packaging Stock
Researching Karat Packaging's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 66.0% of the company outstanding shares are owned by corporate insiders. The book value of Karat Packaging was now reported as 7.86. The company last dividend was issued on the 20th of November 2024.
To determine if Karat Packaging is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Karat Packaging's research are outlined below:
| Karat Packaging is unlikely to experience financial distress in the next 2 years | |
| About 66.0% of the company outstanding shares are owned by corporate insiders | |
| Latest headline from thelincolnianonline.com: Karat Packaging Inc. Announces Dividend Increase 0.40 Per Share |
Karat Packaging Quarterly Cash And Short Term Investments |
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Karat Packaging uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Karat Packaging. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Karat Packaging's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 21st of March 2024 Upcoming Quarterly Report | View | |
| 8th of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 21st of March 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Karat Packaging's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Karat Packaging's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2022-03-23 | 2021-12-31 | 0.29 | 0.32 | 0.03 | 10 | ||
2024-05-09 | 2024-03-31 | 0.45 | 0.4 | -0.05 | 11 | ||
2022-05-12 | 2022-03-31 | 0.27 | 0.36 | 0.09 | 33 | ||
2024-08-08 | 2024-06-30 | 0.6 | 0.49 | -0.11 | 18 | ||
2023-05-10 | 2023-03-31 | 0.31 | 0.46 | 0.15 | 48 | ||
2021-11-11 | 2021-09-30 | 0.35 | 0.19 | -0.16 | 45 | ||
2024-03-14 | 2023-12-31 | 0.41 | 0.24 | -0.17 | 41 | ||
2021-08-12 | 2021-06-30 | 0.33 | 0.53 | 0.2 | 60 |
Know Karat Packaging's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Karat Packaging is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Karat Packaging backward and forwards among themselves. Karat Packaging's institutional investor refers to the entity that pools money to purchase Karat Packaging's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Dimensional Fund Advisors, Inc. | 2024-09-30 | 133.3 K | Kornitzer Capital Management Inc | 2024-09-30 | 126.7 K | State Street Corp | 2024-06-30 | 120.9 K | Aqr Capital Management Llc | 2024-06-30 | 117 K | Boston Partners Global Investors, Inc | 2024-06-30 | 104.3 K | Uniplan Investment Counsel, Inc. | 2024-06-30 | 85.4 K | Zacks Investment Management Inc | 2024-06-30 | 85.1 K | O'shaughnessy Asset Management Llc | 2024-06-30 | 70.3 K | Barclays Plc | 2024-06-30 | 63.2 K | Wellington Management Company Llp | 2024-06-30 | 446.4 K | Blackrock Inc | 2024-06-30 | 408.2 K |
Karat Packaging's market capitalization trends
The company currently falls under 'Small-Cap' category with a total capitalization of 592.71 M.Market Cap |
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Karat Packaging's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.12 | 0.13 | |
| Return On Capital Employed | 0.18 | 0.18 | |
| Return On Assets | 0.12 | 0.12 | |
| Return On Equity | 0.21 | 0.25 |
Determining Karat Packaging's profitability involves analyzing its financial statements and using various financial metrics to determine if Karat Packaging is a good buy. For example, gross profit margin measures Karat Packaging's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Karat Packaging's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in Karat Packaging's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Karat Packaging. Check Karat Packaging's Beneish M Score to see the likelihood of Karat Packaging's management manipulating its earnings.
Evaluate Karat Packaging's management efficiency
Karat Packaging has Return on Asset of 0.0807 % which means that on every $100 spent on assets, it made $0.0807 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.1775 %, implying that it generated $0.1775 on every 100 dollars invested. Karat Packaging's management efficiency ratios could be used to measure how well Karat Packaging manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Karat Packaging's Return On Tangible Assets are comparatively stable compared to the past year. Return On Assets is likely to gain to 0.12 in 2024, whereas Return On Capital Employed is likely to drop 0.18 in 2024. Change To Liabilities is likely to gain to about 4.4 M in 2024, whereas Total Current Liabilities is likely to drop slightly above 34.2 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 8.17 | 8.58 | |
| Tangible Book Value Per Share | 7.98 | 8.38 | |
| Enterprise Value Over EBITDA | 8.99 | 8.54 | |
| Price Book Value Ratio | 3.21 | 3.05 | |
| Enterprise Value Multiple | 8.99 | 8.54 | |
| Price Fair Value | 3.21 | 3.05 | |
| Enterprise Value | 542.6 M | 317.7 M |
The strategic initiatives led by Karat Packaging's management are central to its market success. By analyzing these initiatives, we provide a clear picture of the stock's growth prospects.
Dividend Yield 0.056 | Forward Dividend Yield 0.056 | Forward Dividend Rate 1.6 | Beta 1.003 |
Basic technical analysis of Karat Stock
As of the 22nd of November, Karat Packaging secures the Downside Deviation of 1.37, risk adjusted performance of 0.1166, and Mean Deviation of 1.2. Karat Packaging technical analysis lets you operate historical price patterns with an objective to determine a pattern that forecasts the direction of the firm's future prices.Karat Packaging's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Karat Packaging insiders, such as employees or executives, is commonly permitted as long as it does not rely on Karat Packaging's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Karat Packaging insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Karat Packaging's Outstanding Corporate Bonds
Karat Packaging issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Karat Packaging uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Karat bonds can be classified according to their maturity, which is the date when Karat Packaging has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Boeing Co 2196 Corp BondUS097023DG73 | View | |
| HSBC Holdings PLC Corp BondUS404280DR76 | View | |
| MGM Resorts International Corp BondUS552953CD18 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Karat Packaging's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Karat Packaging's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.1166 | |||
| Market Risk Adjusted Performance | 0.1483 | |||
| Mean Deviation | 1.2 | |||
| Semi Deviation | 1.03 | |||
| Downside Deviation | 1.37 | |||
| Coefficient Of Variation | 688.78 | |||
| Standard Deviation | 1.83 | |||
| Variance | 3.33 | |||
| Information Ratio | 0.0852 | |||
| Jensen Alpha | 0.0716 | |||
| Total Risk Alpha | 0.0169 | |||
| Sortino Ratio | 0.1132 | |||
| Treynor Ratio | 0.1383 | |||
| Maximum Drawdown | 11.75 | |||
| Value At Risk | (1.89) | |||
| Potential Upside | 3.17 | |||
| Downside Variance | 1.89 | |||
| Semi Variance | 1.06 | |||
| Expected Short fall | (1.40) | |||
| Skewness | 1.82 | |||
| Kurtosis | 7.96 |
| Risk Adjusted Performance | 0.1166 | |||
| Market Risk Adjusted Performance | 0.1483 | |||
| Mean Deviation | 1.2 | |||
| Semi Deviation | 1.03 | |||
| Downside Deviation | 1.37 | |||
| Coefficient Of Variation | 688.78 | |||
| Standard Deviation | 1.83 | |||
| Variance | 3.33 | |||
| Information Ratio | 0.0852 | |||
| Jensen Alpha | 0.0716 | |||
| Total Risk Alpha | 0.0169 | |||
| Sortino Ratio | 0.1132 | |||
| Treynor Ratio | 0.1383 | |||
| Maximum Drawdown | 11.75 | |||
| Value At Risk | (1.89) | |||
| Potential Upside | 3.17 | |||
| Downside Variance | 1.89 | |||
| Semi Variance | 1.06 | |||
| Expected Short fall | (1.40) | |||
| Skewness | 1.82 | |||
| Kurtosis | 7.96 |
Consider Karat Packaging's intraday indicators
Karat Packaging intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Karat Packaging stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Karat Packaging Corporate Filings
F4 | 20th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
10Q | 8th of November 2024 Quarterly performance report mandated by Securities and Exchange Commission (SEC), to be filed by publicly traded corporations | ViewVerify |
8K | 7th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 26th of April 2024 Other Reports | ViewVerify |
Karat Stock media impact
Far too much social signal, news, headlines, and media speculation about Karat Packaging that are available to investors today. That information is available publicly through Karat media outlets and privately through word of mouth or via Karat internal channels. However, regardless of the origin, that massive amount of Karat data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Karat Packaging news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Karat Packaging relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Karat Packaging's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Karat Packaging alpha.
Karat Packaging Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Karat Packaging can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Karat Packaging Corporate Management
| Marvin Cheng | VP Secretary | Profile | |
| Daniel Quire | Director Sales | Profile | |
| Jian Guo | Chief Officer | Profile | |
| Alan Yu | Chairman CEO | Profile | |
| Joanne Wang | COO Director | Profile |
Additional Tools for Karat Stock Analysis
When running Karat Packaging's price analysis, check to measure Karat Packaging's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Karat Packaging is operating at the current time. Most of Karat Packaging's value examination focuses on studying past and present price action to predict the probability of Karat Packaging's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Karat Packaging's price. Additionally, you may evaluate how the addition of Karat Packaging to your portfolios can decrease your overall portfolio volatility.