Karat Packaging Valuation

KRT Stock  USD 30.87  0.23  0.75%   
At this time, the firm appears to be fairly valued. Karat Packaging secures a last-minute Real Value of $30.9 per share. The latest price of the firm is $30.87. Our model forecasts the value of Karat Packaging from analyzing the firm fundamentals such as Current Valuation of 647.05 M, profit margin of 0.07 %, and Return On Equity of 0.18 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Karat Packaging's valuation include:
Price Book
3.9001
Enterprise Value
647.1 M
Enterprise Value Ebitda
11.356
Price Sales
1.4728
Trailing PE
21.7305
Fairly Valued
Today
30.87
Please note that Karat Packaging's price fluctuation is very steady at this time. Calculation of the real value of Karat Packaging is based on 3 months time horizon. Increasing Karat Packaging's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Karat Packaging's intrinsic value may or may not be the same as its current market price of 30.87, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  30.87 Real  30.9 Target  27.33 Hype  31.22 Naive  30.32
The intrinsic value of Karat Packaging's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Karat Packaging's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
30.90
Real Value
32.71
Upside
Estimating the potential upside or downside of Karat Packaging helps investors to forecast how Karat stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Karat Packaging more accurately as focusing exclusively on Karat Packaging's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
0.400.420.43
Details
Hype
Prediction
LowEstimatedHigh
29.4131.2233.03
Details
Potential
Annual Dividend
LowForecastedHigh
0.810.850.89
Details
4 Analysts
Consensus
LowTarget PriceHigh
24.8727.3330.34
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Karat Packaging's intrinsic value based on its ongoing forecasts of Karat Packaging's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Karat Packaging's closest peers.

Karat Packaging Cash

24.23 Million

Karat Valuation Trend

Karat Packaging's real value is important for investors to make better decisions and a more accurate overall view of Karat Packaging's financial worth over time. Using both Karat Packaging's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.

Karat Revenue by Product

Karat Packaging Total Value Analysis

Karat Packaging is now projected to have company total value of 647.05 M with market capitalization of 613.54 M, debt of 71 M, and cash on hands of 3.5 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Karat Packaging fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
647.05 M
613.54 M
71 M
3.5 M

Karat Packaging Investor Information

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. Based on the key indicators obtained from Karat Packaging's historical financial statements, Karat Packaging is performing exceptionally good at the present time. It has a great likelihood to report excellent financial results in December.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.110.1037
Notably Up
Slightly volatile
Operating Income21.5 M42.1 M
Way Down
Slightly volatile

Karat Packaging Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Karat Packaging has an asset utilization ratio of 146.76 percent. This implies that the Company is making $1.47 for each dollar of assets. An increasing asset utilization means that Karat Packaging is more efficient with each dollar of assets it utilizes for everyday operations.
 
Covid

Karat Packaging Ownership Allocation

Karat Packaging maintains a total of 20.02 Million outstanding shares. Karat Packaging secures majority of its outstanding shares owned by insiders. An insider is usually defined as a corporate executive, director, member of the board or institutional investor who own at least 10% of the company's outstanding shares. 66.22 % of Karat Packaging outstanding shares that are owned by insiders conveys that they have been buying or selling the stock in recent months in anticipation of some upcoming event. Please note that no matter how many assets the company has, if the real value of the firm is less than the current market value, you may not be able to make money on it.

Karat Packaging Profitability Analysis

The company reported the last year's revenue of 405.65 M. Total Income to common stockholders was 32.47 M with profit before taxes, overhead, and interest of 132.09 M.

Karat Packaging Past Distributions to stockholders

About Karat Packaging Valuation

The stock valuation mechanism determines Karat Packaging's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Karat Packaging based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Karat Packaging. We calculate exposure to Karat Packaging's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Karat Packaging's related companies.
Last ReportedProjected for Next Year
Gross Profit153 M98.7 M
Pretax Profit Margin 0.11  0.11 
Operating Profit Margin 0.10  0.11 
Net Profit Margin 0.08  0.08 
Gross Profit Margin 0.38  0.24 

Karat Packaging Quarterly Retained Earnings

68.72 Million

Karat Packaging's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Karat Packaging's value is low or high relative to the company's performance and growth projections. Determining the market value of Karat Packaging can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Karat Packaging represents a small ownership stake in the entity. As a stockholder of Karat, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Karat Packaging Dividends Analysis For Valuation

At this time, Karat Packaging's Dividends Paid is comparatively stable compared to the past year. Dividend Yield is likely to gain to 0.05 in 2024, whereas Dividend Payout Ratio is likely to drop 0.68 in 2024. . At this time, Karat Packaging's Retained Earnings are comparatively stable compared to the past year. Earnings Yield is likely to gain to 0.07 in 2024, whereas Retained Earnings Total Equity is likely to drop slightly above 44.9 M in 2024.
Last ReportedProjected for Next Year
Dividends Paid23.2 M24.4 M
Dividend Yield 0.05  0.05 
Dividend Payout Ratio 0.71  0.68 
Dividend Paid And Capex Coverage Ratio 1.64  1.72 
There are various types of dividends Karat Packaging can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Karat shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Karat Packaging directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Karat pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Karat Packaging by the value of the dividends paid out.

Karat Packaging Growth Indicators

Investing in growth stocks can be very risky. If the company such as Karat Packaging does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding20 M

Karat Packaging Current Valuation Indicators

Karat Packaging's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Karat Packaging's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Karat Packaging, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Karat Packaging's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Karat Packaging's worth.

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.