ScoreWhy is Karat Packaging, Inc. ?
1
High Management Efficiency with a high ROE of 25.32%
2
The company is Net-Debt Free
3
Healthy long term growth as Net Sales has grown by an annual rate of 10.21% and Operating profit at 10.74%
4
Flat results in Mar 26
- OPERATING CASH FLOW(Y) Lowest at USD 33.28 MM
- RAW MATERIAL COST(Y) Grown by 10.02% (YoY)
5
With ROE of 21.50%, it has a very attractive valuation with a 3.69 Price to Book Value
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 14.81%, its profits have fallen by -1.9%
6
High Institutional Holdings at 40.42%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
- Their stake has increased by 0.56% over the previous quarter.
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Karat Packaging, Inc. should be less than 10%
- Overall Portfolio exposure to Packaging should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Packaging)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Karat Packaging, Inc. for you?
High Risk, Low Return
Absolute
Risk Adjusted
Volatility
Karat Packaging, Inc.
14.81%
0.29
37.72%
S&P 500
20.77%
1.57
13.22%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
10.21%
EBIT Growth (5y)
10.74%
EBIT to Interest (avg)
14.98
Debt to EBITDA (avg)
0.87
Net Debt to Equity (avg)
0.02
Sales to Capital Employed (avg)
2.03
Tax Ratio
24.32%
Dividend Payout Ratio
115.39%
Pledged Shares
0
Institutional Holding
40.42%
ROCE (avg)
21.41%
ROE (avg)
25.32%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
17
Industry P/E
Price to Book Value
3.69
EV to EBIT
13.72
EV to EBITDA
9.05
EV to Capital Employed
3.52
EV to Sales
1.20
PEG Ratio
NA
Dividend Yield
NA
ROCE (Latest)
25.68%
ROE (Latest)
21.50%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
No Trend
Mildly Bullish
OBV
Mildly Bullish
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend3What is working for the Company
ROCE(HY)
Highest at 21.15%
INVENTORY TURNOVER RATIO(HY)
Highest at 3.91 times
-3What is not working for the Company
OPERATING CASH FLOW(Y)
Lowest at USD 33.28 MM
RAW MATERIAL COST(Y)
Grown by 10.02% (YoY
Here's what is working for Karat Packaging, Inc.
Inventory Turnover Ratio
Highest at 3.91 times
in the last five Semi-Annual periodsMOJO Watch
Company has been able to sell its inventory faster
Inventory Turnover Ratio
Depreciation
Highest at USD 5.45 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for Karat Packaging, Inc.
Operating Cash Flow
Lowest at USD 33.28 MM
in the last three yearsMOJO Watch
The company's cash revenues from business operations are falling
Operating Cash Flows (USD MM)
Raw Material Cost
Grown by 10.02% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin
Raw Material Cost as a percentage of Sales
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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