KRT Valuation

Karat Packaging Inc

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25.280

-0.36(-1.404%)1D

Overview
Forecast
Valuation
Earnings

KRT Relative Valuation

KRT's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, KRT is overvalued; if below, it's undervalued.

Historical Valuation

Karat Packaging Inc (KRT) is now in the Overvalued zone, suggesting that its current forward PE ratio of 16.44 is considered Overvalued compared with the five-year average of 13.44. The fair price of Karat Packaging Inc (KRT) is between 14.94 to 23.01 according to relative valuation methord. Compared to the current price of 25.32 USD , Karat Packaging Inc is Overvalued By 10.06%.

Relative Value

Fair Zone

14.94-23.01

Current Price：25.32

10.06%

Overvalued

16.21

Trailing

Forward

10.43

EV/EBITDA

Karat Packaging Inc. (KRT) has a current EV/EBITDA of 10.43. The 5-year average EV/EBITDA is 8.75. The thresholds are as follows: Strongly Undervalued below 5.08, Undervalued between 5.08 and 6.92, Fairly Valued between 10.59 and 6.92, Overvalued between 10.59 and 12.43, and Strongly Overvalued above 12.43. The current Forward EV/EBITDA of 10.43 falls within the Historic Trend Line -Fairly Valued range.

12.97

EV/EBIT

Karat Packaging Inc. (KRT) has a current EV/EBIT of 12.97. The 5-year average EV/EBIT is 11.43. The thresholds are as follows: Strongly Undervalued below 6.55, Undervalued between 6.55 and 8.99, Fairly Valued between 13.87 and 8.99, Overvalued between 13.87 and 16.31, and Strongly Overvalued above 16.31. The current Forward EV/EBIT of 12.97 falls within the Historic Trend Line -Fairly Valued range.

1.07

Karat Packaging Inc. (KRT) has a current PS of 1.07. The 5-year average PS is 1.01. The thresholds are as follows: Strongly Undervalued below 0.54, Undervalued between 0.54 and 0.77, Fairly Valued between 1.24 and 0.77, Overvalued between 1.24 and 1.48, and Strongly Overvalued above 1.48. The current Forward PS of 1.07 falls within the Historic Trend Line -Fairly Valued range.

0.00

P/OCF

Karat Packaging Inc. (KRT) has a current P/OCF of 0.00. The 5-year average P/OCF is 10.21. The thresholds are as follows: Strongly Undervalued below 1.03, Undervalued between 1.03 and 5.62, Fairly Valued between 14.80 and 5.62, Overvalued between 14.80 and 19.39, and Strongly Overvalued above 19.39. The current Forward P/OCF of 0.00 falls within the Strongly Undervalued range.

0.00

P/FCF

Karat Packaging Inc. (KRT) has a current P/FCF of 0.00. The 5-year average P/FCF is 16.64. The thresholds are as follows: Strongly Undervalued below -5.83, Undervalued between -5.83 and 5.40, Fairly Valued between 27.87 and 5.40, Overvalued between 27.87 and 39.10, and Strongly Overvalued above 39.10. The current Forward P/FCF of 0.00 falls within the Undervalued range.

Karat Packaging Inc (KRT) has a current Price-to-Book (P/B) ratio of 3.30. Compared to its 3-year average P/B ratio of 3.03 , the current P/B ratio is approximately 9.22% higher. Relative to its 5-year average P/B ratio of 3.34, the current P/B ratio is about -1.04% higher. Karat Packaging Inc (KRT) has a Forward Free Cash Flow (FCF) yield of approximately 8.31%. Compared to its 3-year average FCF yield of 7.86%, the current FCF yield is approximately 5.74% lower. Relative to its 5-year average FCF yield of 4.35% , the current FCF yield is about 91.07% lower.

3.26

P/B

Median3y

3.03

Median5y

3.34

8.22

FCF Yield

Median3y

7.86

Median5y

4.35

Competitors Valuation Multiple

The average P/S ratio for KRT's competitors is 0.60, providing a benchmark for relative valuation. Karat Packaging Inc Corp (KRT) exhibits a P/S ratio of 1.07, which is 79.16% above the industry average. Given its robust revenue growth of 10.11%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Connexa Sports Technologies Inc

Loss

46.75M

MGIH.O

Millennium Group International Holdings Ltd

Loss

20.70M

ITP.A

IT Tech Packaging Inc

Performance Decomposition

Market capitalization of KRT increased by 2.65% over the past 1 year. The primary factor behind the change was an increase in Revenue Growth from 112.60M to 123.99M.

The secondary factor is the Margin Expansion, contributed 8.79%to the performance.

Overall, the performance of KRT in the past 1 year is driven by Revenue Growth. Which is more sustainable.

10.11%

112.60M → 123.99M

Revenue Growth

8.79%

8.19 → 8.91

Margin Expansion

-16.25%

18.98 → 15.90

P/E Change

2.65%