Karat Packaging Inc
NASDAQ:KRT

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Karat Packaging Inc
NASDAQ:KRT
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Price: 29.8 USD -1.32% Market Closed
Market Cap: $594.8m

EV/EBIT

14.2
Current
17%
More Expensive
vs 3-y average of 12.1

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
14.2
=
Enterprise Value
$546.1m
/
EBIT
$40.9m

Enterprise Value to EBIT (EV/EBIT) ratio compares a company`s total enterprise value to its earnings before interest and taxes. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.

EV/EBIT
14.2
=
Enterprise Value
$546.1m
/
EBIT
$40.9m

Valuation Scenarios

Karat Packaging Inc is trading above its 3-year average

If EV/EBIT returns to its 3-Year Average (12.1), the stock would be worth $25.53 (14% downside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-14%
Maximum Upside
+38%
Average Upside
12%
Scenario EV/EBIT Value Implied Price Upside/Downside
Current Multiple 14.2 $29.8
0%
3-Year Average 12.1 $25.53
-14%
5-Year Average 12.1 $25.53
-14%
Industry Average 19.3 $40.62
+36%
Country Average 19.6 $41.26
+38%

Forward EV/EBIT
Today’s price vs future ebit

Today's Enterprise Value EBIT Forward EV/EBIT
$546.1m
/
Jan 2026
$40.9m
=
14.2
Current
$546.1m
/
Dec 2026
$48m
=
11.4
Forward
$546.1m
/
Dec 2027
$56.6m
=
9.7
Forward

Forward EV/EBIT shows whether today’s EV/EBIT still looks high or low once future ebit are taken into account.

Peer Comparison

All Multiples
EV/EBIT
P/E
All Countries
Close
Market Cap EV/EBIT P/E
US
Karat Packaging Inc
NASDAQ:KRT
594.9m USD 14.2 18.9
JP
Mitsubishi Corp
TSE:8058
18T JPY 49.3 24.6
JP
Mitsui & Co Ltd
TSE:8031
16.5T JPY 39 19.2
JP
Itochu Corp
TSE:8001
15.6T JPY 26.5 16.8
JP
Marubeni Corp
TSE:8002
9.9T JPY 41.6 19.3
US
W W Grainger Inc
NYSE:GWW
55.2B USD 22.7 32.3
US
WW Grainger Inc
XMUN:GWW
46.4B EUR 22.5 31.8
US
Fastenal Co
NASDAQ:FAST
52.3B USD 30.5 40.2
US
Ferguson Enterprises Inc
NYSE:FERG
51.4B USD 49.8 65.4
US
United Rentals Inc
NYSE:URI
51.3B USD 16 20.5
JP
Sumitomo Corp
TSE:8053
7.2T JPY 24.3 13
EV/EBIT Multiple
EBIT Growth EV/EBIT to Growth
US
Karat Packaging Inc
NASDAQ:KRT
Average EV/EBIT: 30.6
14.2
N/A N/A
JP
Mitsubishi Corp
TSE:8058
49.3
N/A N/A
JP
Mitsui & Co Ltd
TSE:8031
39
N/A N/A
JP
Itochu Corp
TSE:8001
26.5
N/A N/A
JP
Marubeni Corp
TSE:8002
41.6
N/A N/A
US
W W Grainger Inc
NYSE:GWW
22.7
11%
2.1
US
W
WW Grainger Inc
XMUN:GWW
22.5
11%
2
US
Fastenal Co
NASDAQ:FAST
30.5
10%
3
US
Ferguson Enterprises Inc
NYSE:FERG
49.8
50%
1
US
United Rentals Inc
NYSE:URI
16
10%
1.6
JP
Sumitomo Corp
TSE:8053
24.3
N/A N/A

Market Distribution

In line with most companies in the United States of America
Percentile
32nd
Based on 8 638 companies
32nd percentile
14.2
Low
0 — 13.6
Typical Range
13.6 — 27.8
High
27.8 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 13.6
Median 19.6
70th Percentile 27.8
Max 1 826 183.2

Karat Packaging Inc
Glance View

Karat Packaging, Inc. manufactures and distributes disposable products for the restaurants and foodservice industry. The company is headquartered in Chino, California and currently employs 680 full-time employees. The company went IPO on 2019-10-16. The firm supplies a range of products for the foodservice industry, including food and take-out containers, bags, tableware, cups, lids, cutlery, straws, specialty beverage ingredients, equipment, gloves and other products. Its products are available in plastic, paper, biopolymer-based and other compostable forms. Its Karat Earth line includes food containers, tableware, cups, lids, utensils and straws. The firm offers customized solutions to its customers, including new product development, design, printing and logistics services. The firm's customers include a variety of national and regional distributors, restaurant chains, retail establishments and online customers. Its customers can order and schedule delivery of products via telephone, facsimile, email or through its online e-commerce platform at www.lollicupstore.com.

KRT Intrinsic Value
32.35 USD
Undervaluation 8%
Intrinsic Value
Price $29.8
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