WallStSmart

Karat Packaging Inc (KRT)vsPackaging Corp of America (PKG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Packaging Corp of America generates 1816% more annual revenue ($9.22B vs $481.07M). PKG leads profitability with a 8.0% profit margin vs 6.6%. KRT trades at a lower P/E of 18.0x. PKG earns a higher WallStSmart Score of 54/100 (C-).

KRT

Hold

48

out of 100

Grade: D+

Growth: 5.3Profit: 6.5Value: 4.3Quality: 7.0
Piotroski: 3/9Altman Z: 3.48

PKG

Buy

54

out of 100

Grade: C-

Growth: 4.0Profit: 7.0Value: 5.0Quality: 6.5
Piotroski: 1/9Altman Z: 2.34
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KRTSignificantly Overvalued (-32.8%)

Margin of Safety

-32.8%

Fair Value

$19.68

Current Price

$28.45

$8.77 premium

UndervaluedFair: $19.68Overvalued

Intrinsic value data unavailable for PKG.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KRT2 strengths · Avg: 9.5/10
Altman Z-ScoreHealth
3.4810/10

Safe zone — low bankruptcy risk

Return on EquityProfitability
21.6%9/10

Every $100 of equity generates 22 in profit

PKG0 strengths · Avg: 0/10

No standout strengths identified

Areas to Watch

KRT3 concerns · Avg: 3.0/10
Market CapQuality
$567.97M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
6.6%3/10

6.6% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PKG4 concerns · Avg: 3.3/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
27.7x4/10

Moderate valuation

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

EPS GrowthGrowth
-15.5%2/10

Earnings declined 15.5%

Comparative Analysis Report

WallStSmart Research

Bull Case : KRT

The strongest argument for KRT centers on Altman Z-Score, Return on Equity. Revenue growth of 12.9% demonstrates continued momentum.

Bull Case : PKG

Revenue growth of 10.6% demonstrates continued momentum.

Bear Case : KRT

The primary concerns for KRT are Market Cap, Profit Margin, Piotroski F-Score.

Bear Case : PKG

The primary concerns for PKG are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

KRT carries more volatility with a beta of 0.86 — expect wider price swings.

KRT is growing revenue faster at 12.9% — sustainability is the question.

PKG generates stronger free cash flow (165M), providing more financial flexibility.

Monitor PACKAGING & CONTAINERS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PKG scores higher overall (54/100 vs 48/100) and 10.6% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Karat Packaging Inc

CONSUMER CYCLICAL · PACKAGING & CONTAINERS · USA

Karat Packaging Inc. manufactures and distributes single-use disposable products in plastic, paper, biopolymers, and other compostable forms that are primarily used in restaurants and food service areas. The company is headquartered in Chino, California.

Visit Website →

Packaging Corp of America

CONSUMER CYCLICAL · PACKAGING & CONTAINERS · USA

Packaging Corporation of America is an American manufacturing company based in Lake Forest, Illinois.

Visit Website →

Want to dig deeper into these stocks?