2024-05-10 11:43:37 ET
Summary
- Karat specializes in the manufacturing and distribution of on-the-go packaging products.
- The company is pivoting towards being an asset-light business focused on supplying packaging, rather than manufacturing it.
- By dedicating more resources to distribution, Karat can focus on providing better and faster customer service, which can end up translating into a competitive advantage.
- The company is trading at a reasonable P/E of 15.
Investment Thesis
Karat Packaging ( KRT ) has a special focus on on-the-go packaging, a market for which growth is expected to be somewhat higher than the average for the packaging industry in general....
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For further details see:
Karat Packaging: Shift In Business Model Could Be A Moat Source