Karat Packaging Inc. (KRT) vs TriMas Corporation (TRS)

Karat Packaging Inc. and TriMas Corporation are both Packaging & Containers companies. TriMas Corporation is the larger, with a market value of $1.4B against $1.1B — 1.3× the size. TriMas Corporation trades at the lower P/E: 1.6× against 21.2×. TriMas Corporation grew revenue faster over the last twelve months: 57.5% against 11.6%. TriMas Corporation has the higher net margin (117.9% vs 10.2%) and the lower return on invested capital (−0.77% vs 25.5%). Both pay a dividend; Karat Packaging Inc. yields more (1.15% vs 0.66%). Across the 22 metrics below, TriMas Corporation leads on 12 and Karat Packaging Inc. on 10.

Valuation

Metric KRT TRS Packaging & Containers median
P/E 21.18 1.63 15.79
P/S 2.15 1.83 0.88
P/B 6.09 0.97 1.60
Price to free cash flow 20.32 n/m 13.41
EV/EBITDA 12.23 11.91 9.04
EV/Sales 2.11 0.73 1.31
Earnings yield 4.72% 61.46% 5.04%
Free cash flow yield 4.92% (0.81%) 6.34%

Profitability

Metric KRT TRS Packaging & Containers median
Gross margin 40.73% 22.28% 20.03%
Operating margin 12.79% (0.95%) 8.36%
Net margin 10.18% 117.92% 4.53%
Free cash flow margin 10.58% (1.48%) 5.14%
Return on equity 29.80% 83.90% 11.28%
Return on assets 15.74% 49.05% 4.29%
Return on invested capital 25.49% (0.77%) 6.43%

Growth

Metric KRT TRS Packaging & Containers median
Revenue growth (TTM) 11.62% 57.49% 9.10%
EPS growth (last fiscal year) 4.70% 400.00% —
Revenue growth, 5-year CAGR 9.62% (3.46%) 5.66%
Net income growth, 5-year CAGR 12.44% 0.00% 0.00%

Health

Metric KRT TRS Packaging & Containers median
Debt to equity 0.20 0.28 0.78
Current ratio 2.25 5.44 1.29
Net debt to EBITDA (0.03) 4.42 2.65

Dividend

Metric KRT TRS Packaging & Containers median
Dividend yield 1.15% 0.66% 2.79%
Payout ratio 0.00 0.14 0.28

Size

Metric KRT TRS Packaging & Containers median
Market cap 1.09b 1.43b 3.71b

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