Is the Karat Packaging dividend safe?
At risk
Karat Packaging pays 6.7% a year, but that takes 113% of its free cash flow.
The numbers behind it
Dividend yield6.7%
Paid out of free cash flow–
Paid out of profit113%
Debt in years of earnings0.9 years
How we decide
We look at how much of its free cash flow a company hands out. Under 60% leaves room, 60% to 90% is tight, and above 90% or heavy debt puts the dividend at risk.
More questions about Karat Packaging
Data as of Nov 13, 2026.