Karat Packaging (FRA:0WJ) ROC (Joel Greenblatt) %: 29.90% (As of Mar. 2026) — 49% Above Median

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FRA:0WJ Karat Packaging Inc FRA:0WJ
83 GF Score
Price €34.60
GF Value €26.40
! 6 Warning Signs
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What is Karat Packaging ROC (Joel Greenblatt) %?

Karat Packaging FRA:0WJ -2.26% 83 ROC (Joel Greenblatt) % is 29.90% as of Mar. 2026, which is 49% above its 10-year median of 20.04. GuruFocus rates FRA:0WJ with a GF Score™ of 83/100 and a GF Value™ of €26.40. The stock has 6 warning signs investors should review. Among 403 Packaging & Containers companies, Karat Packaging ranks better than 86.35% on this metric.

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. Karat Packaging's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 29.90%.

The historical rank and industry rank for Karat Packaging's ROC (Joel Greenblatt) % or its related term are showing as below:

FRA:0WJ' s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: 5.89   Med: 20.04   Max: 70.07
Current: 25.93

During the past 9 years, Karat Packaging's highest ROC (Joel Greenblatt) % was 70.07%. The lowest was 5.89%. And the median was 20.04%.

FRA:0WJ's ROC (Joel Greenblatt) % is ranked better than
86.35% of 403 companies
in the Packaging & Containers industry
Industry Median: 8.85 vs FRA:0WJ: 25.93

Karat Packaging's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 23.20% per year.


Karat Packaging  (FRA:0WJ) ROC (Joel Greenblatt) % Explanation

The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.

Joel Greenblatt uses his definition of Return on Capital and Earnings Yield (Joel Greenblatt) % to rank companies.


Karat Packaging ROC (Joel Greenblatt) % Related Terms


Karat Packaging ROC (Joel Greenblatt) % Historical Data

* Premium members only.

The historical data trend for Karat Packaging's ROC (Joel Greenblatt) % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Karat Packaging ROC (Joel Greenblatt) % Chart

Karat Packaging Annual Data
Trend Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROC (Joel Greenblatt) %
Get a 7-Day Free Trial Premium Member Only 20.74 20.58 24.10 35.78 66.20

Karat Packaging Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROC (Joel Greenblatt) % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 28.15 28.73 20.20 29.80 29.90

FRA:0WJ vs PACK, MYE, ORBS: ROC (Joel Greenblatt) % Comparison

For the Packaging & Containers subindustry, Karat Packaging's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Karat Packaging ROC (Joel Greenblatt) % vs Packaging & Containers Industry

For the Packaging & Containers industry and Consumer Cyclical sector, Karat Packaging's ROC (Joel Greenblatt) % distribution charts can be found below:

* The bar in red indicates where Karat Packaging's ROC (Joel Greenblatt) % falls into.


FRA:0WJ
83GF Score
Karat Packaging Inc FRA:0WJ
ROC (Joel Greenblatt) % is just one metric. See GF Score™, valuation, warning signs, and more.
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Karat Packaging ROC (Joel Greenblatt) % Calculation

Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:

ROC (Joel Greenblatt) %=EBIT/Average of (Net fixed Assets + Net Working Capital)

EBIT stands for Earnings Before Interest and Taxes.

Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.

GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(31.087 + 69.756 + 4.462) - (22.48 + 0 + 27.255)
=55.57

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(36.564 + 69.208 + 3.747) - (37.075 + 1.008 + 1.114)
=70.322

When net working capital is negative, 0 is used.

So ROC (Joel Greenblatt) % of Karat Packaging for the quarter that ended in Mar. 2026 can be restated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=33.876/( ( (0 + max(55.57, 0)) + (100.69 + max(70.322, 0)) )/ 2 )
=33.876/( ( 55.57 + 171.012 )/ 2 )
=33.876/113.291
=29.90 %

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a ROC (Joel Greenblatt) % of 29.90% mean?
Karat Packaging (FRA:0WJ) has a ROC (Joel Greenblatt) % of 29.90% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Karat Packaging and its competitors. This is 49% above median its historical median of 20.04. Over the past decade, Karat Packaging's ROC (Joel Greenblatt) % has ranged from 5.89 to 70.07. According to the industry distribution chart, Karat Packaging ranks #55 out of 403 companies in the Packaging & Containers industry, placing it in the top 13.6%.
Is Karat Packaging's ROC (Joel Greenblatt) % too high?
Karat Packaging's current ROC (Joel Greenblatt) % of 29.90% is 49% above median its 10-year median of 20.04. Over the past 10 years, this metric has ranged from a low of 5.89 to a high of 70.07. The Packaging & Containers industry median ROC (Joel Greenblatt) % is 8.85. Karat Packaging's value of 29.90% is 237.9% above this industry median. Based on the distribution chart, Karat Packaging ranks #55 out of 403 companies in the Packaging & Containers industry, which is in the top quartile — a strong position relative to peers. Overall, Karat Packaging has a GF Score™ of 83/100, reflecting its overall financial health beyond just this single metric.
How does Karat Packaging's ROC (Joel Greenblatt) % compare to PACK and MYE?
According to the Packaging & Containers industry distribution chart, Karat Packaging ranks #55 out of 403 companies for ROC (Joel Greenblatt) %. This places Karat Packaging in the top 14% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 8.85. Karat Packaging's value of 29.90% is 237.9% above this benchmark. Historically, Karat Packaging's own ROC (Joel Greenblatt) % has ranged from 5.89 to 70.07 over the past decade. While the company's 10-year median is 20.04 vs. the industry median of 8.85, Karat Packaging has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROC (Joel Greenblatt) % for a Packaging & Containers company?
The median ROC (Joel Greenblatt) % among Packaging & Containers companies is 8.85, based on 403 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Karat Packaging's current ROC (Joel Greenblatt) % of 29.90% is 237.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on Karat Packaging and its competitors. For the Packaging & Containers industry, the median ROC (Joel Greenblatt) % is 8.85 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Karat Packaging's current ROC (Joel Greenblatt) % is 29.90%, which is 49% above median its own 10-year median of 20.04. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Karat Packaging stock overvalued right now?
Karat Packaging (FRA:0WJ) has a current ROC (Joel Greenblatt) % of 29.90%. The stock's GF Value™ is €26.40, compared to a current price of €34.60 — trading 31.1% above its estimated fair value. The current ROC (Joel Greenblatt) % is 29.90%, which is 49% above median its 10-year median of 20.04 and 237.9% above the Packaging & Containers industry median of 8.85. Karat Packaging's overall GF Score™ is 83/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For Karat Packaging (FRA:0WJ), the current ROC (Joel Greenblatt) % is 29.90% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Karat Packaging (FRA:0WJ) Overvalued in 2026?

Based on GuruFocus' analysis, Karat Packaging stock appears to be overvalued. The current stock price of €34.60 is trading 31.1% above its estimated GF Value™ of €26.40.

Key valuation signals for FRA:0WJ:

  • ROC (Joel Greenblatt) %: 29.90% (49% above median its 10-year median of 20.04)
  • GF Value™: €26.40 vs. price of €34.60 (31.1% above fair value)
  • GF Score™: 83/100 with 6 warning signs
  • Industry Position: 237.9% above the Packaging & Containers median (#55 of 403)

No single metric tells the full story. See the FRA:0WJ stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Karat Packaging Business Description

Other Exchanges KRT:USA
Address 6185 Kimball Avenue, Chino, CA, USA, 91708
Karat Packaging Inc is a distributor and manufacturer of disposable foodservice products and related items, including containers, bags, tableware, cups, lids, cutlery, straws, specialty beverage ingredients, gloves, and janitorial supplies, available in plastic, paper, biopolymer-based, and other compostable forms. The Company focuses on environmentally friendly products and provides customized solutions including product development, design, printing, and logistics services. It serves customers through chains and distributors, retail, and e-commerce/online, and operates in the manufacturing and distribution of single-use food and beverage products, as well as specialty food and beverage products and restaurant and warehouse supplies.
83GF Score

Get the complete analysis for FRA:0WJ

ROC (Joel Greenblatt) % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€34.60
Price
€26.40
GF Value