Karooooo (NASDAQ:KARO) Issues Quarterly Earnings Results

Karooooo (NASDAQ:KARO) posted its earnings results on Wednesday. The company reported $0.59 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.51 by $0.08, FiscalAI reports. The company had revenue of $96.26 million for the quarter. Karooooo had a return on equity of 33.60% and a net margin of 17.74%. Karooooo updated its FY 2027 guidance to 2.334-2.425 EPS.

Karooooo Price Performance

Shares of NASDAQ KARO opened at $65.16 on Friday. Karooooo has a twelve month low of $41.25 and a twelve month high of $66.19. The company has a market capitalization of $2.01 billion, a price-to-earnings ratio of 33.08 and a beta of 0.89. The firm has a 50-day moving average of $49.88 and a two-hundred day moving average of $48.72. The company has a current ratio of 1.06, a quick ratio of 1.05 and a debt-to-equity ratio of 0.17.

Karooooo Increases Dividend

The firm also recently declared an annual dividend, which will be paid on Monday, July 27th. Shareholders of record on Friday, July 17th will be given a $1.50 dividend. This represents a yield of 230.0%. This is a boost from Karooooo’s previous annual dividend of $1.25. The ex-dividend date is Friday, July 17th. Karooooo’s dividend payout ratio (DPR) is presently 67.57%.

Analyst Ratings Changes

Several research firms recently commented on KARO. UBS Group restated a “buy” rating and issued a $75.00 target price on shares of Karooooo in a research report on Thursday. Roth Capital reissued a “buy” rating and set a $68.00 price target on shares of Karooooo in a report on Thursday, May 14th. Needham & Company LLC boosted their price target on shares of Karooooo from $60.00 to $70.00 and gave the stock a “buy” rating in a research report on Tuesday. Zacks Research raised shares of Karooooo from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, July 7th. Finally, Wall Street Zen cut shares of Karooooo from a “buy” rating to a “hold” rating in a report on Sunday, June 21st. One equities research analyst has rated the stock with a Strong Buy rating and five have issued a Buy rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Buy” and a consensus price target of $68.25.

Institutional Investors Weigh In On Karooooo

Several large investors have recently modified their holdings of KARO. Fideuram Asset Management Ireland dac acquired a new position in shares of Karooooo in the 4th quarter worth $80,000. Royal Bank of Canada lifted its holdings in shares of Karooooo by 852.9% during the fourth quarter. Royal Bank of Canada now owns 2,954 shares of the company’s stock valued at $135,000 after purchasing an additional 2,644 shares during the last quarter. Quantbot Technologies LP acquired a new position in shares of Karooooo in the 2nd quarter valued at $156,000. New York State Common Retirement Fund increased its stake in Karooooo by 465.6% in the 2nd quarter. New York State Common Retirement Fund now owns 3,258 shares of the company’s stock worth $160,000 after purchasing an additional 2,682 shares in the last quarter. Finally, State of Tennessee Department of Treasury purchased a new stake in Karooooo during the second quarter valued at about $214,000.

Karooooo News Summary

Here are the key news stories impacting Karooooo this week:

• Positive Sentiment: Karooooo reported Q1 EPS of $0.59, topping Wall Street estimates of $0.51, while revenue came in at $96.26 million. Article
• Positive Sentiment: The company said Cartrack subscription revenue accelerated 19% year over year, with record net subscriber additions and stronger ARR growth, reinforcing confidence in the business momentum. Article
• Positive Sentiment: Management also guided FY 2027 EPS to a range of 2.334 to 2.425, which supports the view that earnings growth remains intact. Article
• Positive Sentiment: Media coverage highlighted Karooooo’s record subscriber haul and strong execution, helping fuel investor enthusiasm around the stock. Article
• Neutral Sentiment: One article noted that Karooooo’s CEO quietly became a billionaire in South Africa, which is more of an ownership/wealth headline than a direct operating catalyst for the stock. Article

About Karooooo

Karooooo Ltd is a global provider of telematics software-as-a-service solutions for vehicle and fleet management. Through its flagship platform, the company delivers real-time GPS tracking, stolen vehicle recovery and driver behaviour analytics, enabling commercial fleets and automotive insurers to optimise operations, increase safety and reduce costs.

Karooooo’s SaaS platform integrates proprietary hardware devices with cloud-based analytics and mobile applications. Customers gain access to live vehicle location data, engine diagnostics, route planning tools and customizable reporting dashboards.