Karooooo (NASDAQ:KARO) Cut to “Hold” at Wall Street Zen

Wall Street Zen downgraded shares of Karooooo (NASDAQ:KARO) from a buy rating to a hold rating in a research report report published on Saturday.

KARO has been the subject of several other research reports. Roth Mkm initiated coverage on Karooooo in a research report on Tuesday, February 17th. They set a “buy” rating and a $62.00 target price for the company. Weiss Ratings raised shares of Karooooo from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday, January 27th. Six analysts have rated the stock with a Buy rating and one has given a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $59.00.

Karooooo Stock Performance

KARO opened at $45.07 on Friday. The company has a 50 day simple moving average of $47.24 and a two-hundred day simple moving average of $48.49. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.84 and a quick ratio of 0.84. The firm has a market cap of $1.39 billion, a P/E ratio of 24.36 and a beta of 1.07. Karooooo has a 1-year low of $35.88 and a 1-year high of $63.36.

Karooooo (NASDAQ:KARO) last released its earnings results on Tuesday, January 20th. The company reported $0.49 earnings per share for the quarter, beating analysts’ consensus estimates of $0.46 by $0.03. Karooooo had a net margin of 19.45% and a return on equity of 31.83%. The company had revenue of $82.34 million for the quarter, compared to analysts’ expectations of $79.04 million. Karooooo has set its FY 2026 guidance at 1.876-2.049 EPS. Equities analysts forecast that Karooooo will post 1.57 earnings per share for the current fiscal year.

Institutional Trading of Karooooo

Hedge funds have recently modified their holdings of the company. Acadian Asset Management LLC grew its holdings in shares of Karooooo by 50.1% in the second quarter. Acadian Asset Management LLC now owns 69,705 shares of the company’s stock valued at $3,391,000 after purchasing an additional 23,251 shares in the last quarter. Fiera Capital Corp purchased a new stake in Karooooo during the second quarter valued at $5,878,000. Capricorn Fund Managers Ltd lifted its position in Karooooo by 10.3% during the third quarter. Capricorn Fund Managers Ltd now owns 170,756 shares of the company’s stock valued at $9,754,000 after purchasing an additional 16,000 shares during the last quarter. Telemark Asset Management LLC purchased a new position in shares of Karooooo in the 2nd quarter worth $11,028,000. Finally, Bullseye Asset Management LLC bought a new stake in shares of Karooooo in the 2nd quarter worth about $688,000.

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.