UBS Group Issues Pessimistic Forecast for Karooooo (NASDAQ:KARO) Stock Price

Karooooo (NASDAQ:KARO) had its price objective cut by stock analysts at UBS Group from $60.00 to $55.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has a “buy” rating on the stock. UBS Group’s price objective suggests a potential upside of 20.10% from the company’s previous close.

A number of other equities analysts also recently issued reports on the stock. Wall Street Zen upgraded shares of Karooooo from a “hold” rating to a “buy” rating in a report on Saturday, April 11th. Weiss Ratings reiterated a “buy (b-)” rating on shares of Karooooo in a report on Friday, April 24th. Finally, Roth Mkm reiterated a “buy” rating and issued a $68.00 price target on shares of Karooooo in a report on Thursday. Six research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat, Karooooo currently has a consensus rating of “Moderate Buy” and a consensus price target of $59.20.

Karooooo Price Performance

Shares of KARO traded up $1.21 during trading hours on Friday, reaching $45.80. The company had a trading volume of 163,254 shares, compared to its average volume of 62,038. The firm has a 50 day simple moving average of $48.89 and a 200-day simple moving average of $47.20. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.06. The company has a market capitalization of $1.41 billion, a price-to-earnings ratio of 24.75 and a beta of 0.92. Karooooo has a 12-month low of $41.25 and a 12-month high of $63.36.

Karooooo (NASDAQ:KARO) last announced its quarterly earnings results on Tuesday, April 14th. The company reported $0.45 earnings per share (EPS) for the quarter. The business had revenue of $90.93 million during the quarter. Karooooo had a net margin of 18.07% and a return on equity of 31.60%. Research analysts expect that Karooooo will post 2.24 earnings per share for the current year.

Institutional Investors Weigh In On Karooooo

Hedge funds have recently modified their holdings of the stock. Jones Financial Companies Lllp boosted its position in shares of Karooooo by 159.4% in the third quarter. Jones Financial Companies Lllp now owns 804 shares of the company’s stock worth $46,000 after acquiring an additional 494 shares during the last quarter. Murphy & Mullick Capital Management Corp boosted its position in shares of Karooooo by 260.0% in the third quarter. Murphy & Mullick Capital Management Corp now owns 900 shares of the company’s stock worth $51,000 after acquiring an additional 650 shares during the last quarter. Fideuram Asset Management Ireland dac acquired a new stake in shares of Karooooo in the fourth quarter worth approximately $80,000. Royal Bank of Canada boosted its position in shares of Karooooo by 852.9% in the fourth quarter. Royal Bank of Canada now owns 2,954 shares of the company’s stock worth $135,000 after acquiring an additional 2,644 shares during the last quarter. Finally, Quantbot Technologies LP acquired a new stake in shares of Karooooo in the second quarter worth approximately $156,000.

More Karooooo News

Here are the key news stories impacting Karooooo this week:

• Positive Sentiment: Karooooo raised its FY 2027 EPS guidance to ZAR 38.5-ZAR 40, above Wall Street expectations, signaling management confidence in future profitability. Karooooo (KARO) Q4 2026 Earnings Transcript
• Positive Sentiment: The company reported record subscription revenue growth in Q4, including 22% year-over-year growth in Cartrack South Africa subscription revenue and 18% growth in SaaS ARR, reinforcing the long-term growth story. Karooooo Delivers Accelerating Subscription Revenue Growth and Strong Cash Flow in FY 2026
• Positive Sentiment: Karooooo announced an annual dividend of $1.50 per share, up 20% from the prior year, which may support investor sentiment. Karooooo Ltd. earnings report
• Neutral Sentiment: Fourth-quarter revenue of $90.93 million topped estimates, but EPS of $0.44 came in below consensus, creating a mixed earnings reaction. Karooooo Ltd. earnings report
• Neutral Sentiment: Management also acknowledged margin pressure, suggesting investors are balancing strong growth against some near-term profitability squeeze. Karooooo Ltd. Bets on Growth Amid Margin Squeeze
• Negative Sentiment: The Q4 EPS miss versus analyst expectations could weigh on the stock as traders focus on profitability coming in softer than forecast. Karooooo Ltd. (KARO) Lags Q4 Earnings Estimates

Karooooo Company Profile

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.