Karooooo (NASDAQ:KARO) Hits New 12-Month High - What's Next?

Key Points

• Karooooo shares reached a new 52-week high, trading as high as $67.53 and gaining 4.6%, with a market capitalization of approximately $2.08 billion.
• Analyst sentiment remains positive overall, with five Buy ratings and two Holds giving the stock a “Moderate Buy” consensus and an average price target of $73.50.
• The company recently exceeded quarterly earnings expectations, reporting $0.59 in adjusted earnings per share versus a $0.51 consensus estimate, while insiders sold $17.8 million worth of shares over the past three months.

Karooooo Ltd. (NASDAQ:KARO - Get Free Report) reached a new 52-week high on Thursday . The stock traded as high as $67.53 and last traded at $67.0330, with a volume of 19917 shares trading hands. The stock had previously closed at $64.28.

Analyst Ratings Changes

KARO has been the subject of a number of analyst reports. Freedom Capital cut Karooooo from a "strong-buy" rating to a "hold" rating in a research report on Friday, July 17th. Needham & Company LLC raised their price objective on Karooooo from $60.00 to $70.00 and gave the company a "buy" rating in a research note on Tuesday, July 14th. Zacks Research lowered Karooooo from a "strong-buy" rating to a "hold" rating in a report on Wednesday, August 5th. Wall Street Zen upgraded Karooooo from a "hold" rating to a "buy" rating in a report on Monday, August 17th. Finally, Roth Capital restated a "buy" rating and issued a $74.00 price objective on shares of Karooooo in a research note on Friday, July 17th. Five equities research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $73.50.

Karooooo Stock Up 4.6%

The company has a debt-to-equity ratio of 0.15, a current ratio of 1.02 and a quick ratio of 1.01. The firm has a market capitalization of $2.08 billion, a P/E ratio of 34.10 and a beta of 0.85. The business has a 50 day moving average price of $59.24 and a 200 day moving average price of $52.09.

Karooooo (NASDAQ:KARO - Get Free Report) last announced its earnings results on Thursday, July 16th. The company reported $0.59 earnings per share for the quarter, beating the consensus estimate of $0.51 by $0.08. The firm had revenue of $96.26 million during the quarter. Karooooo had a return on equity of 32.03% and a net margin of 17.74%. On average, analysts predict that Karooooo Ltd. will post 2.41 earnings per share for the current year.

Insider Buying and Selling at Karooooo

In other news, CEO Isaias Jose Calisto sold 6,202 shares of the stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $63.50, for a total value of $393,827.00. Following the completion of the sale, the chief executive officer directly owned 17,640,700 shares of the company's stock, valued at approximately $1,120,184,450. This represents a 0.04% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Insiders sold 277,258 shares of company stock valued at $17,817,221 over the last three months. 74.73% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Karooooo

Several large investors have recently bought and sold shares of KARO. Lazard Asset Management LLC acquired a new position in Karooooo in the 1st quarter valued at approximately $1,015,000. Aurora Investment Counsel acquired a new stake in shares of Karooooo during the 4th quarter worth approximately $1,651,000. Bullseye Asset Management LLC grew its holdings in shares of Karooooo by 101.7% during the 4th quarter. Bullseye Asset Management LLC now owns 32,129 shares of the company's stock worth $1,461,000 after purchasing an additional 16,200 shares in the last quarter. Schwartz Investment Counsel Inc. increased its position in shares of Karooooo by 22.9% during the fourth quarter. Schwartz Investment Counsel Inc. now owns 78,365 shares of the company's stock valued at $3,566,000 after purchasing an additional 14,600 shares during the period. Finally, Capricorn Fund Managers Ltd increased its position in shares of Karooooo by 16.9% during the first quarter. Capricorn Fund Managers Ltd now owns 278,346 shares of the company's stock valued at $13,873,000 after purchasing an additional 40,268 shares during the period.

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.

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