Karooooo (KARO) Stock Price, News & Analysis

Company Overview

Karooooo Ltd is a global provider of cloud-based telematics and Internet of Things (IoT) solutions for both consumer and commercial vehicle markets. Through a subscription-based model, the company offers real-time tracking, diagnostics, and analytics platforms designed to enhance vehicle security, driver safety, and operational efficiency. Its solutions are delivered via a scalable software-as-a-service (SaaS) architecture, allowing customers to access data and reporting tools through web and mobile interfaces.

The company’s product suite includes fleet management systems that monitor vehicle location, speed, fuel consumption, and maintenance alerts, as well as stolen vehicle recovery and driver behavior modules. Karooooo also provides insurance telematics for usage-based insurance programs, helping insurers and policyholders reduce risk and premiums by analyzing driving patterns. For individual consumers, the company offers personal tracking devices that deliver anti-theft protection, roadside assistance, and journey history.

Karooooo traces its roots to Cartrack, founded in 2004 in South Africa, which established an early foothold in vehicle tracking across the Africa, Middle East, and Asia-Pacific regions. In 2020, the organization reorganized under the Karooooo Ltd holding structure to pursue global expansion. Since listing on the Nasdaq in late 2021 under the ticker KARO, the company has completed strategic acquisitions including Masternaut, a leading European telematics provider, and Fleetmatic in Latin America, broadening its geographic footprint and enhancing its technology stack.

Headquartered in Jersey, Channel Islands, Karooooo serves more than two million subscribers across over 20 countries. Under the leadership of CEO Zak Calisto and a seasoned executive team, the company continues to invest in product innovation, network expansion, and data analytics capabilities. Its international presence spans Europe, the Americas, Asia-Pacific, and the Middle East, positioning Karooooo as a diversified telematics player focused on delivering end-to-end connected-vehicle services.

Key Stats

• Today's Range: $48.11 to $51.00
• 50-Day Range: $43.63 to $63.10
• 52-Week Range: $28.04 to $63.36
• Volume: 40,528 shs
• Average Volume: 48,952 shs
• Market Capitalization: $1.56 billion
• P/E Ratio: 30.81
• Dividend Yield: 2.14%
• Price Target: $55.50
• Consensus Rating: Buy

Karooooo Stock Analysis - MarketRank™

Karooooo scored higher than 61% of companies evaluated by MarketBeat, and ranked 221st out of 660 stocks in the computer and technology sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 1.5 / 5
• Analyst Rating: Buy

Consensus Rating

Karooooo has received a consensus rating of Buy. The company's average rating score is 3.00, and is based on 2 buy ratings, no hold ratings, and no sell ratings.

Amount of Analyst Coverage

Karooooo has only been the subject of 2 research reports in the past 90 days.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 9.55%

Earnings Growth

Earnings for Karooooo are expected to grow by 9.55% in the coming year, from $1.57 to $1.72 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Karooooo is 30.81, which means that it is trading at a more expensive P/E ratio than the market average P/E ratio of about 26.26.

Price to Earnings Ratio vs. Sector

The P/E ratio of Karooooo is 30.81, which means that it is trading at a less expensive P/E ratio than the Computer and Technology sector average P/E ratio of about 33.92.

Price to Book Value per Share Ratio

Karooooo has a P/B Ratio of 8.79. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 5.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

1.10% of the float of Karooooo has been sold short.

Short Interest Ratio / Days to Cover

Karooooo has a short interest ratio ("days to cover") of 1.2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Karooooo has recently decreased by 54.05%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 2.5 / 5
• Dividend Strength: Moderate

Dividend Yield

Karooooo pays a meaningful dividend of 2.16%, higher than the bottom 25% of all stocks that pay dividends.

Dividend Growth

Karooooo has only been increasing its dividend for 2 years.

Dividend Coverage

The dividend payout ratio of Karooooo is 65.85%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Karooooo will have a dividend payout ratio of 62.79% next year. This indicates that Karooooo will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: N/A
• Environmental Score: N/A

Percentage of Shares Shorted

1.10% of the float of Karooooo has been sold short.

Short Interest Ratio / Days to Cover

Karooooo has a short interest ratio ("days to cover") of 1.2, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Karooooo has recently decreased by 54.05%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 2.6 / 5
• News Sentiment: 0.65

News Sentiment

Karooooo has a news sentiment score of 0.65. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.86 average news sentiment score of Computer and Technology companies.

News Coverage This Week

MarketBeat has tracked 6 news articles for Karooooo this week, compared to 3 articles on an average week.

Search Interest

4 people have searched for KARO on MarketBeat in the last 30 days. This is an increase of 100% compared to the previous 30 days.

MarketBeat Follows

Only 2 people have added Karooooo to their MarketBeat watchlist in the last 30 days. This is a decrease of -33% compared to the previous 30 days.

Company Ownership

• Score: 1.7 / 5
• Insider Trading: N/A

Insider Buying vs. Insider Selling

In the past three months, Karooooo insiders have not sold or bought any company stock.

Percentage Held by Insiders

74.73% of the stock of Karooooo is held by insiders. A high percentage of insider ownership can be a sign of company health.

KARO Stock Analysis - Frequently Asked Questions

How have KARO shares performed this year?

Karooooo's stock was trading at $45.15 at the beginning of 2025. Since then, KARO shares have increased by 11.9% and is now trading at $50.52.

How were Karooooo's earnings last quarter?

Karooooo Ltd. (NASDAQ:KARO) issued its earnings results on Wednesday, May, 14th. The company reported $0.44 earnings per share for the quarter, topping analysts' consensus estimates of $0.37 by $0.07. The firm had revenue of $65.12 million for the quarter, compared to analyst estimates of $1.18 billion. Karooooo had a net margin of 20.17% and a trailing twelve-month return on equity of 30.98%.
Read the conference call transcript.

When did Karooooo IPO?

Karooooo (KARO) raised $190 million in an IPO on Thursday, April 1st 2021. The company issued 4,000,000 shares at a price of $47.52 per share. Morgan Stanley, BofA Securities and William Blair served as the underwriters for the IPO.

How do I buy shares of Karooooo?

Shares of KARO stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.

What other stocks do shareholders of Karooooo own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Karooooo investors own include American Water Works (AWK), Waste Connections (WCN), The RMR Group (RMR), Humana (HUM), Voyager Therapeutics (VYGR), AU Optronics (AUOTY) and iShares Micro-Cap ETF (IWC).

Company Calendar

• Last Earnings: 5/14/2025
• Today: 7/14/2025
• Next Earnings (Estimated): 7/17/2025
• Fiscal Year End: 2/28/2026

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Computer and Technology
• Industry: INTERNET SOFTWARE
• Sub-Industry: Computer Software
• Current Symbol: NASDAQ:KARO
• CIK: 1828102
• Web: www.karooooo.com
• Phone: 65-6255-4151
• Fax: N/A
• Employees: 5,711
• Year Founded: N/A

Price Target and Rating

• Average Price Target for Karooooo: $55.50
• High Price Target: $58.00
• Low Price Target: $53.00
• Potential Upside/Downside: +10.3%
• Consensus Rating: Buy
• Rating Score (0-4): 3.00
• Research Coverage: 2 Analysts

Profitability

• EPS (Trailing Twelve Months): $1.64
• Trailing P/E Ratio: 30.82
• Forward P/E Ratio: 32.05
• P/E Growth: N/A
• Net Income: $50.38 million
• Net Margins: 20.17%
• Pretax Margin: 27.30%
• Return on Equity: 30.98%
• Return on Assets: 19.90%

Debt

• Debt-to-Equity Ratio: 0.05
• Current Ratio: 1.14
• Quick Ratio: 1.14

Sales & Book Value

• Annual Sales: $4.57 billion
• Price / Sales: 0.34
• Cash Flow: $2.88 per share
• Price / Cash Flow: 17.47
• Book Value: $5.75 per share
• Price / Book: 8.75

Miscellaneous

• Outstanding Shares: 30,893,000
• Free Float: 7,807,000
• Market Cap: $1.55 billion
• Optionable: Not Optionable
• Beta: 1.08