Karooooo (NASDAQ:KARO) Releases FY 2027 Earnings Guidance

Karooooo (NASDAQ:KARO) issued an update on its FY 2027 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 2.350-2.440 for the period, compared to the consensus estimate of 2.410.

Wall Street Analysts Forecast Growth

Several equities analysts have commented on KARO shares. Raymond James Financial increased their price objective on shares of Karooooo from $60.00 to $75.00 and gave the company an “outperform” rating in a research report on Friday, July 17th. Wall Street Zen raised shares of Karooooo from a “hold” rating to a “buy” rating in a research report on Monday, August 17th. Roth Capital reiterated a “buy” rating and issued a $74.00 target price on shares of Karooooo in a report on Friday, July 17th. Needham & Company LLC boosted their target price on Karooooo from $60.00 to $70.00 and gave the stock a “buy” rating in a research note on Tuesday, July 14th. Finally, Zacks Research lowered Karooooo from a “strong-buy” rating to a “hold” rating in a report on Wednesday, August 5th. Five research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $73.50.

Karooooo Trading Down 1.9%

NASDAQ KARO opened at $61.47 on Thursday. Karooooo has a 12 month low of $41.25 and a 12 month high of $68.80. The company has a debt-to-equity ratio of 0.17, a current ratio of 0.64 and a quick ratio of 1.01. The firm’s 50-day moving average is $63.42 and its two-hundred day moving average is $56.58. The stock has a market capitalization of $1.90 billion, a P/E ratio of 29.41 and a beta of 0.89.

Insider Buying and Selling

In other news, CEO Isaias Calisto sold 33,833 shares of the firm’s stock in a transaction dated Wednesday, August 5th. The stock was sold at an average price of $66.14, for a total transaction of $2,237,714.62. Following the sale, the chief executive officer owned 17,714,186 shares of the company’s stock, valued at approximately $1,171,616,262.04. This trade represents a 0.19% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders sold a total of 277,617 shares of company stock valued at $17,840,247 over the last 90 days. Corporate insiders own 74.73% of the company’s stock.

Key Karooooo News

Here are the key news stories impacting Karooooo this week:

• Positive Sentiment: Cartrack subscription revenue increased 20% year over year in fiscal Q2 2027, while net subscriber additions rose 34% to a record 94,516. The customer base is approaching 3 million, supporting the company’s recurring-revenue and SaaS growth outlook. Karooooo: 3 Key Takeaways for Long-Term Investors
• Positive Sentiment: Reported profit rose 18%, and management highlighted strong SaaS momentum. Continued investment in customer acquisition is intended to accelerate long-term subscriber and revenue growth, even if it weighs on near-term profitability. Vehicle Tracker Karooooo Profit Rises 18%
• Neutral Sentiment: Karooooo issued fiscal 2027 EPS guidance of $2.350 to $2.440, compared with the $2.410 analyst consensus. The midpoint is slightly below expectations, but the range still includes the consensus estimate, making the outlook broadly in line rather than a major reset.
• Negative Sentiment: Fiscal Q2 earnings fell short of market expectations, prompting investor concern that the benefits of customer-acquisition spending may take time to translate into earnings. Reports specifically attributed the share-price weakness to the quarterly earnings miss. Karooooo Limited Shares Fall on 2Q Earnings Miss

About Karooooo

Karooooo Ltd. is a Singapore-based technology company that provides connected-vehicle and mobility solutions through its Cartrack business. Its cloud-based platform uses telematics, vehicle tracking and data analytics to help businesses monitor vehicles and assets, improve fleet operations, manage driver behavior and enhance safety.

The company’s products and services include real-time vehicle location and monitoring, fleet management, stolen-vehicle recovery, vehicle and asset tracking, maintenance and fuel-management tools, and workflow solutions.