Breaking Down Karooooo: 4 Analysts Share Their Views

Author: Benzinga Insights | August 29, 2025 02:00pm

Ratings for Karooooo (NASDAQ:KARO) were provided by 4 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.

	Bullish	Somewhat Bullish	Indifferent	Somewhat Bearish	Bearish
Total Ratings	2	2	0	0	0
Last 30D	1	0	0	0	0
1M Ago	0	0	0	0	0
2M Ago	1	1	0	0	0
3M Ago	0	1	0	0	0

Analysts have set 12-month price targets for Karooooo, revealing an average target of $58.25, a high estimate of $60.00, and a low estimate of $53.00. This upward trend is apparent, with the current average reflecting a 15.35% increase from the previous average price target of $50.50.

Exploring Analyst Ratings: An In-Depth Overview

The standing of Karooooo among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst	Analyst Firm	Action Taken	Rating	Current Price Target	Prior Price Target
Taylor McGinnis	UBS	Announces	Buy	$60.00	-
Alexander Sklar	Raymond James	Raises	Outperform	$60.00	$58.00
Joshua Reilly	Needham	Announces	Buy	$60.00	-
Roy Campbell	Morgan Stanley	Raises	Overweight	$53.00	$43.00

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Karooooo. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of Karooooo compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

To gain a panoramic view of Karooooo's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.

Stay up to date on Karooooo analyst ratings.

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Unveiling the Story Behind Karooooo

Karooooo Ltd is a provider of real-time mobility data analytics solutions for smart transportation. It offers a comprehensive, cloud-based smart mobility platform for connected vehicles and other assets. The company's software-as-a-service platform provides customers with differentiated insights and analytics to optimize business and workforce, increase efficiency and decrease costs, improve safety, monitor environmental impact, assist with regularity compliance, and manage risk. The segments of the group are Cartrack; Carzuka; and Karooooo Logistics, of which key revenue is derived from the Cartrack segment.

Karooooo's Financial Performance

Market Capitalization: With restricted market capitalization, the company is positioned below industry averages. This reflects a smaller scale relative to peers.

Revenue Growth: Karooooo's remarkable performance in 3M is evident. As of 31 May, 2025, the company achieved an impressive revenue growth rate of 18.04%. This signifies a substantial increase in the company's top-line earnings. When compared to others in the Information Technology sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: Karooooo's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of 20.68%, the company showcases strong profitability and effective cost management.

Return on Equity (ROE): Karooooo's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 7.94% ROE, the company effectively utilizes shareholder equity capital.

Return on Assets (ROA): Karooooo's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 5.06% ROA, the company effectively utilizes its assets for optimal returns.

Debt Management: With a below-average debt-to-equity ratio of 0.16, Karooooo adopts a prudent financial strategy, indicating a balanced approach to debt management.

What Are Analyst Ratings?

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

Posted In: KARO