Karooooo (NASDAQ:KARO) Shares Up 5% – Here’s What Happened

Posted by Geri Gentry on May 15th, 2026

Karooooo Ltd. (NASDAQ:KARO – Get Free Report) shot up 5% during trading on Friday . The stock traded as high as $46.64 and last traded at $46.8160. 38,672 shares traded hands during mid-day trading, a decline of 36% from the average session volume of 60,631 shares. The stock had previously closed at $44.59.

Trending Headlines about Karooooo

Here are the key news stories impacting Karooooo this week:

Positive Sentiment: Management said FY2027 EPS should come in at ZAR 38.5 to ZAR 40, above the market’s prior expectations, signaling confidence in continued profit growth. Article title
Positive Sentiment: Karooooo also guided Cartrack subscription revenue growth of 18% to 24%, reinforcing expectations for strong top-line expansion in its core business. Article title
Positive Sentiment: The company reported record subscription revenue growth in the fourth quarter and said cash flow remained strong, which supports the bullish case despite some margin pressure. Article title
Neutral Sentiment: Fourth-quarter revenue came in slightly ahead of estimates at $90.93 million, suggesting steady demand even as earnings per share missed Wall Street expectations. Article title
Negative Sentiment: Q4 EPS of $0.44 missed the consensus estimate of $0.51, and several reports highlighted margin compression, which may limit upside if profitability does not re-accelerate. Article title

Wall Street Analysts Forecast Growth

Several brokerages recently commented on KARO. Roth Mkm reiterated a “buy” rating and issued a $68.00 price objective on shares of Karooooo in a research note on Thursday. Wall Street Zen upgraded shares of Karooooo from a “hold” rating to a “buy” rating in a research note on Saturday, April 11th. Finally, Weiss Ratings reiterated a “buy (b-)” rating on shares of Karooooo in a research note on Friday, April 24th. Six investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. According to MarketBeat.com, Karooooo presently has a consensus rating of “Moderate Buy” and an average target price of $60.20.

Check Out Our Latest Research Report on Karooooo

Karooooo Trading Up 5.1%

The company has a debt-to-equity ratio of 0.06, a current ratio of 0.84 and a quick ratio of 0.84. The company has a market cap of $1.45 billion, a price-to-earnings ratio of 25.43 and a beta of 0.92. The business’s 50-day simple moving average is $48.89 and its 200-day simple moving average is $47.20.

Karooooo (NASDAQ:KARO – Get Free Report) last announced its earnings results on Tuesday, April 14th. The company reported $0.45 earnings per share (EPS) for the quarter. The company 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 predict that Karooooo Ltd. will post 2.24 earnings per share for the current fiscal year.

Karooooo Increases Dividend

The firm also recently announced an annual dividend, which will be paid on Monday, July 27th. Shareholders of record on Friday, July 17th will be given a dividend of $1.50 per share. The ex-dividend date is Friday, July 17th. This is an increase from Karooooo’s previous annual dividend of $1.25. This represents a yield of 347.0%. Karooooo’s dividend payout ratio (DPR) is presently 67.57%.

Hedge Funds Weigh In On Karooooo

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Renaissance Technologies LLC raised its position in Karooooo by 1.4% during the first quarter. Renaissance Technologies LLC now owns 27,987 shares of the company’s stock worth $1,395,000 after acquiring an additional 400 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its position in Karooooo by 35.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 19,259 shares of the company’s stock worth $960,000 after acquiring an additional 4,999 shares during the last quarter. R Squared Ltd acquired a new position in Karooooo during the first quarter worth about $296,000. DGS Capital Management LLC raised its position in Karooooo by 5.7% during the first quarter. DGS Capital Management LLC now owns 7,359 shares of the company’s stock worth $367,000 after acquiring an additional 398 shares during the last quarter. Finally, Capricorn Fund Managers Ltd raised its position in Karooooo by 16.9% during the first quarter. Capricorn Fund Managers Ltd now owns 278,346 shares of the company’s stock worth $13,873,000 after acquiring an additional 40,268 shares during the last quarter.

About Karooooo

(Get Free Report)

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.