Karooooo (NASDAQ:KARO) Releases FY 2026 Earnings Guidance

Karooooo (NASDAQ:KARO) issued an update on its FY 2026 earnings guidance on Tuesday morning. The company provided EPS guidance of 1.876-2.049 for the period, compared to the consensus EPS estimate of 1.920. The company issued revenue guidance of -.

Karooooo Trading Down 3.2%

NASDAQ:KARO opened at $43.34 on Thursday. The stock has a market cap of $1.34 billion, a price-to-earnings ratio of 23.43 and a beta of 1.06. The company has a debt-to-equity ratio of 0.08, a quick ratio of 0.79 and a current ratio of 0.80. Karooooo has a 1 year low of $35.88 and a 1 year high of $63.36. The business has a fifty day moving average of $45.60 and a 200-day moving average of $48.48.

Karooooo (NASDAQ:KARO) last issued its quarterly earnings data on Tuesday, January 20th. The company reported $0.49 earnings per share for the quarter, beating analysts’ consensus estimates of $0.46 by $0.03. The business had revenue of $82.34 million for the quarter, compared to analysts’ expectations of $79.04 million. Karooooo had a net margin of 19.45% and a return on equity of 32.14%. Karooooo has set its FY 2026 guidance at 1.876-2.049 EPS. Equities analysts predict that Karooooo will post 1.57 earnings per share for the current year.

Wall Street Analyst Weigh In

A number of analysts have recently weighed in on KARO shares. Wall Street Zen raised shares of Karooooo from a “hold” rating to a “buy” rating in a research note on Saturday, December 6th. Weiss Ratings reissued a “hold (c+)” rating on shares of Karooooo in a report on Tuesday, January 13th. Four investment analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company. According to MarketBeat, Karooooo has an average rating of “Moderate Buy” and an average target price of $58.25.

Key Karooooo News

Here are the key news stories impacting Karooooo this week:

• Positive Sentiment: Q3 results beat expectations: EPS of $0.50 topped estimates and revenue of $82.3M exceeded consensus, driven by Cartrack performance — a clear near-term earnings surprise that confirms operational strength. Read More.
• Positive Sentiment: ARR acceleration: Cartrack SaaS ARR rose ~28% year-over-year to USD 298M (22% y/y in ZAR), signaling durable subscription revenue growth and stronger recurring revenue quality. Read More.
• Positive Sentiment: Subscription and subscriber metrics strong: Reports cite ~20% subscription revenue growth and record subscriber adds — supportive for forward ARR and lifetime value assumptions. Read More.
• Neutral Sentiment: FY2026 EPS guidance provided: Management set FY26 EPS guidance of 1.876–2.049 versus a consensus reference of 1.920 — a modestly wide range that gives guidance but leaves room for interpretation. Read More.
• Neutral Sentiment: Full materials & call transcripts available: Slide deck and call transcript published for deeper review — useful for modeling subscription cadence and margin assumptions. Read More. and Read More.
• Negative Sentiment: Management flagged increased growth investments: The earnings call noted stepped-up investments to support scaling (sales, product, logistics), which can compress near-term margins and prompt cautious positioning by traders. This likely explains profit-taking despite the beat. Read More.

Institutional Trading of Karooooo

Large investors have recently added to or reduced their stakes in the business. Quadrature Capital Ltd boosted its stake in shares of Karooooo by 148.8% during the 3rd quarter. Quadrature Capital Ltd now owns 18,871 shares of the company’s stock worth $1,078,000 after acquiring an additional 11,286 shares in the last quarter. Credit Agricole S A purchased a new stake in shares of Karooooo during the third quarter valued at $802,000. Prosperity Wealth Management Inc. acquired a new position in shares of Karooooo in the 3rd quarter valued at $446,000. JPMorgan Chase & Co. increased its stake in Karooooo by 216.0% in the 2nd quarter. JPMorgan Chase & Co. now owns 8,089 shares of the company’s stock worth $396,000 after purchasing an additional 5,529 shares in the last quarter. Finally, BNP Paribas Financial Markets raised its holdings in Karooooo by 22.8% during the 3rd quarter. BNP Paribas Financial Markets now owns 6,195 shares of the company’s stock worth $354,000 after buying an additional 1,150 shares during the period.

About Karooooo

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.