Karooooo (NASDAQ:KARO) Shares Gap Down – Should You Sell?

Karooooo Ltd. (NASDAQ:KARO) shares gapped down before the market opened on Thursday . The stock had previously closed at $59.53, but opened at $50.00. Karooooo shares last traded at $49.72, with a volume of 212,714 shares changing hands.

Wall Street Analysts Forecast Growth

Separately, Raymond James increased their price objective on Karooooo from $51.00 to $58.00 and gave the company an “outperform” rating in a research note on Friday, May 16th.

Karooooo Trading Up 1.1%

The business has a 50 day moving average of $47.72 and a 200 day moving average of $46.01. The company has a quick ratio of 1.24, a current ratio of 1.25 and a debt-to-equity ratio of 0.14. The firm has a market cap of $1.49 billion, a price-to-earnings ratio of 30.92 and a beta of 1.15.

Karooooo (NASDAQ:KARO) last issued its quarterly earnings results on Wednesday, May 14th. The company reported $0.44 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.37 by $0.07. Karooooo had a return on equity of 30.29% and a net margin of 19.87%. The firm had revenue of $65.12 million for the quarter, compared to analyst estimates of $1.18 billion. During the same period last year, the company earned $6.81 EPS. On average, research analysts forecast that Karooooo Ltd. will post 1.57 earnings per share for the current fiscal year.

Institutional Trading of Karooooo

Hedge funds have recently added to or reduced their stakes in the business. New York State Common Retirement Fund acquired a new stake in Karooooo in the 4th quarter worth about $26,000. BNP Paribas Financial Markets acquired a new stake in Karooooo in the 4th quarter worth about $210,000. Lazard Asset Management LLC boosted its stake in Karooooo by 17.5% in the 4th quarter. Lazard Asset Management LLC now owns 4,961 shares of the company’s stock worth $223,000 after buying an additional 740 shares during the last quarter. Nipun Capital L.P. purchased a new position in shares of Karooooo in the 1st quarter worth about $242,000. Finally, Northern Trust Corp purchased a new position in shares of Karooooo in the 4th quarter worth about $340,000.

Karooooo Company Profile

Karooooo Ltd. provides mobility software-as-a-service (SaaS) platform for connected vehicles in South Africa, rest of Africa, Europe, the Asia-Pacific, the Middle East, and the United States. The company offers Fleet Telematics, a fleet management SaaS platform that provides real-time insights; LiveVision, which offers pro-active risk management and fleet visibility; MiFleet advanced fleet administration and business intelligence that provides cost management and administration capability services; and Karooooo Logistics, a software application for management of last mile delivery and general operational logistics.