William Blair Has Negative Estimate for Karooooo Q3 Earnings

Karooooo Ltd. (NASDAQ:KARO) – William Blair reduced their Q3 2026 EPS estimates for shares of Karooooo in a research report issued to clients and investors on Wednesday, October 15th. William Blair analyst D. Becker now anticipates that the company will post earnings per share of $0.43 for the quarter, down from their previous estimate of $0.46. The consensus estimate for Karooooo’s current full-year earnings is $1.57 per share. William Blair also issued estimates for Karooooo’s Q4 2026 earnings at $0.46 EPS, FY2026 earnings at $1.84 EPS and FY2027 earnings at $2.11 EPS.

Karooooo (NASDAQ:KARO) last released its earnings results on Tuesday, October 14th. The company reported $0.47 EPS for the quarter, beating analysts’ consensus estimates of $0.46 by $0.01. Karooooo had a return on equity of 31.64% and a net margin of 19.90%.The business had revenue of $76.16 million for the quarter, compared to analysts’ expectations of $73.45 million. Karooooo has set its FY 2026 guidance at 1.830-2.000 EPS.

A number of other analysts also recently weighed in on KARO. Wall Street Zen downgraded Karooooo from a “buy” rating to a “hold” rating in a research report on Saturday. UBS Group initiated coverage on shares of Karooooo in a research note on Friday, August 29th. They set a “buy” rating and a $60.00 price target on the stock. Raymond James Financial restated an “outperform” rating and issued a $60.00 price objective (up from $58.00) on shares of Karooooo in a report on Thursday, July 24th. Needham & Company LLC initiated coverage on shares of Karooooo in a report on Wednesday, July 16th. They set a “buy” rating and a $60.00 target price on the stock. Finally, Zacks Research cut shares of Karooooo from a “strong-buy” rating to a “hold” rating in a research report on Thursday, September 11th. Four research analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Karooooo has an average rating of “Moderate Buy” and a consensus price target of $58.25.

Karooooo Price Performance

KARO opened at $46.24 on Monday. The company has a current ratio of 0.80, a quick ratio of 0.79 and a debt-to-equity ratio of 0.08. The stock has a market capitalization of $1.43 billion, a P/E ratio of 25.83 and a beta of 1.09. The stock has a 50-day moving average price of $52.61 and a 200-day moving average price of $49.38. Karooooo has a 12-month low of $35.88 and a 12-month high of $63.36.

Institutional Investors Weigh In On Karooooo

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Capricorn Fund Managers Ltd boosted its position in Karooooo by 8.0% during the 1st quarter. Capricorn Fund Managers Ltd now owns 143,470 shares of the company’s stock valued at $6,103,000 after buying an additional 10,586 shares during the period. Credit Agricole S A raised its stake in shares of Karooooo by 95.5% during the first quarter. Credit Agricole S A now owns 14,049 shares of the company’s stock valued at $598,000 after acquiring an additional 6,861 shares during the last quarter. State of Wyoming bought a new position in shares of Karooooo during the first quarter valued at about $418,000. Acadian Asset Management LLC boosted its holdings in shares of Karooooo by 77.9% during the first quarter. Acadian Asset Management LLC now owns 46,454 shares of the company’s stock worth $1,955,000 after purchasing an additional 20,347 shares during the period. Finally, Geode Capital Management LLC grew its stake in shares of Karooooo by 56.6% in the second quarter. Geode Capital Management LLC now owns 29,892 shares of the company’s stock worth $1,464,000 after purchasing an additional 10,799 shares during the last quarter.

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.