KARO Stock Recent News

Investors looking for ways to find stocks that are set to beat quarterly earnings estimates should check out the Zacks Earnings ESP.

Karooooo (KARO) has an impressive earnings surprise history and currently possesses the right combination of the two key ingredients for a likely beat in its next quarterly report.

Here is how Karooooo Ltd. (KARO) and Allegro MicroSystems, Inc. (ALGM) have performed compared to their sector so far this year.

Ituran's subscriber base hit 2.5 million, boosted by new telematics deals with major car OEMs like Porsche and Stellantis. Despite slower subscriber growth than peer Karooooo, Ituran's projected revenue and EPS for FY2027 are higher, yet its market cap is half of KARO's. Ituran trades at a steep discount, with a forward P/E of 12.03x versus the sector median of 29.59x, indicating significant undervaluation.

SINGAPORE--(BUSINESS WIRE)--Karooooo Ltd. (“Karooooo”) announced the pricing of an underwritten secondary public offering (the “Offering”) of 1,500,000 ordinary shares held by Isaias (Zak) Jose Calisto, Karooooo's chief executive officer (the “Selling Shareholder”), at a price to the public of $50.00 per ordinary share (the “public offering price”) for total gross proceeds of approximately $75.0 million. The Offering is expected to close on June 13, 2025, subject to customary closing conditions.

Karooooo (KARO) was a big mover last session on higher-than-average trading volume. The latest trend in earnings estimate revisions might help the stock continue moving higher in the near term.

I reiterate my Buy rating on Karooooo as its telematics SaaS business delivers strong recurring revenue growth, robust margins, and record Q4 results. Karooooo's subscription model, high-growth end markets, and accelerating geographic expansion in SEA and Europe underpin my bullish investment thesis. Valuation remains attractive with a FWD PEG of ~1.0x, well below SaaS peers, offering meaningful upside if growth targets are met or exceeded.

The MSCI Emerging Markets Index (EEM) is up +10% YTD in a rare rally as President Donald Trump's back-and-forth tariff policies weigh on the US dollar. Stocks have begun to rebound amid a temporary trade truce between the U.S. and China, but tariffs and inflation still threaten further volatility down the line. Geographical diversification is a great way to hedge against volatility while also complementing a well-balanced portfolio.

From a technical perspective, Karooooo Ltd. (KARO) is looking like an interesting pick, as it just reached a key level of support.

Karooooo (KARO) shares have started gaining and might continue moving higher in the near term, as indicated by solid earnings estimate revisions.