Is Karooooo Stock a Good Investment?

Karooooo Investment Advice

KARO

To provide specific investment advice or recommendations on Karooooo stock, we recommend investors consider the following general factors when evaluating Karooooo. This will help you to make an informed decision on whether to include Karooooo in one of your diversified portfolios:

Examine Karooooo's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
Research Karooooo's leadership team and their track record. Good management can help Karooooo navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
Consider the overall health of the Business Services space and any emerging trends that could impact Karooooo's business and its evolving consumer preferences.
Compare Karooooo's performance and market position to its competitors. Analyze how Karooooo is positioned in terms of product offerings, innovation, and market share.
Check if Karooooo pays a dividend and its dividend yield and payout ratio.
Review what financial analysts are saying about Karooooo's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.

It's important to note that investing in Karooooo stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Karooooo is a good investment.

Sell

Buy

Strong Sell

Our advice tool can be used to complement Karooooo investment recommendation provided by experts. It analyzes the firm's potential to grow against your specific risk preferences and investment horizon. To make sure Karooooo is not overpriced, please verify all Karooooo fundamentals, including its revenue, cash flow from operations, working capital, as well as the relationship between the cash per share and number of employees . Given that Karooooo has a price to earning of 26.10 X, we recommend you to check Karooooo market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Market Performance	Modest	Details
Volatility	Very steady	Details
Hype Condition	Stale	Details
Current Valuation	Overvalued	Details
Odds Of Distress	Low	Details
Economic Sensitivity	Slowly supersedes the market	Details
Investor Sentiment	Alarmed	Details
Analyst Consensus	Not Available	Details
Financial Leverage	Not Rated	Details
Reporting Quality (M-Score)	Unavailable	Details

Examine Karooooo Stock

Researching Karooooo's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 79.0% of the company outstanding shares are owned by corporate insiders. The company last dividend was issued on the 8th of August 2024.

To determine if Karooooo is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Karooooo's research are outlined below:

	Karooooo had very high historical volatility over the last 90 days
	About 79.0% of the company outstanding shares are owned by corporate insiders

Karooooo uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Karooooo. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Karooooo's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.

	13th of May 2024 Upcoming Quarterly Report	View
	17th of July 2024 Next Financial Report	View
	29th of February 2024 Next Fiscal Quarter End	View
	13th of May 2024 Next Fiscal Year End	View
	30th of November 2023 Last Quarter Report	View
	28th of February 2023 Last Financial Announcement	View

Karooooo's market capitalization trends

The company currently falls under 'Mid-Cap' category with a current market capitalization of 1.65 B.

Karooooo's profitablity analysis

The company has Profit Margin (PM) of 0.2 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of 0.32 %, which suggests for every 100 dollars of sales, it generated a net operating income of $0.32.

Determining Karooooo's profitability involves analyzing its financial statements and using various financial metrics to determine if Karooooo is a good buy. For example, gross profit margin measures Karooooo's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Karooooo's profitability and make more informed investment decisions.

Basic technical analysis of Karooooo Stock

As of the 23rd of July, Karooooo secures the Downside Deviation of 4.75, mean deviation of 2.42, and Risk Adjusted Performance of 0.0704. Karooooo technical analysis lets you operate historical price patterns with an objective to determine a pattern that forecasts the direction of the firm's future prices.

Karooooo's Outstanding Corporate Bonds

Karooooo issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Karooooo uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Karooooo bonds can be classified according to their maturity, which is the date when Karooooo has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.

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	Morgan Stanley 3591 Corp Bond US61744YAK47	View
	MGM Resorts International Corp Bond US552953CD18	View
	Valero Energy Partners Corp Bond US91914JAA07	View

View All Karooooo Corporate Bonds

Understand Karooooo's technical and predictive indicators

Using predictive indicators to make investment decisions involves analyzing Karooooo's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.

	Risk Adjusted Performance	0.0704
	Market Risk Adjusted Performance	0.7281
	Mean Deviation	2.42
	Semi Deviation	4.45
	Downside Deviation	4.75
	Coefficient Of Variation	1423.23
	Standard Deviation	4.22
	Variance	17.79
	Information Ratio	0.0191
	Jensen Alpha	0.2043
	Total Risk Alpha	(0.69)
	Sortino Ratio	0.017
	Treynor Ratio	0.7181
	Maximum Drawdown	34.03
	Value At Risk	(3.82)
	Potential Upside	4.3
	Downside Variance	22.55
	Semi Variance	19.83
	Expected Short fall	(2.49)
	Skewness	(0.97)
	Kurtosis	10.18

	Risk Adjusted Performance	0.0704
	Market Risk Adjusted Performance	0.7281
	Mean Deviation	2.42
	Semi Deviation	4.45
	Downside Deviation	4.75
	Coefficient Of Variation	1423.23
	Standard Deviation	4.22
	Variance	17.79
	Information Ratio	0.0191
	Jensen Alpha	0.2043
	Total Risk Alpha	(0.69)
	Sortino Ratio	0.017
	Treynor Ratio	0.7181
	Maximum Drawdown	34.03
	Value At Risk	(3.82)
	Potential Upside	4.3
	Downside Variance	22.55
	Semi Variance	19.83
	Expected Short fall	(2.49)
	Skewness	(0.97)
	Kurtosis	10.18

Consider Karooooo's intraday indicators

Karooooo intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Karooooo stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.

	Accumulation Distribution	9913.6
	Daily Balance Of Power	(0.47)
	Rate Of Daily Change	0.96
	Day Median Price	49.57
	Day Typical Price	49.25
	Price Action Indicator	(1.90)
	Period Momentum Indicator	(1.93)
	Relative Strength Index	49.78

Karooooo time-series forecasting models is one of many Karooooo's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Karooooo's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.

Karooooo Stock media impact

There is far too much social signal, news, headlines, and media speculation about Karooooo that are available to investors today. This information is accessible both publicly - through Karooooo's media outlets and privately, via word of mouth or internal channels. However, regardless of the source, the sheer volume of Karooooo-related data is difficult to distill into actionable insights, especially for investors who are not well-versed in the rapidly evolving tools and techniques of investment management.

A primary focus of Karooooo news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Karooooo relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Karooooo's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Karooooo alpha.

Karooooo Corporate Management

Pedro Ventura	Chief Officer	Profile
Juan Marais	Chief Officer	Profile
Richard Schubert	Chief Officer	Profile
Paul Bieber	Vice Finance	Profile
Hoeshin Goy	CFO Director	Profile
Carmen Calisto	Chief Officer	Profile

When determining whether Karooooo offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Karooooo's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Karooooo Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Karooooo Stock: