NASDAQ
KARO
Last Price
US $49.36
KEY FIGURES
MKT CAP
$1.5B
EPS
TTM
$32.17
PEG
TTM
3.54x
P/E
TTM
25.57x
P/S
TTM
0.28x
YIELD
0.00%
GROWTH
Revenue Y/Y
Profit margin
Current Ratio
Capital Returns
29.94%
Return on equity
ROIC: 23.68%
Valuation History
1.5X
Price to Earnings
EV/EBITDA: 0.52X
Cash flow
Profit margin
19.06%
(FY vs FY)
EBITDA Y/Y
14.22%
(FY vs FY)
Cash flow Y/Y
0.00%
(FY vs FY)
Cash Flow (DCF)
Fair Value
Market $49.36
1002.17%
Default assumptions
EBITDA Multiple
Fair Value
Market $49.36
872.81%
Default assumptions
Base valuations use default assumptions. Customize in the Valuator.
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
Karooooo Ltd. cash flow to debt ratio of 156.48% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.
Financial risk - Healthy cash flow growth.
Karooooo Ltd.'s free cash flow has decreased -100.00% from $928.88M last year to $0.00, signaling decreasing performance
Financial stability - Healthy debt to equity ratio.
Karooooo Ltd.'s debt to equity ratio is 0.35, which means that the company's assets are healthy financed, signaling financial stability. READ MORE: A ratio under 0.60 means the company finances its assets with own equity, signaling financial stability and good management.
Financial risk - Healthy debt to equity ratio development.
Karooooo Ltd.'s debt has increased relative to shareholder equity from 0.23 last year to 0.35 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
Karooooo Ltd. has a net debt to EBITDA ratio of 0.00x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
Karooooo Ltd.'s interest coverage ratio of 24.33 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
Karooooo Ltd.'s profit margin has decreased (-10.04%) in the last year from 20.17% to 18.14%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
Karooooo Ltd.'s short-term assets of $1.78G exceed its short-term liabilities of $1.68G
Increasing performance - ROA.
Karooooo Ltd.'s return on assets of 17.00% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
Karooooo Ltd.'s return on equity of 30.79%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
Karooooo Ltd.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
Karooooo Ltd. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
Karooooo Ltd. has positive free cash flow, indicating the company generates cash after capital expenditures
Decreasing performance - FCF yield.
Karooooo Ltd. has a free cash flow yield of 0.00%, which is below the 2.00% threshold, indicating limited cash return relative to market value
Increasing performance - Healthy earnings growth.
Karooooo Ltd.'s yearly earnings has increased 7.91% since last year from $921.03M to $993.92M, signaling increasing performance
Increasing performance - Healthy revenue growth.
Karooooo Ltd.'s yearly revenue has increased 10.16% since last year from $4.57G to $5.03G, signaling increasing performance
Increasing performance - ROIC.
ROIC 22.13% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.
Increasing performance - 3-year revenue CAGR.
Karooooo Ltd.'s 3-year revenue CAGR of 16.03% is positive, indicating growing revenue over the past 3 years
Increasing performance - Revenue consistency.
Karooooo Ltd. had revenue growth in 5.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
Karooooo Ltd. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Undervalued - DCF valuation.
Karooooo Ltd. is undervalued relative to its fair value price of 544.03 based on Discounted Cash Flow model
Undervalued - Earnings yield.
Karooooo Ltd. has an earnings yield of 64.40%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Undervalued - EBITDA valuation.
Karooooo Ltd. is undervalued relative to its fair value price of 480.18 based on EBITDA multiple model
Undervalued - EV/EBITDA.
Karooooo Ltd. has an EV/EBITDA ratio of 11.03x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
Karooooo Ltd. has a PEG-ratio over 1 which is considered overvalued
Overvalued - P/B ratio.
Karooooo Ltd. has a price-to-book ratio of 7.65x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
Karooooo Ltd. has a price-to-sales ratio of 4.62x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue