Karooooo (JSE:KRO) Profitability Rank: 9 (As of May. 2026) — 50% Above Median

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JSE:KRO Karooooo Ltd JSE:KRO
83 GF Score
Price R1,008.51
GF Value R910.01
Valuation Modestly Overvalued
! 4 Warning Signs
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What is Karooooo Profitability Rank?

Karooooo JSE:KRO +3.30% 83 Profitability Rank is 9 as of May. 2026, which is 50% above its 10-year median of 6.00. GuruFocus rates JSE:KRO with a GF Score™ of 83/100 and a GF Value™ of R910.01 (Modestly Overvalued). The stock has 4 warning signs investors should review.

Karooooo has the Profitability Rank of 9. It has a higher profitability and may stay that way.

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way. It is rated on a scale of 1 to 10 and is based on these factors:

1. Operating Margin %
2. Piotroski F-Score
3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.
4. Consistency of the profitability
5. Predictability Rank

A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Karooooo's Operating Margin % for the quarter that ended in May. 2026 was 26.20%. As of today, Karooooo's Piotroski F-Score is 5.


Karooooo Profitability Rank Related Terms


JSE:KRO vs VERX, EVCM, NCNO: Profitability Rank Comparison

For the Software - Application subindustry, Karooooo's Profitability Rank, along with its competitors' market caps and Profitability Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Karooooo Profitability Rank vs Software Industry

For the Software industry and Technology sector, Karooooo's Profitability Rank distribution charts can be found below:

* The bar in red indicates where Karooooo's Profitability Rank falls into.


JSE:KRO
83GF Score
Karooooo Ltd JSE:KRO
Profitability Rank is just one metric. See GF Score™, valuation, warning signs, and more.
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Karooooo Profitability Rank Calculation

GuruFocus Profitability Rank ranks how profitable a company is and how likely the company's business will stay that way.

The rank is rated on a scale of 1 to 10. A higher score indicates superior profitability, with companies rated 7 or above considered to have more robust and sustainable profit generation. Conversely, a score of 3 or lower suggests challenges in generating consistent profits.

Karooooo has the Profitability Rank of 9. It has a higher profitability and may stay that way.

Profitability Rank is not directly related to the Financial Strength. But if a company is consistently profitable, its financial strength will be stronger.

Profitability Rank is based on these factors:

1. Operating Margin %

Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.

Karooooo's Operating Margin % for the quarter that ended in May. 2026 is calculated as:

Operating Margin %=Operating Income (Q: May. 2026 ) / Revenue (Q: May. 2026 )
=409.686 / 1563.947
=26.20 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

2. Piotroski F-Score

The zones of discrimination were as such:

Good or high score = 8 or 9
Bad or low score = 0 or 1

Karooooo has an F-score of 5 indicating the company's financial situation is typical for a stable company.

3. Trend of the Operating Margin % (5-year average). The company with an uptrend profit margin has a higher rank.

Warning Sign:

Karooooo Ltd operating margin has been in a 5-year decline. The average rate of decline per year is -1.9%.

4. Consistency of the profitability

5. Predictability Rank

Frequently Asked Questions Learn more about Profitability Rank →
What does a Profitability Rank of 9 mean?
Karooooo (JSE:KRO) has a Profitability Rank of 9 as of May. 2026. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on Karooooo and its competitors. This is 50% above median its historical median of 6.00. Over the past decade, Karooooo's Profitability Rank has ranged from 5.00 to 9.00.
Is Karooooo's Profitability Rank too high?
Karooooo's current Profitability Rank of 9 is 50% above median its 10-year median of 6.00. Over the past 10 years, this metric has ranged from a low of 5.00 to a high of 9.00. Overall, Karooooo has a GF Score™ of 83/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Karooooo's Profitability Rank compare to VERX and EVCM?
Karooooo's Profitability Rank of 9 can be compared against companies in the Software industry. Historically, Karooooo's own Profitability Rank has ranged from 5.00 to 9.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Profitability Rank for a Software company?
A good Profitability Rank depends on the Software industry context. However, Profitability Rank should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Profitability Rank mean?
A high Profitability Rank can signal that a stock is expensive relative to its fundamentals. Profitability and Growth ranks a company based on its profit margins and earnings growth. View historical data on Karooooo and its competitors. Karooooo's current Profitability Rank is 9, which is 50% above median its own 10-year median of 6.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Karooooo stock overvalued right now?
Based on GuruFocus' analysis, Karooooo (JSE:KRO) is currently considered Modestly Overvalued. The stock's GF Value™ is R910.01, compared to a current price of R1,008.51 — trading 10.8% above its estimated fair value. The current Profitability Rank is 9, which is 50% above median its 10-year median of 6.00. Karooooo's overall GF Score™ is 83/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Profitability Rank calculated?
Profitability Rank is calculated from a company's financial statements. For Karooooo (JSE:KRO), the current Profitability Rank is 9 as of May. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Karooooo (JSE:KRO) Overvalued in 2026?

Based on GuruFocus' analysis, Karooooo stock appears to be overvalued. The current stock price of R1,008.51 is trading 10.8% above its estimated GF Value™ of R910.01. GuruFocus considers Karooooo to be Modestly Overvalued.

Key valuation signals for JSE:KRO:

  • Profitability Rank: 9 (50% above median its 10-year median of 6.00)
  • GF Value™: R910.01 vs. price of R1,008.51 (10.8% above fair value)
  • GF Score™: 83/100 with 4 warning signs

No single metric tells the full story. See the JSE:KRO stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Karooooo Business Description

Other Exchanges KARO:USA
Address 1 Harbourfront Avenue, Keppel Bay Tower No. 14-07, Singapore, SGP, 098632
Karooooo Ltd is a provider of an operational intelligence platform. Through its cloud platform, the company enables fleet and asset management, fuel management, workforce management, logistics, safety, including AI-assisted video safety, compliance, risk, and environmental impact management. Its segments are: Cartrack, which generates the majority of revenue, provides an operational intelligence platform that maximizes the value of transportation, operations, and workflow data through insightful real-time data analytics to connected vehicles and equipment, and Karooooo Logistics provides a software application enabling the management of last-mile B2B delivery and general operational logistics (Delivery-as-a-Service or DaaS). It generates the majority of its revenue from South Africa.
83GF Score

Get the complete analysis for JSE:KRO

Profitability Rank is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

R1,008.51
Price
R910.01
GF Value