Karooooo Ltd. (KARO) P/E Ratio History
ExpensiveTrading at 31.0x vs 5Y avg 1.6x · 100th percentile · Material premium to history · Data 2022–2026
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P/E Ratio Analysis
As of July 7, 2026, Karooooo Ltd. (KARO) trades at a price-to-earnings ratio of 31.0x, with a stock price of $56.32 and trailing twelve-month earnings per share of $32.17.
The current P/E is 1861% above its 5-year average of 1.6x. Over the past five years, KARO's P/E has ranged from a low of 1.0x to a high of 2.8x, placing the current valuation at the 100th percentile of its historical range.
Compared to the Technology sector median P/E of 29.6x, KARO is roughly in line with its sector peers. The sector includes 358 companies with P/E ratios ranging from 0.0x to 194.0x.
The PEG ratio of 1.79 (P/E divided by -1% EPS growth) suggests a fair valuation relative to its earnings growth. Peter Lynch popularized the rule that a PEG below 1.0 indicates an attractive entry point.
Relative to the broader market, KARO commands a significant premium over the S&P 500 median P/E of 25.6x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our KARO DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
KARO Cross-Benchmark Valuation
How does the current P/E compare to sector peers and the broader market?
KARO P/E vs Peers
Vertical industry SaaS applications peers sorted by market cap
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $2B | 33.7 | 1.69 | +15% | |
| $12B | 30.0Lowest | 12.20 | -71% | |
| $517M | 626.2 | - | +113%Best | |
| $197B | 37.2 | 17.90 | -44% | |
| $4.4T | 33.8 | 1.13Best | +34% | |
| $2.6T | 34.1 | 1.22 | +30% | |
| $449B | 44.7 | - | +0% |
Lower P/E can signal a discount or weaker growth expectations; PEG adds growth context.
KARO Historical P/E Data (2022–2026)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Period End | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2026 Q4 | Feb 28 2026 | $47.22 | $32.05 | 1.5x | -7% |
| FY2026 Q3 | Nov 30 2025 | $45.03 | $33.17 | 1.4x | -14% |
| FY2026 Q2 | Aug 31 2025 | $52.66 | $32.45 | 1.6x | +3% |
| FY2026 Q1 | May 31 2025 | $55.50 | $31.26 | 1.8x | +12% |
| FY2025 Q4 | Feb 28 2025 | $45.27 | $29.89 | 1.5x | -4% |
| FY2025 Q3 | Nov 30 2024 | $44.80 | $28.59 | 1.6x | -1% |
| FY2025 Q2 | Aug 31 2024 | $38.29 | $27.04 | 1.4x | -10% |
| FY2025 Q1 | May 31 2024 | $28.74 | $26.03 | 1.1x | -30% |
| FY2024 Q4 | Feb 28 2024 | $25.00 | $24.22 | 1.0x | -35% |
| FY2024 Q3 | - | $25.00 | $22.24 | 1.1x | -29% |
| FY2024 Q2 | - | $24.19 | $20.57 | 1.2x | -26% |
| FY2024 Q1 | May 31 2023 | $22.42 | $20.03 | 1.1x | -29% |
| FY2023 Q4 | - | $25.40 | $19.68 | 1.3x | -18% |
| FY2023 Q3 | Nov 30 2022 | $25.49 | $17.81 | 1.4x | -9% |
| FY2023 Q2 | Aug 31 2022 | $25.58 | $18.24 | 1.4x | -11% |
| FY2023 Q1 | - | $25.20 | $16.94 | 1.5x | -6% |
| FY2022 Q4 | Feb 28 2022 | $31.50 | $14.63 | 2.2x | +36% |
| FY2022 Q3 | - | $33.00 | $14.33 | 2.3x | +46% |
| FY2022 Q2 | - | $31.47 | $13.09 | 2.4x | +52% |
| FY2022 Q1 | May 31 2021 | $36.96 | $13.10 | 2.8x | +79% |
Average P/E for displayed period: 1.6x
Intrinsic Valuation
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Historical Returns
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DCA Calculator
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Peer Comparison
Compare growth, multiples, and margins vs sector.
KARO — Frequently Asked Questions
Quick answers to the most common questions about buying KARO stock.
What is KARO's P/E ratio?
Karooooo Ltd. (KARO) trailing twelve-month P/E ratio is 31.0x, based on TTM diluted EPS of $32.17. The 5-year average P/E is 1.6x and the historical range spans 1.0x to 2.8x.
Is KARO stock overvalued or undervalued?
KARO trades at 31.0x P/E, above its 5-year average of 1.6x. The 100th percentile ranking within the 1.0x–2.8x historical range indicates a premium to historical valuation.
Is KARO stock expensive?
Yes, KARO is expensive relative to its own history. The current P/E of 31.0x is above the 5-year average of 1.6x and also above the Technology sector median of 29.6x. The stock sits at the 100th percentile of its 5-year valuation range.
What is KARO's historical P/E range?
Over the past 5 years, KARO's P/E ratio has ranged from 1.0x to 2.8x, with a median of 1.5x and an average of 1.6x. The current P/E of 31.0x places the stock at the 100th percentile of this range. Full historical data spans 2022–2026.
How does KARO's P/E compare to the S&P 500?
KARO trades at 31.0x P/E versus the S&P 500 median of 25.6x. The 21% premium to the market typically reflects higher expected earnings growth or quality.
How does KARO's valuation compare to Technology peers?
Karooooo Ltd. P/E of 31.0x compares to the Technology sector median of 29.6x. The premium reflects expected growth above peers or stronger fundamentals. See the peer comparison table on this page for ticker-by-ticker P/E and PEG.
What is KARO's PEG ratio?
KARO PEG ratio is 1.79, based on a P/E of 31.0x and EPS growth of -0.9%. A PEG between 1 and 2 suggests valuation aligns with growth expectations — typically considered fair.
What is KARO's earnings yield?
KARO earnings yield is 3.23%, the inverse of its 31.0x P/E ratio. Earnings yield represents the percentage of each dollar invested that the company earns. It can be compared directly to bond yields to assess relative attractiveness of stocks versus fixed income.