KARO Karooooo Ltd Forecast, Technical & Fundamental Analysis

Aroon Indicator for KARO shows an upward move is likely

KARO's Aroon Indicator triggered a bullish signal on November 28, 2023. Tickeron's A.I.dvisor detected that the AroonUp green line is above 70 while the AroonDown red line is below 30. When the up indicator moves above 70 and the down indicator remains below 30, it is a sign that the stock could be setting up for a bullish move. Traders may want to buy the stock or look to buy calls options. A.I.dvisor looked at 73 similar instances where the Aroon Indicator showed a similar pattern. In of the 73 cases, the stock moved higher in the days that followed. This puts the odds of a move higher at .

Technical Analysis (Indicators)

Bullish Trend Analysis

The Momentum Indicator moved above the 0 level on November 14, 2023. You may want to consider a long position or call options on KARO as a result. In of 57 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .

The Moving Average Convergence Divergence (MACD) for KARO just turned positive on November 14, 2023. Looking at past instances where KARO's MACD turned positive, the stock continued to rise in of 26 cases over the following month. The odds of a continued upward trend are .

KARO moved above its 50-day moving average on October 30, 2023 date and that indicates a change from a downward trend to an upward trend.

The 50-day moving average for KARO moved above the 200-day moving average on November 28, 2023. This could be a long-term bullish signal for the stock as the stock shifts to an upward trend.

Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where KARO advanced for three days, in of 132 cases, the price rose further within the following month. The odds of a continued upward trend are .

Bearish Trend Analysis

The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 5 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where KARO declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .

KARO broke above its upper Bollinger Band on November 24, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.

Fundamental Analysis (Ratings)

The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (5.952) is normal, around the industry mean (20.910). P/E Ratio (24.155) is within average values for comparable stocks, (159.483). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (2.580). Dividend Yield (0.033) settles around the average of (0.083) among similar stocks. P/S Ratio (3.870) is also within normal values, averaging (74.275).

The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. KARO’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. KARO’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock worse than average.