Karooooo initiated with a Buy at UBS

UBS analyst Taylor McGinnis initiated coverage of Karooooo (KARO) with a Buy rating and $60 price target Karooooo is a telematics, fleet management and delivery-as-a-service company trading at a 45% discount to peers, the analyst tells investors in a research note. The firm sees the company’s above-average high-teens growth rate creating an attractive risk/reward, particularly for emerging market investors. Karooooo is well positioned to sustain high-teens growth as it targets underserved markets and scales sales, contends UBS.