Root, Inc. (NASDAQ:ROOT) Receives Consensus Rating of “Hold” from Brokerages

Root, Inc. (NASDAQ:ROOT) has been assigned an average recommendation of “Hold” from the seven brokerages that are covering the company, Marketbeat reports. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and two have issued a buy rating on the company. The average twelve-month target price among brokerages that have issued a report on the stock in the last year is $93.20.

Several research firms have recently commented on ROOT. Wall Street Zen upgraded shares of Root from a “sell” rating to a “hold” rating in a report on Saturday, February 28th. UBS Group set a $50.00 price target on shares of Root and gave the company a “neutral” rating in a report on Monday, May 11th. Weiss Ratings upgraded shares of Root from a “sell (d+)” rating to a “hold (c)” rating in a report on Thursday, February 26th. Keefe, Bruyette & Woods lowered their price target on shares of Root from $104.00 to $95.00 and set an “outperform” rating on the stock in a report on Tuesday, April 7th. Finally, Wells Fargo & Company boosted their price target on shares of Root from $52.00 to $58.00 and gave the company an “equal weight” rating in a report on Thursday, May 7th.

Root Stock Performance

NASDAQ ROOT opened at $57.38 on Tuesday. Root has a twelve month low of $40.91 and a twelve month high of $162.99. The company has a debt-to-equity ratio of 0.61, a quick ratio of 1.07 and a current ratio of 1.07. The stock has a market cap of $908.33 million, a price-to-earnings ratio of 17.18 and a beta of 2.95. The firm’s 50 day moving average price is $50.75 and its two-hundred day moving average price is $62.97.

Root (NASDAQ:ROOT) last posted its quarterly earnings results on Wednesday, May 6th. The company reported $2.09 EPS for the quarter, beating the consensus estimate of $0.84 by $1.25. Root had a net margin of 3.58% and a return on equity of 19.97%. The business had revenue of $393.50 million for the quarter, compared to analysts’ expectations of $398.16 million. During the same period in the previous year, the company posted $1.07 EPS. Root’s revenue was up 12.5% on a year-over-year basis. Equities analysts anticipate that Root will post 2.15 EPS for the current year.

Hedge Funds Weigh In On Root

Several institutional investors and hedge funds have recently modified their holdings of ROOT. State of Alaska Department of Revenue bought a new stake in Root in the third quarter worth $50,000. Russell Investments Group Ltd. boosted its holdings in Root by 511.7% in the second quarter. Russell Investments Group Ltd. now owns 734 shares of the company’s stock worth $94,000 after purchasing an additional 614 shares in the last quarter. Advisory Services Network LLC bought a new stake in Root in the third quarter worth $144,000. Tower Research Capital LLC TRC boosted its holdings in Root by 237.2% in the second quarter. Tower Research Capital LLC TRC now owns 1,278 shares of the company’s stock worth $164,000 after purchasing an additional 899 shares in the last quarter. Finally, Zurcher Kantonalbank Zurich Cantonalbank bought a new stake in Root in the third quarter worth $194,000. 59.82% of the stock is currently owned by hedge funds and other institutional investors.

About Root

Root, trading on the Nasdaq under the ticker ROOT, is a Columbus, Ohio–based insurance company that leverages mobile technology and data analytics to offer personalized auto insurance policies. Founded in 2015 by Alex Timm and Dan Manges, Root set out to transform traditional underwriting by focusing on individual driving behavior rather than broad demographic factors.

The company’s core product is usage-based auto insurance, delivered through a smartphone app that monitors driving patterns such as speed, braking and phone usage behind the wheel.