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

Root, Inc. (NASDAQ:ROOT) has been assigned a consensus recommendation of “Hold” from the seven analysts that are currently covering the stock, Marketbeat.com reports. Five analysts have rated the stock with a hold rating and two have given a buy rating to the company. The average 1-year price target among analysts that have issued ratings on the stock in the last year is $93.20.

ROOT has been the subject of a number of analyst reports. Wall Street Zen upgraded Root from a “sell” rating to a “hold” rating in a research note on Saturday, February 28th. Weiss Ratings downgraded Root from a “hold (c)” rating to a “hold (c-)” rating in a research note on Tuesday, June 9th. Wells Fargo & Company boosted their target price on Root from $52.00 to $58.00 and gave the stock an “equal weight” rating in a research note on Thursday, May 7th. Zacks Research upgraded Root from a “strong sell” rating to a “hold” rating in a research note on Monday, June 8th. Finally, TD Cowen restated a “hold” rating on shares of Root in a research note on Wednesday.

Hedge Funds Weigh In On Root

A number of hedge funds and other institutional investors have recently modified their holdings of the business. T. Rowe Price Investment Management Inc. boosted its stake in shares of Root by 8.5% in the 4th quarter. T. Rowe Price Investment Management Inc. now owns 946,632 shares of the company’s stock worth $68,376,000 after buying an additional 74,427 shares during the last quarter. Vanguard Group Inc. boosted its stake in shares of Root by 25.9% in the 3rd quarter. Vanguard Group Inc. now owns 724,541 shares of the company’s stock worth $64,854,000 after buying an additional 149,064 shares during the last quarter. Capital Research Global Investors boosted its stake in shares of Root by 31.7% in the 4th quarter. Capital Research Global Investors now owns 654,252 shares of the company’s stock worth $47,257,000 after buying an additional 157,654 shares during the last quarter. Geode Capital Management LLC boosted its stake in shares of Root by 4.1% in the 4th quarter. Geode Capital Management LLC now owns 310,967 shares of the company’s stock worth $22,466,000 after buying an additional 12,238 shares during the last quarter. Finally, State Street Corp boosted its stake in shares of Root by 5.0% in the 4th quarter. State Street Corp now owns 258,168 shares of the company’s stock worth $18,647,000 after buying an additional 12,321 shares during the last quarter. Hedge funds and other institutional investors own 59.82% of the company’s stock.

Root Price Performance

ROOT stock opened at $48.50 on Friday. The company has a market capitalization of $767.76 million, a P/E ratio of 14.52 and a beta of 2.87. The company has a debt-to-equity ratio of 0.61, a quick ratio of 1.07 and a current ratio of 1.07. Root has a 52-week low of $40.91 and a 52-week high of $141.00. The business has a 50-day simple moving average of $53.92 and a two-hundred day simple moving average of $59.81.

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

Root Company Profile

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.