Root, Inc. (NASDAQ:ROOT) Given Consensus Recommendation of “Hold” by Brokerages

Shares of Root, Inc. (NASDAQ:ROOT) have been given a consensus rating of “Hold” by the nine brokerages that are currently covering the company, MarketBeat Ratings reports. Six analysts have rated the stock with a hold rating, two have issued a buy rating and one has issued a strong buy rating on the company. The average twelve-month target price among brokers that have covered the stock in the last year is $59.13.

A number of analysts have recently weighed in on the company. Cantor Fitzgerald raised Root to a “strong-buy” rating in a research report on Thursday, October 3rd. UBS Group upped their target price on Root from $61.00 to $67.00 and gave the company a “neutral” rating in a research report on Monday, November 4th. Citizens Jmp lowered shares of Root from a “strong-buy” rating to a “hold” rating in a research note on Friday, November 22nd. Jefferies Financial Group decreased their price target on Root from $84.00 to $72.00 and set a “buy” rating for the company in a report on Wednesday, October 9th. Finally, Wells Fargo & Company boosted their target price on shares of Root from $64.00 to $78.00 and gave the stock an “equal weight” rating in a research report on Friday, November 1st.

Root Price Performance

Shares of NASDAQ ROOT opened at $91.83 on Tuesday. The firm’s 50 day simple moving average is $67.84 and its 200-day simple moving average is $56.71. The company has a debt-to-equity ratio of 1.65, a current ratio of 1.39 and a quick ratio of 1.39. Root has a 12 month low of $7.22 and a 12 month high of $118.15. The stock has a market capitalization of $1.39 billion, a price-to-earnings ratio of -74.66 and a beta of 2.47.

Root (NASDAQ:ROOT) last announced its quarterly earnings data on Wednesday, October 30th. The company reported $1.35 earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.61) by $1.96. Root had a negative net margin of 1.56% and a negative return on equity of 9.81%. The company had revenue of $305.70 million during the quarter, compared to analysts’ expectations of $272.77 million. During the same quarter in the prior year, the company earned ($3.16) EPS. Root’s revenue was up 165.1% compared to the same quarter last year. Analysts expect that Root will post -1.2 EPS for the current year.

Insider Activity

In other news, Director Julie Szudarek sold 2,000 shares of the stock in a transaction on Monday, November 18th. The shares were sold at an average price of $96.33, for a total value of $192,660.00. Following the completion of the transaction, the director now owns 15,003 shares in the company, valued at approximately $1,445,238.99. This represents a 11.76 % decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, major shareholder Meyer Malka sold 75,839 shares of the business’s stock in a transaction on Thursday, November 7th. The shares were sold at an average price of $81.21, for a total value of $6,158,885.19. Following the completion of the sale, the insider now directly owns 43,107 shares in the company, valued at approximately $3,500,719.47. This represents a 63.76 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 246,905 shares of company stock worth $20,440,479 in the last 90 days. Company insiders own 11.71% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of ROOT. Point72 DIFC Ltd bought a new position in Root in the third quarter valued at $33,000. MetLife Investment Management LLC grew its stake in Root by 129.1% in the 3rd quarter. MetLife Investment Management LLC now owns 5,127 shares of the company’s stock valued at $194,000 after buying an additional 2,889 shares during the last quarter. Versor Investments LP acquired a new stake in Root during the 3rd quarter worth approximately $216,000. Franklin Resources Inc. acquired a new stake in Root in the 3rd quarter worth about $249,000. Finally, Algert Global LLC acquired a new stake in Root during the second quarter worth approximately $288,000. Institutional investors and hedge funds own 59.82% of the company’s stock.

About Root

Root, Inc provides insurance products and services in the United States. The company offers automobile, homeowners, and renters insurance products. It operates a direct-to-consumer model; and serves customers primarily through mobile applications, as well as through its website. The company's direct distribution channels also cover digital, media, and referral channels, as well as distribution partners and agencies.