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

Shares of Root, Inc. (NASDAQ:ROOT) have earned a consensus recommendation of “Hold” from the nine research firms that are presently covering the firm, MarketBeat Ratings reports. Six research analysts have rated the stock with a hold rating, two have given a buy rating and one has assigned a strong buy rating to the company. The average 1-year price objective among brokers that have issued a report on the stock in the last year is $122.17.

ROOT has been the subject of several recent research reports. Wall Street Zen upgraded shares of Root from a “hold” rating to a “buy” rating in a research note on Thursday, May 22nd. Keefe, Bruyette & Woods lifted their price objective on shares of Root from $150.00 to $170.00 and gave the company an “outperform” rating in a research note on Thursday, May 8th. Wells Fargo & Company boosted their target price on shares of Root from $105.00 to $142.00 and gave the company an “equal weight” rating in a report on Thursday, May 8th. UBS Group raised their price target on Root from $67.00 to $130.00 and gave the stock a “neutral” rating in a report on Friday, March 7th. Finally, Scotiabank reissued a “sector perform” rating on shares of Root in a report on Sunday, March 2nd.

Insider Activity

In other Root news, major shareholder Meyer Malka sold 225,000 shares of Root stock in a transaction that occurred on Wednesday, April 30th. The shares were sold at an average price of $135.81, for a total transaction of $30,557,250.00. Following the transaction, the insider now directly owns 503,800 shares of the company’s stock, valued at approximately $68,421,078. This trade represents a 30.87% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Mahtiyar Bonakdarpour sold 5,515 shares of Root stock in a transaction that occurred on Wednesday, April 2nd. The stock was sold at an average price of $124.78, for a total transaction of $688,161.70. Following the transaction, the insider now directly owns 286,901 shares in the company, valued at $35,799,506.78. This trade represents a 1.89% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 233,659 shares of company stock worth $31,748,719. 11.76% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Russell Investments Group Ltd. boosted its holdings in Root by 651.8% in the fourth quarter. Russell Investments Group Ltd. now owns 421 shares of the company’s stock valued at $31,000 after acquiring an additional 365 shares in the last quarter. Twin Tree Management LP purchased a new position in Root in the 1st quarter worth about $37,000. KBC Group NV purchased a new position in Root in the 1st quarter worth about $48,000. KLP Kapitalforvaltning AS purchased a new position in Root in the 4th quarter worth about $94,000. Finally, Aquatic Capital Management LLC increased its position in shares of Root by 92.1% during the 4th quarter. Aquatic Capital Management LLC now owns 1,537 shares of the company’s stock valued at $112,000 after purchasing an additional 737 shares during the last quarter. 59.82% of the stock is owned by hedge funds and other institutional investors.

Root Price Performance

Shares of NASDAQ ROOT opened at $137.80 on Tuesday. The company has a current ratio of 1.39, a quick ratio of 1.39 and a debt-to-equity ratio of 1.65. The stock has a fifty day simple moving average of $133.25 and a two-hundred day simple moving average of $113.83. Root has a 1-year low of $34.04 and a 1-year high of $181.14. The firm has a market cap of $2.12 billion, a price-to-earnings ratio of -112.03 and a beta of 2.40.

Root (NASDAQ:ROOT) last posted its quarterly earnings results on Wednesday, May 7th. The company reported $1.07 earnings per share for the quarter, topping the consensus estimate of $0.45 by $0.62. Root had a negative return on equity of 9.81% and a negative net margin of 1.56%. The company had revenue of $349.40 million during the quarter, compared to the consensus estimate of $305.24 million. During the same quarter in the prior year, the company earned ($0.42) EPS. The firm’s quarterly revenue was up 37.2% compared to the same quarter last year. Analysts anticipate that Root will post -0.08 earnings per share for the current year.

Root Company Profile

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.