Root (NASDAQ:ROOT) Shares Up 11.8% – Here’s What Happened
by Tristan Rich · The Markets DailyRoot, Inc. (NASDAQ:ROOT – Get Free Report) shot up 11.8% during mid-day trading on Monday . The company traded as high as $57.30 and last traded at $58.2050. 157,523 shares traded hands during trading, a decline of 51% from the average session volume of 322,122 shares. The stock had previously closed at $52.06.
Wall Street Analysts Forecast Growth
A number of brokerages have recently issued reports on ROOT. Keefe, Bruyette & Woods reduced their price objective on shares of Root from $104.00 to $95.00 and set an “outperform” rating for the company in a report on Tuesday, April 7th. Zacks Research cut shares of Root from a “hold” rating to a “strong sell” rating in a report on Wednesday, May 6th. Weiss Ratings reiterated a “hold (c)” rating on shares of Root in a report on Tuesday, May 26th. Wells Fargo & Company lifted their price objective 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. Finally, Wall Street Zen raised shares of Root from a “sell” rating to a “hold” rating in a research report on Saturday, February 28th. Two equities research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and a consensus price target of $93.20.
Get Our Latest Analysis on ROOT
Root Price Performance
The company has a market capitalization of $906.11 million, a P/E ratio of 17.14 and a beta of 2.88. The company has a quick ratio of 1.07, a current ratio of 1.07 and a debt-to-equity ratio of 0.61. The business’s 50-day moving average is $51.50 and its two-hundred day moving average is $62.10.
Root (NASDAQ:ROOT – Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The company reported $2.09 EPS for the quarter, topping the consensus estimate of $0.84 by $1.25. The business had revenue of $393.50 million for the quarter, compared to analyst estimates of $398.16 million. Root had a net margin of 3.58% and a return on equity of 19.97%. The company’s revenue for the quarter was up 12.5% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.07 earnings per share. As a group, analysts predict that Root, Inc. will post 2.15 earnings per share for the current year.
Hedge Funds Weigh In On Root
Several large investors have recently modified their holdings of the business. Gilder Gagnon Howe & Co. LLC increased its stake in shares of Root by 3.0% in the second quarter. Gilder Gagnon Howe & Co. LLC now owns 6,225 shares of the company’s stock worth $797,000 after purchasing an additional 181 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Root by 4.7% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 5,141 shares of the company’s stock valued at $686,000 after acquiring an additional 229 shares in the last quarter. Rhumbline Advisers grew its stake in Root by 2.9% during the third quarter. Rhumbline Advisers now owns 15,811 shares of the company’s stock valued at $1,415,000 after acquiring an additional 443 shares in the last quarter. Gabelli Funds LLC grew its stake in Root by 10.9% during the third quarter. Gabelli Funds LLC now owns 5,100 shares of the company’s stock valued at $457,000 after acquiring an additional 500 shares in the last quarter. Finally, Swiss National Bank grew its stake in Root by 2.4% during the fourth quarter. Swiss National Bank now owns 21,500 shares of the company’s stock valued at $1,553,000 after acquiring an additional 500 shares in the last quarter. Hedge funds and other institutional investors own 59.82% of the company’s stock.
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.