ROOT vs. AMSF, EIG, PRA, HCI, SAFT, TIPT, LMND, TCPC, UFCS, and UVE
Should you be buying Root stock or one of its competitors? The main competitors of Root include AMERISAFE (AMSF), Employers (EIG), ProAssurance (PRA), HCI Group (HCI), Safety Insurance Group (SAFT), Tiptree (TIPT), Lemonade (LMND), BlackRock TCP Capital (TCPC), United Fire Group (UFCS), and Universal Insurance (UVE). These companies are all part of the "fire, marine, & casualty insurance" industry.
Root (NASDAQ:ROOT) and AMERISAFE (NASDAQ:AMSF) are both small-cap finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, community ranking, dividends, earnings, analyst recommendations, profitability, media sentiment, institutional ownership and risk.
In the previous week, Root and Root both had 6 articles in the media. AMERISAFE's average media sentiment score of 1.05 beat Root's score of 0.36 indicating that AMERISAFE is being referred to more favorably in the news media.
AMERISAFE has a net margin of 19.97% compared to Root's net margin of -17.61%. AMERISAFE's return on equity of 16.76% beat Root's return on equity.
AMERISAFE has lower revenue, but higher earnings than Root. Root is trading at a lower price-to-earnings ratio than AMERISAFE, indicating that it is currently the more affordable of the two stocks.
Root presently has a consensus target price of $40.75, indicating a potential downside of 36.19%. AMERISAFE has a consensus target price of $65.00, indicating a potential upside of 38.68%. Given AMERISAFE's stronger consensus rating and higher possible upside, analysts plainly believe AMERISAFE is more favorable than Root.
Root has a beta of 2.72, indicating that its share price is 172% more volatile than the S&P 500. Comparatively, AMERISAFE has a beta of 0.35, indicating that its share price is 65% less volatile than the S&P 500.
59.8% of Root shares are owned by institutional investors. Comparatively, 97.4% of AMERISAFE shares are owned by institutional investors. 10.3% of Root shares are owned by insiders. Comparatively, 1.6% of AMERISAFE shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
AMERISAFE received 202 more outperform votes than Root when rated by MarketBeat users. Likewise, 57.29% of users gave AMERISAFE an outperform vote while only 25.88% of users gave Root an outperform vote.
Summary
AMERISAFE beats Root on 13 of the 17 factors compared between the two stocks.
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This chart shows the number of new MarketBeat users adding ROOT and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NASDAQ and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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