American Century Companies Inc. Takes Position in Root, Inc. $ROOT

Key Points

• American Century Companies Inc. acquired 230,709 shares of Root, Inc., valued at approximately $30.8 million, representing 1.52% ownership of the company as of the end of the first quarter.
• Analysts have mixed views on Root's stock, with price targets ranging from $105 to $165, and an overall consensus rating of "Hold" with a target price of $123.83.
• Root reported a quarterly earnings of $1.29 per share, exceeding expectations and showing a 32.4% year-over-year revenue increase to $382.9 million.

American Century Companies Inc. purchased a new position in shares of Root, Inc. (NASDAQ:ROOT - Free Report) during the 1st quarter, according to its most recent 13F filing with the SEC. The firm purchased 230,709 shares of the company's stock, valued at approximately $30,786,000. American Century Companies Inc. owned about 1.52% of Root at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also made changes to their positions in the business. T. Rowe Price Investment Management Inc. bought a new stake in Root during the 4th quarter worth approximately $29,661,000. Invesco Ltd. raised its stake in shares of Root by 5,575.0% during the first quarter. Invesco Ltd. now owns 256,792 shares of the company's stock valued at $34,266,000 after acquiring an additional 252,267 shares in the last quarter. BNP Paribas Financial Markets bought a new position in Root in the fourth quarter worth approximately $3,834,000. Nuveen LLC bought a new position in Root in the first quarter worth approximately $3,825,000. Finally, Dimensional Fund Advisors LP grew its stake in Root by 241.3% in the fourth quarter. Dimensional Fund Advisors LP now owns 40,150 shares of the company's stock worth $2,915,000 after purchasing an additional 28,386 shares in the last quarter. Institutional investors own 59.82% of the company's stock.

Insider Activity at Root

In other Root news, Director Beth A. Birnbaum sold 2,852 shares of the stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $138.33, for a total transaction of $394,517.16. Following the completion of the sale, the director directly owned 14,280 shares of the company's stock, valued at approximately $1,975,352.40. This trade represents a 16.65% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Jerri Devard sold 1,895 shares of the stock in a transaction that occurred on Thursday, June 5th. The stock was sold at an average price of $141.50, for a total value of $268,142.50. Following the sale, the director directly owned 18,532 shares of the company's stock, valued at $2,622,278. The trade was a 9.28% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 21,083 shares of company stock worth $2,805,069 in the last ninety days. Company insiders own 11.76% of the company's stock.

Root Stock Up 0.1%

ROOT traded up $0.12 on Tuesday, reaching $88.11. The company's stock had a trading volume of 251,063 shares, compared to its average volume of 561,154. The stock has a 50 day moving average of $115.47 and a two-hundred day moving average of $127.88. The company has a quick ratio of 1.26, a current ratio of 1.26 and a debt-to-equity ratio of 0.82. The company has a market capitalization of $1.36 billion, a price-to-earnings ratio of 17.59 and a beta of 2.25. Root, Inc. has a fifty-two week low of $34.04 and a fifty-two week high of $181.14.

Root (NASDAQ:ROOT - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $1.29 earnings per share for the quarter, topping analysts' consensus estimates of $1.06 by $0.23. Root had a net margin of 6.02% and a return on equity of 38.24%. The firm had revenue of $382.90 million during the quarter, compared to analysts' expectations of $348.36 million. During the same quarter in the prior year, the business earned ($0.52) EPS. Root's quarterly revenue was up 32.4% compared to the same quarter last year. As a group, analysts forecast that Root, Inc. will post -0.08 EPS for the current fiscal year.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on the stock. UBS Group reiterated a "neutral" rating and set a $105.00 price objective (down previously from $140.00) on shares of Root in a research note on Monday, August 18th. Keefe, Bruyette & Woods decreased their price target on Root from $170.00 to $165.00 and set an "outperform" rating for the company in a report on Friday, August 8th. TD Cowen increased their price objective on Root from $51.00 to $125.00 and gave the company a "hold" rating in a research note on Tuesday, July 8th. Wall Street Zen cut Root from a "buy" rating to a "hold" rating in a report on Saturday, August 2nd. Finally, Jefferies Financial Group cut their price target on shares of Root from $172.00 to $138.00 and set a "buy" rating for the company in a report on Monday, August 11th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating and six have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Root has a consensus rating of "Hold" and an average price target of $123.83.

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.