Brokerages Set Root, Inc. (NASDAQ:ROOT) Price Target at $128.00

Key Points

• Root, Inc. has received a consensus rating of "Hold" from nine research firms, with six analysts giving a hold rating, two a buy rating, and one a strong buy rating.
• Recent insider transactions include the sale of shares by both Director Jerri Devard and CEO Alexander E. Timm, indicating a decrease in their positions by 9.28% and 4.69%, respectively.
• The company's latest quarterly earnings showed an EPS of $1.29, exceeding analyst expectations, and revenue increased by 32.4% compared to the same quarter last year.

Shares of Root, Inc. (NASDAQ:ROOT - Get Free Report) have received an average recommendation of "Hold" from the nine research firms that are currently covering the company, MarketBeat.com 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 12 month target price among brokers that have covered the stock in the last year is $123.8333.

Several equities research analysts recently issued reports on the company. TD Cowen boosted their price objective on Root from $51.00 to $125.00 and gave the company a "hold" rating in a report on Tuesday, July 8th. Wells Fargo & Company upped their price target on Root from $118.00 to $120.00 and gave the stock an "equal weight" rating in a report on Thursday, August 7th. Wall Street Zen downgraded Root from a "buy" rating to a "hold" rating in a report on Saturday, August 2nd. UBS Group restated a "neutral" rating and set a $105.00 price target (down previously from $140.00) on shares of Root in a report on Monday. Finally, Jefferies Financial Group cut their price target on Root from $172.00 to $138.00 and set a "buy" rating on the stock in a report on Monday, August 11th.

Root Trading Down 1.4%

Shares of Root stock traded down $1.25 during trading hours on Friday, hitting $86.80. The company's stock had a trading volume of 492,580 shares, compared to its average volume of 563,173. Root has a twelve month low of $34.04 and a twelve month high of $181.14. The firm has a fifty day moving average of $121.74 and a 200-day moving average of $128.58. The stock has a market cap of $1.34 billion, a price-to-earnings ratio of 17.33 and a beta of 2.25. The company has a debt-to-equity ratio of 0.82, a quick ratio of 1.26 and a current ratio of 1.26.

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

Insider Activity at Root

In other Root news, Director Jerri Devard sold 1,895 shares of the company's stock in a transaction dated Thursday, June 5th. The stock was sold at an average price of $141.50, for a total transaction of $268,142.50. Following the sale, the director owned 18,532 shares in the company, valued at $2,622,278. This represents a 9.28% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Mahtiyar Bonakdarpour sold 5,256 shares of the company's stock in a transaction dated Monday, June 2nd. The stock was sold at an average price of $130.60, for a total value of $686,433.60. Following the transaction, the insider directly owned 281,645 shares of the company's stock, valued at approximately $36,782,837. This represents a 1.83% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 21,083 shares of company stock worth $2,805,069 over the last quarter. 11.71% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the business. T. Rowe Price Investment Management Inc. boosted its position in shares of Root by 66.3% in the 1st quarter. T. Rowe Price Investment Management Inc. now owns 679,696 shares of the company's stock valued at $90,699,000 after purchasing an additional 271,097 shares during the period. Vanguard Group Inc. boosted its position in shares of Root by 0.5% in the 1st quarter. Vanguard Group Inc. now owns 529,555 shares of the company's stock valued at $70,664,000 after purchasing an additional 2,627 shares during the period. American Century Companies Inc. boosted its position in shares of Root by 54.8% in the 2nd quarter. American Century Companies Inc. now owns 357,176 shares of the company's stock valued at $45,708,000 after purchasing an additional 126,467 shares during the period. Ensign Peak Advisors Inc acquired a new stake in shares of Root in the 2nd quarter valued at about $33,829,000. Finally, Invesco Ltd. boosted its position in shares of Root by 5,575.0% in the 1st quarter. Invesco Ltd. now owns 256,792 shares of the company's stock valued at $34,266,000 after purchasing an additional 252,267 shares during the period. 59.82% of the stock is owned by institutional investors and hedge funds.

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.