Root (NASDAQ:ROOT) Given "Hold (C)" Rating at Weiss Ratings

Key Points

• Root's stock has been restated with a "hold (C)" rating by Weiss Ratings, amid a mixed consensus from analysts featuring two buy ratings and eight hold ratings.
• TD Cowen has raised its price target for Root from $51.00 to $125.00, indicating potential upside, while Jefferies, Zacks Research, and others have adjusted their price targets downward.
• In the last quarter, Root reported earnings per share of $1.29, exceeding expectations, with a revenue increase of 32.4% year-over-year, showcasing a positive financial performance.

Root (NASDAQ:ROOT - Get Free Report)'s stock had its "hold (c)" rating restated by investment analysts at Weiss Ratings in a report released on Wednesday,Weiss Ratings reports.

A number of other equities research analysts have also recently issued reports on the stock. TD Cowen lifted their price target on shares of 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 shares of Root from a "buy" rating to a "hold" rating in a research note on Saturday, August 2nd. Jefferies Financial Group dropped their price target on shares of Root from $172.00 to $138.00 and set a "buy" rating on the stock in a research note on Monday, August 11th. Keefe, Bruyette & Woods dropped their price target on shares of Root from $170.00 to $165.00 and set an "outperform" rating on the stock in a research note on Friday, August 8th. Finally, Zacks Research cut shares of Root from a "strong-buy" rating to a "hold" rating in a research note on Monday, September 8th. Two research analysts have rated the stock with a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and a consensus target price of $118.67.

Root Price Performance

Shares of NASDAQ ROOT opened at $81.73 on Wednesday. The stock has a market capitalization of $1.26 billion, a price-to-earnings ratio of 16.31 and a beta of 2.22. Root has a 12 month low of $36.87 and a 12 month high of $181.14. The firm's 50 day simple moving average is $94.85 and its 200-day simple moving average is $119.87. The company has a debt-to-equity ratio of 0.82, a current ratio of 1.26 and a quick ratio of 1.26.

Root (NASDAQ:ROOT - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The company reported $1.29 earnings per share (EPS) for the quarter, beating 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 for the quarter, compared to analysts' expectations of $348.36 million. During the same quarter last year, the company earned ($0.52) EPS. The firm's revenue for the quarter was up 32.4% compared to the same quarter last year. Analysts expect that Root will post -0.08 EPS for the current year.

Insiders Place Their Bets

In other news, CEO Alexander E. Timm sold 10,861 shares of Root stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $88.88, for a total transaction of $965,325.68. Following the transaction, the chief executive officer owned 157,748 shares in the company, valued at $14,020,642.24. The trade was a 6.44% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Mahtiyar Bonakdarpour sold 5,750 shares of Root stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $89.74, for a total value of $516,005.00. Following the transaction, the insider owned 274,226 shares in the company, valued at approximately $24,609,041.24. This represents a 2.05% decrease in their position. The disclosure for this sale can be found here. Company insiders own 11.76% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Twin Tree Management LP purchased a new position in shares of Root during the 1st quarter worth $37,000. KBC Group NV purchased a new position in shares of Root during the 1st quarter worth $48,000. Russell Investments Group Ltd. raised its holdings in shares of Root by 511.7% during the 2nd quarter. Russell Investments Group Ltd. now owns 734 shares of the company's stock worth $94,000 after acquiring an additional 614 shares during the period. Ameritas Investment Partners Inc. increased its position in shares of Root by 28.5% during the 2nd quarter. Ameritas Investment Partners Inc. now owns 1,087 shares of the company's stock worth $139,000 after purchasing an additional 241 shares during the last quarter. Finally, Tower Research Capital LLC TRC increased its position in shares of Root by 237.2% during the 2nd quarter. Tower Research Capital LLC TRC now owns 1,278 shares of the company's stock worth $164,000 after purchasing an additional 899 shares during the last quarter. Hedge funds and other institutional investors own 59.82% of the company's stock.

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.

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