Root (ROOT) Competitors

Enact (NASDAQ:ACT) and Root (NASDAQ:ROOT) are both finance companies, but which is the better business? We will compare the two companies based on the strength of their profitability, earnings, valuation, institutional ownership, dividends, media sentiment, analyst recommendations and risk.

Do institutionals and insiders believe in ACT or ROOT?

18.0% of Enact shares are held by institutional investors. Comparatively, 59.8% of Root shares are held by institutional investors. 0.4% of Enact shares are held by insiders. Comparatively, 11.8% of Root shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Do analysts prefer ACT or ROOT?

Root has a consensus price target of $123.83, indicating a potential upside of 32.63%. Given Root's stronger consensus rating and higher probable upside, analysts plainly believe Root is more favorable than Enact.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Enact	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Root	0 Sell rating(s)	7 Hold rating(s)	2 Buy rating(s)	1 Strong Buy rating(s)	2.40

Does the media prefer ACT or ROOT?

In the previous week, Enact had 9 more articles in the media than Root. MarketBeat recorded 11 mentions for Enact and 2 mentions for Root. Root's average media sentiment score of 1.00 beat Enact's score of -0.33 indicating that Root is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Enact	0 Very Positive mention(s)	3 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	4 Very Negative mention(s)	Neutral
Root	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is ACT or ROOT more profitable?

Enact has a net margin of 55.35% compared to Root's net margin of 6.02%. Root's return on equity of 38.24% beat Enact's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Enact	55.35%	13.61%	10.42%
Root	6.02%	38.24%	5.27%

Which has preferable earnings and valuation, ACT or ROOT?

Enact has higher revenue and earnings than Root. Enact is trading at a lower price-to-earnings ratio than Root, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Enact	$1.20B	4.75	$688.07M	$4.39	8.82
Root	$1.18B	1.23	$30.90M	$5.01	18.64

Which has more risk and volatility, ACT or ROOT?

Enact has a beta of 0.57, suggesting that its share price is 43% less volatile than the S&P 500. Comparatively, Root has a beta of 2.24, suggesting that its share price is 124% more volatile than the S&P 500.

Summary

Root beats Enact on 11 of the 17 factors compared between the two stocks.