Root (NASDAQ:ROOT) Sets New 12-Month Low – What’s Next?

Root, Inc. (NASDAQ:ROOT)’s share price hit a new 52-week low during trading on Wednesday . The stock traded as low as $65.02 and last traded at $67.7750, with a volume of 148354 shares. The stock had previously closed at $69.85.

Analysts Set New Price Targets

Several equities research analysts have issued reports on ROOT shares. Keefe, Bruyette & Woods restated an “outperform” rating on shares of Root in a report on Friday, November 7th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Root in a research report on Monday, December 29th. Wells Fargo & Company set a $75.00 target price on shares of Root and gave the stock an “equal weight” rating in a report on Tuesday, January 13th. Zacks Research raised shares of Root from a “strong sell” rating to a “hold” rating in a research note on Monday, January 12th. Finally, Wall Street Zen cut shares of Root from a “hold” rating to a “sell” rating in a report on Sunday, January 18th. Two analysts have rated the stock with a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Root presently has an average rating of “Hold” and an average price target of $121.60.

Root Price Performance

The company has a current ratio of 1.23, a quick ratio of 1.23 and a debt-to-equity ratio of 0.76. The firm has a market capitalization of $963.64 million, a price-to-earnings ratio of 18.77 and a beta of 2.70. The company’s 50 day moving average is $75.15 and its 200-day moving average is $87.30.

Root (NASDAQ:ROOT) last released its quarterly earnings data on Wednesday, November 5th. The company reported ($0.35) EPS for the quarter, topping analysts’ consensus estimates of ($0.43) by $0.08. Root had a net margin of 3.80% and a return on equity of 23.36%. The firm had revenue of $387.80 million during the quarter, compared to analysts’ expectations of $363.06 million. During the same period in the previous year, the business posted $1.35 earnings per share. The company’s revenue for the quarter was up 26.9% compared to the same quarter last year. Equities research analysts anticipate that Root, Inc. will post -0.08 earnings per share for the current year.

Hedge Funds Weigh In On Root

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Squarepoint Ops LLC lifted its stake in shares of Root by 754.6% in the second quarter. Squarepoint Ops LLC now owns 20,537 shares of the company’s stock valued at $2,628,000 after buying an additional 18,134 shares in the last quarter. TD Asset Management Inc lifted its position in Root by 32.6% in the 2nd quarter. TD Asset Management Inc now owns 16,214 shares of the company’s stock valued at $2,075,000 after acquiring an additional 3,982 shares in the last quarter. Alberta Investment Management Corp bought a new position in Root in the 2nd quarter valued at about $1,497,000. Valmark Advisers Inc. boosted its stake in Root by 50.7% during the 2nd quarter. Valmark Advisers Inc. now owns 10,365 shares of the company’s stock valued at $1,326,000 after purchasing an additional 3,486 shares during the last quarter. Finally, IFC Advisors LLC bought a new stake in Root during the 2nd quarter worth approximately $3,791,000. 59.82% of the stock is currently owned by institutional investors and hedge funds.

About Root

Root, trading on the Nasdaq under the ticker ROOT, is a Columbus, Ohio–based insurance company that leverages mobile technology and data analytics to offer personalized auto insurance policies. Founded in 2015 by Alex Timm and Dan Manges, Root set out to transform traditional underwriting by focusing on individual driving behavior rather than broad demographic factors.

The company’s core product is usage-based auto insurance, delivered through a smartphone app that monitors driving patterns such as speed, braking and phone usage behind the wheel.