Root (NASDAQ:ROOT) Stock Price Breaks Above Two Hundred Day Moving Average – What’s Next?

Root, Inc. (NASDAQ:ROOT) shares passed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $54.15 and traded as high as $57.57. Root shares last traded at $57.15, with a volume of 209,886 shares.

Analyst Ratings Changes

ROOT has been the subject of a number of recent research reports. Wells Fargo & Company reissued a “cautious” rating on shares of Root in a research note on Monday, October 12th. Keefe, Bruyette & Woods reduced their price target on Root from $95.00 to $80.00 and set an “outperform” rating on the stock in a research report on Thursday, August 6th. Jefferies Financial Group cut Root from a “buy” rating to a “hold” rating and decreased their price target for the stock from $78.00 to $58.00 in a research note on Tuesday, August 11th. TD Cowen downgraded Root from a “hold” rating to a “strong sell” rating in a research report on Thursday, August 20th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of Root in a research report on Monday, October 26th. One research analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Hold” and an average target price of $58.75.

Root Price Performance

The business’s 50 day moving average price is $51.36 and its two-hundred day moving average price is $54.15. The stock has a market cap of $885.25 million, a P/E ratio of 16.14 and a beta of 3.06. The company has a current ratio of 1.02, a quick ratio of 1.02 and a debt-to-equity ratio of 0.60.

Root (NASDAQ:ROOT) last issued its quarterly earnings data on Wednesday, November 4th. The company reported $0.86 EPS for the quarter, topping the consensus estimate of $0.63 by $0.23. The business had revenue of $381.30 million during the quarter, compared to analyst estimates of $384.43 million. Root had a net margin of 3.78% and a return on equity of 19.72%. As a group, sell-side analysts expect that Root, Inc. will post 4.46 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in ROOT. First Trust Advisors LP boosted its position in shares of Root by 49.1% during the first quarter. First Trust Advisors LP now owns 68,050 shares of the company’s stock valued at $3,006,000 after purchasing an additional 22,422 shares in the last quarter. Prosperitas Financial LLC grew its stake in Root by 4.4% in the second quarter. Prosperitas Financial LLC now owns 27,411 shares of the company’s stock worth $1,533,000 after purchasing an additional 1,149 shares during the period. Zweig DiMenna Associates LLC bought a new position in Root in the first quarter worth $1,193,000. Quantinno Capital Management LP bought a new position in Root in the first quarter worth $920,000. Finally, State of Wyoming bought a new position in Root in the third quarter worth $289,000. Hedge funds and other institutional investors own 59.82% of the company’s stock.

About Root

Root, Inc (NASDAQ:ROOT) is an insurance technology company that uses mobile technology and data-driven underwriting to provide personal insurance products. The company is best known for its automobile insurance, which is offered through a digital platform designed to allow customers to obtain quotes, purchase coverage and manage policies through a smartphone.

Root’s auto insurance model uses information collected through its mobile application, including driving-related data, to evaluate individual driving behavior and help determine eligibility and pricing.