Root (NASDAQ:ROOT) Downgraded to Market Perform Rating by JMP Securities

Root (NASDAQ:ROOT) was downgraded by JMP Securities from an “outperform” rating to a “market perform” rating in a note issued to investors on Friday,Briefing.com Automated Import reports.

Other equities research analysts have also recently issued research reports about the stock. UBS Group increased their target price on shares of Root from $61.00 to $67.00 and gave the company a “neutral” rating in a research report on Monday, November 4th. Wells Fargo & Company increased their target price on shares of Root from $64.00 to $78.00 and gave the company an “equal weight” rating in a research report on Friday, November 1st. Cantor Fitzgerald raised shares of Root to a “strong-buy” rating in a research report on Thursday, October 3rd. Jefferies Financial Group cut their price target on shares of Root from $84.00 to $72.00 and set a “buy” rating on the stock in a research note on Wednesday, October 9th. Finally, Keefe, Bruyette & Woods restated an “outperform” rating and set a $90.00 price target (up previously from $82.00) on shares of Root in a research note on Tuesday, November 5th. Five equities research analysts have rated the stock with a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat.com, Root has a consensus rating of “Moderate Buy” and a consensus price target of $59.13.

Root Price Performance

Shares of ROOT opened at $109.40 on Friday. Root has a fifty-two week low of $7.22 and a fifty-two week high of $118.15. The company has a 50 day moving average price of $53.56 and a 200-day moving average price of $53.75. The company has a debt-to-equity ratio of 1.65, a quick ratio of 1.39 and a current ratio of 1.39. The stock has a market capitalization of $1.65 billion, a PE ratio of -88.94 and a beta of 2.34.

Root (NASDAQ:ROOT) last posted its earnings results on Wednesday, October 30th. The company reported $1.35 EPS for the quarter, beating analysts’ consensus estimates of ($0.61) by $1.96. Root had a negative net margin of 1.56% and a negative return on equity of 9.81%. The company had revenue of $305.70 million during the quarter, compared to analysts’ expectations of $272.77 million. During the same quarter in the prior year, the company posted ($3.16) earnings per share. Root’s revenue for the quarter was up 165.1% compared to the same quarter last year. Equities analysts predict that Root will post -1.2 earnings per share for the current fiscal year.

Insider Transactions at Root

In other news, major shareholder Meyer Malka sold 118,107 shares of the stock in a transaction on Monday, November 11th. The shares were sold at an average price of $82.71, for a total value of $9,768,629.97. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Julie Szudarek sold 2,000 shares of the stock in a transaction on Monday, November 18th. The stock was sold at an average price of $96.33, for a total transaction of $192,660.00. Following the completion of the sale, the director now owns 15,003 shares in the company, valued at $1,445,238.99. The trade was a 11.76 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 246,905 shares of company stock worth $20,440,479 over the last 90 days. 11.71% of the stock is currently owned by company insiders.

Institutional Trading of Root

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. State Street Corp grew its position in Root by 0.3% during the third quarter. State Street Corp now owns 176,891 shares of the company’s stock valued at $6,683,000 after buying an additional 444 shares during the period. Alpha DNA Investment Management LLC grew its position in Root by 5.5% during the second quarter. Alpha DNA Investment Management LLC now owns 9,306 shares of the company’s stock valued at $480,000 after buying an additional 486 shares during the period. Point72 DIFC Ltd acquired a new stake in Root during the third quarter valued at $33,000. Verition Fund Management LLC grew its position in Root by 15.2% during the third quarter. Verition Fund Management LLC now owns 9,788 shares of the company’s stock valued at $370,000 after buying an additional 1,288 shares during the period. Finally, Vanguard Personalized Indexing Management LLC grew its position in Root by 76.8% during the second quarter. Vanguard Personalized Indexing Management LLC now owns 5,930 shares of the company’s stock valued at $306,000 after buying an additional 2,576 shares during the period. Institutional investors and hedge funds own 59.82% of the company’s stock.

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.