Root (NASDAQ:ROOT) Posts Quarterly Earnings Results, Beats Estimates By $1.96 EPS

Root (NASDAQ:ROOT) announced its quarterly earnings data on Wednesday. The company reported $1.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.61) by $1.96, Briefing.com reports. The business had revenue of $305.70 million for the quarter, compared to analysts’ expectations of $272.77 million. Root had a negative return on equity of 10.13% and a negative net margin of 1.56%. The firm’s quarterly revenue was up 165.1% compared to the same quarter last year. During the same period in the previous year, the business posted ($3.16) EPS.

Root Stock Up 3.8 %

NASDAQ:ROOT traded up $2.62 during trading hours on Friday, reaching $71.01. The company’s stock had a trading volume of 2,982,034 shares, compared to its average volume of 924,070. The company has a debt-to-equity ratio of 1.98, a current ratio of 1.43 and a quick ratio of 1.43. The firm has a 50-day simple moving average of $41.20 and a 200-day simple moving average of $51.33. Root has a 1 year low of $7.22 and a 1 year high of $118.15.

Wall Street Analyst Weigh In

Several research firms have recently issued reports on ROOT. UBS Group lowered their price target on shares of Root from $71.00 to $61.00 and set a “neutral” rating on the stock in a research report on Tuesday, August 13th. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and issued a $82.00 price target (down from $88.00) on shares of Root in a report on Friday, August 16th. Wells Fargo & Company lifted their price target on Root from $64.00 to $78.00 and gave the company an “equal weight” rating in a research report on Friday. JMP Securities reissued a “market outperform” rating and set a $90.00 price objective on shares of Root in a report on Tuesday, October 15th. Finally, Jefferies Financial Group reduced their target price on Root from $84.00 to $72.00 and set a “buy” rating for the company in a report on Wednesday, October 9th. Four equities research analysts have rated the stock with a hold rating, three have issued a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $57.38.

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.