Root (NASDAQ:ROOT) Trading 6.8% Higher – Still a Buy?

Shares of Root, Inc. (NASDAQ:ROOT) rose 6.8% on Tuesday . The stock traded as high as $139.00 and last traded at $136.67. Approximately 121,935 shares were traded during trading, a decline of 76% from the average daily volume of 505,972 shares. The stock had previously closed at $127.91.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Scotiabank reissued a “sector perform” rating on shares of Root in a report on Sunday, March 2nd. Citizens Jmp downgraded shares of Root from a “strong-buy” rating to a “hold” rating in a report on Friday, November 22nd. Wells Fargo & Company reaffirmed a “buy” rating on shares of Root in a report on Sunday, March 2nd. UBS Group upped their price target on Root from $67.00 to $130.00 and gave the stock a “neutral” rating in a report on Friday, March 7th. Finally, JMP Securities lowered Root from an “outperform” rating to a “market perform” rating in a report on Friday, November 22nd. Five investment analysts have rated the stock with a hold rating, three have given a buy rating and one has assigned a strong buy rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $88.33.

Root Price Performance

The company has a 50-day moving average of $103.87 and a 200 day moving average of $76.21. The company has a quick ratio of 1.39, a current ratio of 1.39 and a debt-to-equity ratio of 1.65. The stock has a market capitalization of $2.07 billion, a PE ratio of -110.69 and a beta of 2.48.

Root (NASDAQ:ROOT) last issued its earnings results on Wednesday, February 26th. The company reported $1.30 EPS for the quarter, beating analysts’ consensus estimates of ($0.63) by $1.93. The business had revenue of $326.70 million during the quarter, compared to analysts’ expectations of $287.79 million. Root had a negative net margin of 1.56% and a negative return on equity of 9.81%. Sell-side analysts predict that Root, Inc. will post -0.08 EPS for the current year.

Institutional Trading of Root

Several large investors have recently added to or reduced their stakes in ROOT. FMR LLC increased its position in Root by 966.2% during the third quarter. FMR LLC now owns 18,040 shares of the company’s stock worth $682,000 after purchasing an additional 16,348 shares during the last quarter. Barclays PLC increased its holdings in shares of Root by 361.6% during the 3rd quarter. Barclays PLC now owns 14,033 shares of the company’s stock worth $529,000 after buying an additional 10,993 shares during the last quarter. Versor Investments LP acquired a new stake in shares of Root during the 3rd quarter worth approximately $216,000. Nordea Investment Management AB raised its position in shares of Root by 7.3% during the 4th quarter. Nordea Investment Management AB now owns 20,697 shares of the company’s stock valued at $1,497,000 after buying an additional 1,416 shares during the period. Finally, Point72 Asset Management L.P. acquired a new position in Root in the third quarter valued at approximately $428,000. 59.82% of the stock is currently owned by hedge funds and other institutional investors.

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.