Root (NASDAQ:ROOT) Stock Price Down 4.9% – Here’s What Happened

Root, Inc. (NASDAQ:ROOT) was down 4.9% during trading on Monday . The company traded as low as $69.62 and last traded at $69.63. Approximately 36,343 shares traded hands during mid-day trading, a decline of 93% from the average daily volume of 539,282 shares. The stock had previously closed at $73.22.

Analyst Upgrades and Downgrades

Several research firms have issued reports on ROOT. Citizens Jmp cut shares of Root from a “strong-buy” rating to a “hold” rating in a research report on Friday, November 22nd. Cantor Fitzgerald upgraded Root to a “strong-buy” rating in a report on Thursday, October 3rd. Keefe, Bruyette & Woods reiterated an “outperform” rating and set a $90.00 price objective (up from $82.00) on shares of Root in a research note on Tuesday, November 5th. UBS Group boosted their price target on Root from $61.00 to $67.00 and gave the stock a “neutral” rating in a research report on Monday, November 4th. Finally, Wells Fargo & Company boosted their target price on shares of Root from $64.00 to $78.00 and gave the stock an “equal weight” rating in a report on Friday, November 1st. Six investment analysts have rated the stock with a hold rating, two have issued a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, Root currently has a consensus rating of “Hold” and a consensus target price of $59.13.

Root Trading Down 2.3 %

The company has a 50 day simple moving average of $74.44 and a two-hundred day simple moving average of $58.23. 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 firm has a market cap of $1.08 billion, a PE ratio of -58.16 and a beta of 2.47.

Root (NASDAQ:ROOT) last issued its quarterly earnings data on Wednesday, October 30th. The company reported $1.35 EPS for the quarter, beating the consensus estimate of ($0.61) by $1.96. Root had a negative return on equity of 9.81% and a negative net margin of 1.56%. The company had revenue of $305.70 million for the quarter, compared to analyst estimates of $272.77 million. During the same period last year, the company earned ($3.16) earnings per share. Root’s quarterly revenue was up 165.1% compared to the same quarter last year. Analysts expect that Root, Inc. will post -1.2 EPS for the current fiscal year.

Insider Buying and Selling at Root

In other news, major shareholder Meyer Malka sold 75,839 shares of the company’s stock in a transaction on Thursday, November 7th. The stock was sold at an average price of $81.21, for a total transaction of $6,158,885.19. Following the sale, the insider now owns 43,107 shares of the company’s stock, valued at approximately $3,500,719.47. This represents a 63.76 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Julie Szudarek sold 2,000 shares of Root stock in a transaction on Monday, November 18th. The shares were sold at an average price of $96.33, for a total value of $192,660.00. Following the completion of the transaction, the director now owns 15,003 shares of the company’s stock, valued at approximately $1,445,238.99. This trade represents a 11.76 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 246,905 shares of company stock worth $20,440,479 in the last ninety days. 11.71% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in the company. Franklin Resources Inc. purchased a new stake in Root during the 3rd quarter worth about $249,000. Barclays PLC increased its stake in Root by 361.6% in the third quarter. Barclays PLC now owns 14,033 shares of the company’s stock valued at $529,000 after purchasing an additional 10,993 shares during the last quarter. MML Investors Services LLC acquired a new stake in Root during the third quarter worth approximately $288,000. XTX Topco Ltd acquired a new stake in Root during the third quarter worth approximately $645,000. Finally, State Street Corp boosted its holdings in shares of Root by 0.3% in the 3rd 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 in the last quarter. Hedge funds and other institutional investors own 59.82% of the company’s stock.

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.