Root (NASDAQ:ROOT) Shares Gap Down to $66.78

Root, Inc. (NASDAQ:ROOT)’s stock price gapped down prior to trading on Monday . The stock had previously closed at $66.78, but opened at $65.14. Root shares last traded at $68.07, with a volume of 73,633 shares changing hands.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the company. Citigroup lifted their price objective on Root from $11.00 to $12.00 and gave the company a “neutral” rating in a research note on Friday, February 23rd. TD Cowen began coverage on Root in a report on Wednesday, January 10th. They issued a “market perform” rating for the company. Cantor Fitzgerald upgraded Root from a “neutral” rating to an “overweight” rating and upped their price objective for the stock from $9.00 to $13.00 in a research report on Thursday, February 22nd. JMP Securities reaffirmed a “market outperform” rating and set a $15.00 target price on shares of Root in a report on Monday. Finally, Wells Fargo & Company increased their price target on shares of Root from $11.00 to $12.00 and gave the stock an “equal weight” rating in a report on Thursday, February 22nd. Five investment analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Hold” and a consensus target price of $15.88.

Root Stock Performance

The business has a 50-day moving average price of $42.22 and a 200-day moving average price of $21.19. The company has a debt-to-equity ratio of 1.80, a quick ratio of 1.60 and a current ratio of 1.60.

Root (NASDAQ:ROOT) last posted its quarterly earnings data on Wednesday, February 21st. The company reported ($1.64) earnings per share for the quarter, topping analysts’ consensus estimates of ($2.49) by $0.85. The company had revenue of $194.80 million during the quarter, compared to analysts’ expectations of $108.00 million. Root had a negative net margin of 32.40% and a negative return on equity of 73.62%. Sell-side analysts expect that Root, Inc. will post -7.87 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. State Street Corp boosted its holdings in Root by 661.9% in the 2nd quarter. State Street Corp now owns 2,525,371 shares of the company’s stock worth $3,005,000 after buying an additional 2,193,896 shares during the last quarter. Point72 Asset Management L.P. purchased a new position in shares of Root in the second quarter valued at approximately $1,991,000. BlackRock Inc. boosted its stake in shares of Root by 15.3% in the first quarter. BlackRock Inc. now owns 1,640,566 shares of the company’s stock worth $3,231,000 after acquiring an additional 217,175 shares during the last quarter. Twenty Acre Capital LP acquired a new stake in shares of Root in the first quarter worth approximately $2,358,000. Finally, Northern Trust Corp increased its position in shares of Root by 448.8% during the second quarter. Northern Trust Corp now owns 1,174,607 shares of the company’s stock worth $1,398,000 after purchasing an additional 960,580 shares in the last quarter. 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.