Root (NASDAQ:ROOT) Downgraded by Wall Street Zen to Sell

Wall Street Zen downgraded shares of Root (NASDAQ:ROOT) from a hold rating to a sell rating in a report issued on Saturday morning.

ROOT has been the subject of a number of other reports. Zacks Research downgraded Root from a “hold” rating to a “strong sell” rating in a research report on Tuesday, October 7th. Wells Fargo & Company raised their price target on shares of Root from $89.00 to $96.00 and gave the stock an “equal weight” rating in a report on Thursday. Keefe, Bruyette & Woods restated an “outperform” rating on shares of Root in a research report on Friday. Weiss Ratings reiterated a “hold (c)” rating on shares of Root in a research report on Wednesday, October 8th. Finally, Jefferies Financial Group lowered their target price on shares of Root from $172.00 to $138.00 and set a “buy” rating for the company in a research note on Monday, August 11th. Two analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $125.80.

Root Trading Down 2.4%

Shares of NASDAQ:ROOT traded down $1.93 during mid-day trading on Friday, reaching $79.08. 1,503,985 shares of the company’s stock were exchanged, compared to its average volume of 546,653. The company has a debt-to-equity ratio of 0.82, a quick ratio of 1.26 and a current ratio of 1.26. Root has a twelve month low of $68.48 and a twelve month high of $181.14. The firm has a market capitalization of $1.22 billion, a price-to-earnings ratio of 23.89 and a beta of 2.21. The business’s fifty day moving average price is $87.51 and its 200-day moving average price is $112.00.

Root (NASDAQ:ROOT) last announced its earnings results on Wednesday, November 5th. The company reported ($0.35) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.43) by $0.08. The business had revenue of $387.80 million during the quarter, compared to analyst estimates of $363.06 million. Root had a return on equity of 24.38% and a net margin of 3.80%.Root’s revenue for the quarter was up 26.9% compared to the same quarter last year. During the same period last year, the company earned $1.35 EPS. On average, research analysts predict that Root will post -0.08 EPS for the current fiscal year.

Insider Buying and Selling at Root

In other Root news, insider Mahtiyar Bonakdarpour sold 5,750 shares of Root stock in a transaction on Tuesday, September 2nd. The shares were sold at an average price of $89.74, for a total value of $516,005.00. Following the completion of the sale, the insider directly owned 274,226 shares of the company’s stock, valued at approximately $24,609,041.24. The trade was a 2.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Alexander E. Timm sold 10,861 shares of the company’s stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $88.88, for a total transaction of $965,325.68. Following the transaction, the chief executive officer owned 157,748 shares in the company, valued at $14,020,642.24. This represents a 6.44% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders own 11.76% of the company’s stock.

Institutional Trading of Root

Several large investors have recently made changes to their positions in ROOT. Vanguard Group Inc. raised its stake in Root by 25.9% during the 3rd quarter. Vanguard Group Inc. now owns 724,541 shares of the company’s stock worth $64,854,000 after buying an additional 149,064 shares during the period. Rhumbline Advisers increased its holdings in shares of Root by 2.9% during the third quarter. Rhumbline Advisers now owns 15,811 shares of the company’s stock valued at $1,415,000 after acquiring an additional 443 shares in the last quarter. Stratos Wealth Partners LTD. bought a new stake in shares of Root during the third quarter valued at approximately $217,000. Versor Investments LP raised its position in shares of Root by 36.4% during the third quarter. Versor Investments LP now owns 4,500 shares of the company’s stock worth $403,000 after purchasing an additional 1,200 shares during the period. Finally, State of Wyoming lifted its holdings in shares of Root by 41.9% in the 3rd quarter. State of Wyoming now owns 2,359 shares of the company’s stock worth $211,000 after purchasing an additional 696 shares in the last quarter. 59.82% of the stock is currently owned by institutional investors and hedge funds.

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.