We’ve recently updated our valuation analysis.

Root Valuation

Is ROOT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Price-To-Book vs Peers

  • Price-To-Book vs Industry

  • Price-To-Book vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ROOT?

Other financial metrics that can be useful for relative valuation.

ROOT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenuen/a
Enterprise Value/EBITDAn/a
PEG Ration/a

Price to Book Ratio vs Peers

How does ROOT's PB Ratio compare to its peers?

The above table shows the PB ratio for ROOT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPBEstimated GrowthMarket Cap
Peer Average0.7x
UIHC United Insurance Holdings
1xn/aUS$82.3m
HRTG Heritage Insurance Holdings
0.5x110.6%US$63.0m
ICCH ICC Holdings
0.8xn/aUS$45.0m
PPHI Positive Physicians Holdings
0.4xn/aUS$25.3m
ROOT Root
0.2x19.2%US$79.4m

Price-To-Book vs Peers: ROOT is good value based on its Price-To-Book Ratio (0.2x) compared to the peer average (0.7x).


Price to Earnings Ratio vs Industry

How does ROOT's PE Ratio compare vs other companies in the US Insurance Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a20.0%
n/an/an/a

Price-To-Book vs Industry: ROOT is good value based on its Price-To-Book Ratio (0.2x) compared to the US Insurance industry average (1.4x)


Price to Book Ratio vs Fair Ratio

What is ROOT's PB Ratio compared to its Fair PB Ratio? This is the expected PB Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ROOT PB Ratio vs Fair Ratio.
Fair Ratio
Current PB Ratio0.2x
Fair PB Ration/a

Price-To-Book vs Fair Ratio: Insufficient data to calculate ROOT's Price-To-Book Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of ROOT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: Insufficient data to calculate ROOT's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate ROOT's fair value for valuation analysis.


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst ROOT forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$5.88
US$11.81
+100.8%
72.9%US$32.40US$4.00n/a11
Jan ’24US$4.49
US$13.63
+203.5%
60.6%US$32.40US$6.00n/a11
Dec ’23US$7.05
US$13.85
+96.5%
58.3%US$32.40US$8.00n/a11
Nov ’23US$8.07
US$19.33
+139.6%
40.3%US$32.40US$9.50n/a10
Oct ’23US$7.88
US$30.08
+281.8%
68.8%US$90.00US$15.00n/a10
Sep ’23US$11.40
US$30.08
+163.9%
68.8%US$90.00US$15.00n/a10
Aug ’23US$18.90
US$47.65
+152.1%
57.2%US$108.00US$22.50n/a10
Jul ’23US$21.24
US$70.24
+230.7%
85.5%US$234.00US$27.00n/a10
Jun ’23US$24.66
US$65.49
+165.6%
90.3%US$234.00US$18.00n/a11
May ’23US$34.74
US$67.12
+93.2%
86.5%US$234.00US$27.00n/a11
Apr ’23US$36.18
US$68.43
+89.1%
84.2%US$234.00US$27.00n/a11
Mar ’23US$31.32
US$81.41
+159.9%
70.6%US$234.00US$27.00n/a11
Feb ’23US$37.80
US$117.82
+211.7%
46.2%US$234.00US$54.00n/a11
Jan ’23US$55.80
US$123.92
+122.1%
36.5%US$234.00US$54.00US$4.4913
Dec ’22US$64.80
US$123.92
+91.2%
36.5%US$234.00US$54.00US$7.0513
Nov ’22US$89.64
US$130.50
+45.6%
34.8%US$234.00US$90.00US$8.0712
Oct ’22US$93.06
US$132.00
+41.8%
33.6%US$234.00US$90.00US$7.8812
Sep ’22US$113.22
US$131.54
+16.2%
32.4%US$234.00US$90.00US$11.4013
Aug ’22US$137.34
US$270.00
+96.6%
38.0%US$540.00US$144.00US$18.9012
Jul ’22US$178.92
US$288.00
+61.0%
33.3%US$540.00US$153.00US$21.2412
Jun ’22US$166.50
US$297.00
+78.4%
34.9%US$540.00US$153.00US$24.6612
May ’22US$193.86
US$346.15
+78.6%
30.9%US$540.00US$162.00US$34.7413
Apr ’22US$219.42
US$361.38
+64.7%
28.7%US$540.00US$162.00US$36.1813
Mar ’22US$248.58
US$394.50
+58.7%
19.4%US$540.00US$234.00US$31.3212
Feb ’22US$382.68
US$406.50
+6.2%
19.5%US$540.00US$234.00US$37.8012
Jan ’22US$282.78
US$411.00
+45.3%
19.2%US$540.00US$234.00US$55.8012

Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.


Discover undervalued companies