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Root NasdaqGS:ROOT Stock Report

Last Price

US$141.49

Market Cap

US$2.1b

7D

3.6%

1Y

101.2%

Updated

08 May, 2025

Data

Company Financials +

Root, Inc.

NasdaqGS:ROOT Stock Report

Market Cap: US$2.1b

ROOT Stock Overview

Provides insurance products and services in the United States. More details

ROOT fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance4/6
Financial Health5/6
Dividends0/6

Rewards

Earnings are forecast to grow 15.65% per year

Became profitable this year

Risk Analysis

Volatile share price over the past 3 months compared to the US market


Community vs My Fair Value

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ROOT logo
Root
AN
AnalystConsensusTarget
Consensus Narrative from 5 Analysts

Expansive Costs Will Undermine Future Profitability In US Insurance

Key Takeaways Strategic investments in marketing and data science might boost future growth but will likely increase short-term expenses and pressure net margins. Reducing insurance rates in select states may drive customer growth but risks impacting net margins if policy volumes don't rise.
View narrative
US$105.20
FV
34.5% overvalued intrinsic discount
12.54%
Revenue growth p.a.
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11users have followed this narrative
8 days ago author updated this narrative
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Root, Inc. Competitors

Hamilton Insurance Group

NYSE:HG

US$2.0b

Skyward Specialty Insurance Group

NasdaqGS:SKWD

US$2.4b

Fidelis Insurance Holdings

NYSE:FIHL

US$1.9b

White Mountains Insurance Group

NYSE:WTM

US$4.5b

Price History & Performance

Summary of share price highs, lows and changes for Root
Historical stock prices
Current Share PriceUS$141.49
52 Week HighUS$181.14
52 Week LowUS$34.04
Beta2.41
1 Month Change30.89%
3 Month Change26.30%
1 Year Change101.15%
3 Year Change539.07%
5 Year Changen/a
Change since IPO-70.89%

Recent News & Updates

Root, Inc. (NASDAQ:ROOT) Stocks Shoot Up 27% But Its P/S Still Looks Reasonable

May 04
Root, Inc. (NASDAQ:ROOT) Stocks Shoot Up 27% But Its P/S Still Looks Reasonable
author-image

Expansive Costs Will Undermine Future Profitability In US Insurance

Apr 23 Strategic investments in marketing and data science might boost future growth but will likely increase short-term expenses and pressure net margins.

Recent updates

Root, Inc. (NASDAQ:ROOT) Stocks Shoot Up 27% But Its P/S Still Looks Reasonable

May 04
Root, Inc. (NASDAQ:ROOT) Stocks Shoot Up 27% But Its P/S Still Looks Reasonable
author-image

Expansive Costs Will Undermine Future Profitability In US Insurance

Apr 23 Strategic investments in marketing and data science might boost future growth but will likely increase short-term expenses and pressure net margins.

Root, Inc. (NASDAQ:ROOT) Looks Just Right With A 28% Price Jump

Mar 15
Root, Inc. (NASDAQ:ROOT) Looks Just Right With A 28% Price Jump

Root: Loving The Profits, But It's Fair Value Territory

Feb 28

Root Inc. Q4 2024 Earnings Preview

Feb 18

Root, Inc.: A Risky Play In The Insurtech Sector

Jan 06

Root, Inc. (NASDAQ:ROOT) Stock's 30% Dive Might Signal An Opportunity But It Requires Some Scrutiny

Dec 20
Root, Inc. (NASDAQ:ROOT) Stock's 30% Dive Might Signal An Opportunity But It Requires Some Scrutiny

Root, Inc. (NASDAQ:ROOT) Stock Rockets 74% But Many Are Still Ignoring The Company

Nov 01
Root, Inc. (NASDAQ:ROOT) Stock Rockets 74% But Many Are Still Ignoring The Company

Root, Inc. Has Entered The World Of Profits (Rating Upgrade)

Nov 01

Root Inc. Q3 Earnings Preview: Loss Ratio Not Sustainable

Oct 24

Take Care Before Jumping Onto Root, Inc. (NASDAQ:ROOT) Even Though It's 36% Cheaper

Aug 19
Take Care Before Jumping Onto Root, Inc. (NASDAQ:ROOT) Even Though It's 36% Cheaper

Root Inc: Rising Insurer In A Competitive Space

Aug 11

Root, Inc. (NASDAQ:ROOT) Might Not Be As Mispriced As It Looks After Plunging 33%

Jun 19
Root, Inc. (NASDAQ:ROOT) Might Not Be As Mispriced As It Looks After Plunging 33%

Root, Inc.: Promising Embedded Strategy With Potential Nationwide Expansion

May 06

Not Many Are Piling Into Root, Inc. (NASDAQ:ROOT) Stock Yet As It Plummets 32%

May 05
Not Many Are Piling Into Root, Inc. (NASDAQ:ROOT) Stock Yet As It Plummets 32%

Root, Inc. (NASDAQ:ROOT) Reported Earnings Last Week And Analysts Are Already Upgrading Their Estimates

May 03
Root, Inc. (NASDAQ:ROOT) Reported Earnings Last Week And Analysts Are Already Upgrading Their Estimates

Small Cap Nuance With Courage & Conviction Investing

Mar 04

Root, Inc. (NASDAQ:ROOT) Reported Earnings Last Week And Analysts Are Already Upgrading Their Estimates

Feb 25
Root, Inc. (NASDAQ:ROOT) Reported Earnings Last Week And Analysts Are Already Upgrading Their Estimates

Root, Inc. Q4 Earnings: Current Price Requires Exceptional Growth

Feb 23

Investors Holding Back On Root, Inc. (NASDAQ:ROOT)

Jan 15
Investors Holding Back On Root, Inc. (NASDAQ:ROOT)

Industry Analysts Just Made A Sizeable Upgrade To Their Root, Inc. (NASDAQ:ROOT) Revenue Forecasts

Aug 10
Industry Analysts Just Made A Sizeable Upgrade To Their Root, Inc. (NASDAQ:ROOT) Revenue Forecasts

Root Insurance: Spiral Of Death But There Is Hope

Aug 16

Shareholder Returns

ROOTUS InsuranceUS Market
7D3.6%2.9%1.3%
1Y101.2%16.7%8.2%

Return vs Industry: ROOT exceeded the US Insurance industry which returned 17.4% over the past year.

Return vs Market: ROOT exceeded the US Market which returned 7.7% over the past year.

Price Volatility

Is ROOT's price volatile compared to industry and market?
ROOT volatility
ROOT Average Weekly Movement16.1%
Insurance Industry Average Movement5.3%
Market Average Movement7.9%
10% most volatile stocks in US Market16.4%
10% least volatile stocks in US Market4.1%

Stable Share Price: ROOT's share price has been volatile over the past 3 months compared to the US market.

Volatility Over Time: ROOT's weekly volatility (16%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

FoundedEmployeesCEOWebsite
20151,021Alex Timmwww.joinroot.com

Root, Inc. provides insurance products and services in the United States. The company offers automobile and renters insurance products. It operates a direct-to-consumer model; and serves customers primarily through mobile applications and its website.

Root, Inc. Fundamentals Summary

How do Root's earnings and revenue compare to its market cap?
ROOT fundamental statistics
Market capUS$2.15b
Earnings (TTM)US$52.90m
Revenue (TTM)US$1.27b

41.1x

P/E Ratio

1.7x

P/S Ratio

Is ROOT overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report (TTM)
ROOT income statement (TTM)
RevenueUS$1.27b
Cost of RevenueUS$772.20m
Gross ProfitUS$498.80m
Other ExpensesUS$445.90m
EarningsUS$52.90m

Last Reported Earnings

Mar 31, 2025

Next Earnings Date

n/a

Earnings per share (EPS)3.44
Gross Margin39.24%
Net Profit Margin4.16%
Debt/Equity Ratio87.5%

How did ROOT perform over the long term?

See historical performance and comparison

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/05/08 12:00
End of Day Share Price 2025/05/08 00:00
Earnings2025/03/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Root, Inc. is covered by 17 analysts. 6 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Tracy Dolin-BenguiguiBarclays
Ross SandlerBarclays
Tracy Dolin-BenguiguiBarclays