Wells Fargo & Company Forecasts Strong Price Appreciation for Root (NASDAQ:ROOT) Stock

Root (NASDAQ:ROOT) had its price objective upped by Wells Fargo & Company from $64.00 to $78.00 in a research note released on Friday, Benzinga reports. The firm currently has an equal weight rating on the stock.

A number of other analysts also recently issued reports on the company. Cantor Fitzgerald raised Root to a “strong-buy” rating in a research note on Thursday, October 3rd. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $82.00 price target (down previously from $88.00) on shares of Root in a research note on Friday, August 16th. JMP Securities reiterated a “market outperform” rating and set a $90.00 price objective on shares of Root in a research report on Tuesday, October 15th. UBS Group reduced their target price on shares of Root from $71.00 to $61.00 and set a “neutral” rating on the stock in a report on Tuesday, August 13th. Finally, Jefferies Financial Group decreased their target price on shares of Root from $84.00 to $72.00 and set a “buy” rating on the stock in a research report on Wednesday, October 9th. Four research analysts have rated the stock with a hold rating, three have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $57.38.

Root Trading Up 3.8 %

Root stock opened at $71.01 on Friday. The company has a debt-to-equity ratio of 1.98, a current ratio of 1.43 and a quick ratio of 1.43. The firm’s 50 day moving average price is $41.20 and its 200-day moving average price is $51.26. Root has a 1 year low of $7.22 and a 1 year high of $118.15. The stock has a market cap of $1.07 billion, a P/E ratio of -57.73 and a beta of 2.34.

Root (NASDAQ:ROOT) last announced its quarterly earnings results on Wednesday, October 30th. The company reported $1.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.61) by $1.96. The company had revenue of $305.70 million for the quarter, compared to the consensus estimate of $272.77 million. Root had a negative net margin of 1.56% and a negative return on equity of 10.13%. Root’s revenue for the quarter was up 165.1% compared to the same quarter last year. During the same period in the previous year, the firm posted ($3.16) EPS. On average, equities analysts predict that Root will post -2.13 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the business. Algert Global LLC bought a new stake in shares of Root during the 2nd quarter worth approximately $288,000. Sequoia Financial Advisors LLC bought a new stake in shares of Root during the first quarter worth $293,000. Vanguard Personalized Indexing Management LLC lifted its position in shares of Root by 76.8% during the second quarter. Vanguard Personalized Indexing Management LLC now owns 5,930 shares of the company’s stock worth $306,000 after purchasing an additional 2,576 shares during the last quarter. SG Americas Securities LLC purchased a new stake in shares of Root during the third quarter valued at $412,000. Finally, Quantbot Technologies LP bought a new position in shares of Root in the first quarter worth about $431,000. 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.