Root (NASDAQ:ROOT – Get Rating) and The Seibels Bruce Group (OTCMKTS:SBBG – Get Rating) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, earnings, institutional ownership, risk, profitability, valuation and analyst recommendations.

Insider and Institutional Ownership

52.0% of Root shares are held by institutional investors. 27.6% of Root shares are held by company insiders. Comparatively, 55.4% of The Seibels Bruce Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Root and The Seibels Bruce Group’s gross revenue, earnings per share (EPS) and valuation.

The Seibels Bruce Group has lower revenue, but higher earnings than Root.

Profitability

This table compares Root and The Seibels Bruce Group’s net margins, return on equity and return on assets.

Analyst Ratings

This is a breakdown of current recommendations for Root and The Seibels Bruce Group, as reported by MarketBeat.

Root currently has a consensus price target of $5.31, suggesting a potential upside of 415.24%.

Volatility and Risk

Root has a beta of -0.22, indicating that its stock price is 122% less volatile than the S&P 500. Comparatively, The Seibels Bruce Group has a beta of 0.21, indicating that its stock price is 79% less volatile than the S&P 500.

Summary

The Seibels Bruce Group beats Root on 5 of the 8 factors compared between the two stocks.

Root Company Profile (Get Rating)

Root, Inc. provides insurance products and services in the United States. The company offers automobile, homeowners, and renters insurance products. The company operates a direct-to-consumer model and serves customers primarily through mobile applications, as well as through its website. Its direct distribution channels also cover digital, media, and referral channels, as well as distribution partners and agencies. The company was incorporated in 2015 and is headquartered in Columbus, Ohio.

The Seibels Bruce Group Company Profile (Get Rating)

The Seibels Bruce Group, Inc. provides processing, technology, and claims solutions to the property and casualty insurance industry. The company offers processing solutions for coastal markets; business process outsourcing; claims administration solutions; information technology outsourcing; and professional services. It also provides technology solutions, such as IPX enterprise insurance suite, CPX claims management system, FNOL first notice of loss, and reinspection processing xpert solutions; and claims solutions, including third party administration, catastrophe management, first notice of loss, multi-line adjusting and examination, reinspection, and subrogation/salvage services. The company was founded in 1869 and is based in Columbia, South Carolina.

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