Root (NASDAQ:ROOT – Get Rating) is one of 95 publicly-traded companies in the “Fire, marine, & casualty insurance” industry, but how does it compare to its rivals? We will compare Root to similar businesses based on the strength of its analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.
Insider and Institutional Ownership
52.0% of Root shares are owned by institutional investors. Comparatively, 59.2% of shares of all “Fire, marine, & casualty insurance” companies are owned by institutional investors. 54.4% of Root shares are owned by insiders. Comparatively, 13.8% of shares of all “Fire, marine, & casualty insurance” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Analyst Ratings
This is a breakdown of recent recommendations for Root and its rivals, as reported by MarketBeat.com.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Root | 1 | 7 | 2 | 0 | 2.10 |
Root Competitors | 397 | 2391 | 2423 | 87 | 2.42 |
Root presently has a consensus target price of $5.31, indicating a potential upside of 321.19%. As a group, “Fire, marine, & casualty insurance” companies have a potential upside of 22.73%. Given Root’s higher probable upside, research analysts clearly believe Root is more favorable than its rivals.
Earnings and Valuation
This table compares Root and its rivals gross revenue, earnings per share and valuation.
Gross Revenue | Net Income | Price/Earnings Ratio | |
Root | $345.40 million | -$521.10 million | -0.63 |
Root Competitors | $13.19 billion | $2.84 billion | 69.90 |
Root’s rivals have higher revenue and earnings than Root. Root is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.
Risk & Volatility
Root has a beta of -0.32, meaning that its share price is 132% less volatile than the S&P 500. Comparatively, Root’s rivals have a beta of 0.75, meaning that their average share price is 25% less volatile than the S&P 500.
Profitability
This table compares Root and its rivals’ net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Root | -137.46% | -99.07% | -34.55% |
Root Competitors | -2.45% | 1.89% | 0.38% |
Summary
Root rivals beat Root on 10 of the 12 factors compared.
About Root (Get Rating)
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Alice J. Roden started working for Trending Insurance News at the end of 2021. Alice grew up in Salt Lake City, UT. A writer with a vast insurance industry background Alice has help with several of the biggest insurance companies. Before joining Trending Insurance News, Alice briefly worked as a freelance journalist for several radio stations. She covers home, renters and other property insurance stories.