White Mountains Insurance Group (NYSE:WTM) & Root (NASDAQ:ROOT) Financial Survey

Root (NASDAQ:ROOT – Get Free Report) and White Mountains Insurance Group (NYSE:WTM – Get Free Report) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Analyst Recommendations

This is a breakdown of current ratings for Root and White Mountains Insurance Group, as reported by MarketBeat.

Root currently has a consensus price target of $53.38, suggesting a potential upside of 34.65%. Given Root’s higher probable upside, equities analysts plainly believe Root is more favorable than White Mountains Insurance Group.

Risk and Volatility

Root has a beta of 2.54, indicating that its share price is 154% more volatile than the S&P 500. Comparatively, White Mountains Insurance Group has a beta of 0.44, indicating that its share price is 56% less volatile than the S&P 500.

Insider & Institutional Ownership

59.8% of Root shares are held by institutional investors. Comparatively, 88.7% of White Mountains Insurance Group shares are held by institutional investors. 11.7% of Root shares are held by company insiders. Comparatively, 3.0% of White Mountains Insurance Group shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Root and White Mountains Insurance Group”s top-line revenue, earnings per share (EPS) and valuation.

White Mountains Insurance Group has higher revenue and earnings than Root. Root is trading at a lower price-to-earnings ratio than White Mountains Insurance Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Root and White Mountains Insurance Group’s net margins, return on equity and return on assets.

Summary

White Mountains Insurance Group beats Root on 9 of the 13 factors compared between the two stocks.

About Root

(Get Free Report)

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. Root, Inc. was incorporated in 2015 and is headquartered in Columbus, Ohio.

About White Mountains Insurance Group

(Get Free Report)

White Mountains Insurance Group, Ltd., through its subsidiaries, provides insurance and other financial services in the United States. The company operates through HG Global/BAM, Ark/WM Outrigger, Kudu, and Other Operations segments. The HG Global/BAM segment provides insurance on municipal bonds issued to finance public purposes, such as schools, utilities, and transportation facilities, as well as reinsurance protection services. The Ark/WM Outrigger segment offers reinsurance and insurance, including property, marine and energy, accident and health, casualty, and specialty products. The Kudu segment provides capital solutions to boutique asset and wealth managers for generational ownership transfers, management buyouts, acquisitions and growth finances, and legacy partner liquidity, as well as strategic assistance to investees. The Other Operations segment offers insurance solutions to travel industry through broker channel and on a direct-to-consumer basis; and manages separate accounts and pooled investment vehicles for insurance-linked securities sectors, including catastrophe bonds, collateralized reinsurance investments, and industry loss warranties of third-party clients. White Mountains Insurance Group, Ltd. was incorporated in 1980 and is headquartered in Hamilton, Bermuda.

Receive News & Ratings for Root Daily – Enter your email address below to receive a concise daily summary of the latest news and analysts’ ratings for Root and related companies with MarketBeat.com’s FREE daily email newsletter.