Root (NASDAQ:ROOT) Shares Gap Down on Insider Selling

Root, Inc. (NASDAQ:ROOT) gapped down prior to trading on Thursday following insider selling activity. The stock had previously closed at $151.11, but opened at $146.29. Root shares last traded at $145.06, with a volume of 212,584 shares.

Specifically, Director Doug Ulman sold 2,000 shares of the business’s stock in a transaction dated Monday, March 24th. The stock was sold at an average price of $175.00, for a total transaction of $350,000.00. Following the sale, the director now owns 6,201 shares in the company, valued at approximately $1,085,175. The trade was a 24.39 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on the stock. Scotiabank reissued a “sector perform” rating on shares of Root in a research report on Sunday, March 2nd. UBS Group raised their target price on shares of Root from $67.00 to $130.00 and gave the stock a “neutral” rating in a report on Friday, March 7th. Finally, Wells Fargo & Company reaffirmed a “buy” rating on shares of Root in a research report on Sunday, March 2nd. Five investment analysts have rated the stock with a hold rating, three have issued a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $88.33.

Root Price Performance

The stock has a market capitalization of $2.08 billion, a price-to-earnings ratio of -111.33 and a beta of 2.48. The company has a current ratio of 1.39, a quick ratio of 1.39 and a debt-to-equity ratio of 1.65. The stock has a 50-day moving average price of $121.42 and a 200 day moving average price of $85.27.

Root (NASDAQ:ROOT) last announced its earnings results on Wednesday, February 26th. The company reported $1.30 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.63) by $1.93. The firm had revenue of $326.70 million for the quarter, compared to analyst estimates of $287.79 million. Root had a negative return on equity of 9.81% and a negative net margin of 1.56%. As a group, equities research analysts expect that Root, Inc. will post -0.08 earnings per share for the current year.

Institutional Trading of Root

A number of institutional investors and hedge funds have recently modified their holdings of the stock. T. Rowe Price Investment Management Inc. acquired a new stake in Root in the 4th quarter worth about $29,661,000. Connor Clark & Lunn Investment Management Ltd. boosted its stake in shares of Root by 163.2% in the fourth quarter. Connor Clark & Lunn Investment Management Ltd. now owns 127,923 shares of the company’s stock worth $9,286,000 after acquiring an additional 79,317 shares during the last quarter. Renaissance Technologies LLC increased its position in shares of Root by 41.8% during the fourth quarter. Renaissance Technologies LLC now owns 263,515 shares of the company’s stock worth $19,129,000 after purchasing an additional 77,699 shares in the last quarter. Vanguard Group Inc. increased its position in shares of Root by 16.2% during the fourth quarter. Vanguard Group Inc. now owns 526,928 shares of the company’s stock worth $38,250,000 after purchasing an additional 73,413 shares in the last quarter. Finally, BNP Paribas Financial Markets acquired a new position in Root in the 4th quarter valued at $3,834,000. Hedge funds and other institutional investors own 59.82% of the company’s stock.

About Root

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.