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Root, Inc. ROOT R2KR3KFINANCIAL

Financial Services · Insurance - Property & Casualty · United States
https://www.joinroot.com
Company Profile ↓
$56.59
-38.83% 1Y
Mkt Cap$774.55M
P/E15.81
P/B2.48
52W High$102.88
52W Low$43.21
Book Value$20.76
EPS (TTM)$3.58

Company Overview

Root, Inc. provides insurance products and services in the United States. The company offers automobile and renters insurance products primarily through websites, mobile applications, and partnership channels. Root, Inc. was incorporated in 2015 and is headquartered in Columbus, Ohio.

Why Investors Should Care

Strong Return on Equity

Generates a return on equity of 15.4%, reflecting efficient use of shareholder capital.

Steady Revenue Expansion

Revenue has grown at a 66.2% CAGR over the past five years.

Reasonable Valuation

Trades at an undemanding P/E of 15.8.

Positive Free Cash Flow

Generates positive free cash flow, funding growth and shareholder returns internally.

Recent Developments

  • Dec 2025 Revenue of $1.52B (+29.0% YoY); net profit $40.30M.
  • Trailing 12 Months Year-on-year growth — revenue +1.6%, earnings +15.5%.
  • 5-Year Trend Long-term compounding — revenue CAGR 66.2%.

Growth & Price Performance

Compounded Sales Growth

5 Years:66.21%
1 Year:1.60%

Compounded Profit Growth

5 Years:-
1 Year:15.50%

Stock Price Performance

1 Year:-38.83%
6 Months:+17.94%
3 Months:+5.70%
1 Month:+12.04%

Highlights auto-generated from reported financials and price data; not investment advice. Verify with official filings before acting.

Technical Snapshot Bearish
52-Week Range 22% of range
$43.21 $102.88
Trend Signals
  • Price vs 50-DMABelow
  • Price vs 200-DMABelow
  • RSI (14)52.40 · Neutral
Price Performance
1M+12.04%
3M+5.70%
6M+17.94%
1Y-38.83%
Valuation vs Sector

P/E of 15.81 is above the sector median of 14.52 — pricier than peers.

Auto-generated from price history and fundamentals; not investment advice.

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Price Chart

Robinhood TradingView

Fundamental Growth Charts

Interactive charts for Revenue, Net Income, EBITDA, Free Cash Flow, EPS, ROE, ROCE, Gross/Net/Operating Margin and more — switch metric and period using the dropdowns above. CAGR is computed across the displayed window (quarterly CAGR is annualised). Visual growth charts make it easy to spot multi-year compounding trends at a glance — far faster than reading raw numbers in a table.

PROS

  • Compounding revenue at 66.2% over 5 years.
  • Generates positive free cash flow.

CONS

  • Trading 45.0% below its 52-week high.
  • In a downtrend (50-DMA below 200-DMA).

* The pros and cons are auto-generated from financial metrics.

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Valuation

Stock P/E
15.81
Industry PE
14.52
Forward P/E
20.07
PEG Ratio
-
Book Value
$20.76
Price to Book
2.48
P/S
0.51
EV/EBITDA
6.43
Dividend Yield
0.00%

Growth (CAGR)

Revenue 5Y
66.21%
Profit 5Y
-
Revenue (YoY)
1.60%
Earnings (YoY)
15.50%

Profitability & Returns

ROCE
-
ROE
15.37%
ROA
3.32%
Profit Margin
3.71%
Op Margin
8.89%
Gross Margin
39.31%
EPS (Latest Qtr)
$1.49
EPS (TTM)
$3.58

Balance Sheet & Liquidity

Debt/Equity
0.45
Quick Ratio
1.64
Current Ratio
1.98
Debt
$197.80M
Total Assets
$1.67B
Current Assets
-
Working Capital
-

Ownership

Promoter Holding
5.90%
Chg in Prom Hold
-0.19%
FII / Inst Holding
64.80%
Chg in FII Hold
0.04%

Financial Snapshot

Enterprise Value
$774.55M
Total Revenue (TTM)
$1.57B
EBITDA
$91.40M
Free Cash Flow
$123.84M
Operating Cash Flow
$194.50M
Shares Outstanding
13.69M
Gross Margin
39.31%
Payout Ratio
0.00%

Peer comparison

Peer companies in the same sector (Financial Services).

#NameCMP $P/E Mkt CapDiv Yld % ROCE %ROE % Rev CAGR 5Y %Profit CAGR 5Y %
1 ROOT Root, Inc. R2KR3KFINANCIAL 56.59 15.81 $774.55M 0.00% - 15.37% 66.21% -
2 JPM JPMorgan Chase & Co. SPXR3KFINANCIAL 358.64 15.37 $953.34B 1.68% - 17.79% 12.50% 14.83%
3 BRK-B Berkshire Hathaway Inc. SPXFINANCIAL 506.03 15.07 $707.59B 0.00% - 10.50% 4.18% 9.44%
4 V Visa Inc. SPXR3KFINANCIAL 374.00 31.86 $637.34B 0.72% 37.15% 61.19% 14.33% 13.04%
5 MA Mastercard Incorporated SPXR3KFINANCIAL 579.21 31.82 $503.60B 0.60% 60.19% - 12.29% 19.21%
6 BAC Bank of America Corporation SPXR3KFINANCIAL 62.68 14.48 $438.31B 2.03% - 11.20% 3.14% 4.27%
7 BRK-A Berkshire Hathaway Inc. FINANCIAL 759,350.00 15.07 $384.00B 0.00% - 10.50% 7.60% 10.02%
8 HSBC HSBC Holdings plc FINANCIAL 107.11 15.30 $367.34B 3.62% - 13.10% 9.75% 12.72%
9 MS Morgan Stanley SPXR3KFINANCIAL 217.72 17.59 $342.26B 2.15% - 17.97% 3.76% 9.66%
Financial Statements Quarterly Results · Profit & Loss · Balance Sheet · Cash Flows · Ratios

Quarterly Results

Figures in USD.

Metric Mar 2019Jun 2019Sep 2019Dec 2019Mar 2020Jun 2020Sep 2020Dec 2020Mar 2021Jun 2021Sep 2021Mar 2022Jun 2022Sep 2022Dec 2022Mar 2023Jun 2023Sep 2023Mar 2024Jun 2024Sep 2024Mar 2025Jun 2025Sep 2025Mar 2026Jun 2026
Revenue 41.40M62.70M79.60M106.50M124.00M121.40M50.50M50.90M68.60M89.80M93.80M85.40M80.40M73.70M71.30M70.10M74.80M115.30M254.90M289.20M305.70M349.40M382.90M387.80M393.50M389.20M
Operating Income -----99.90M-31.20M-65.70M--94.30M-172.10M-126.90M-72.00M-86.30M-57.10M-47.70M-29.80M-25.20M-34.00M5.40M3.80M34.40M23.70M27.30M300.00K40.90M34.60M
Net Income -49.70M-47.30M-100.20M-85.20M-105.60M-38.90M-85.20M-133.30M-99.60M-178.60M-133.00M-77.50M-95.50M-66.40M-58.30M-40.90M-36.70M-45.80M-6.20M-7.80M22.80M18.40M22.00M-5.40M35.90M25.40M
Diluted EPS ------1.03-2.20--0.40-0.72-9.57-5.54-6.77-4.71-4.13-2.88-2.55-3.16-0.42-0.521.351.071.29-0.352.091.49

Profit & Loss (Annual)

Figures in USD.

Metric Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Revenue 43.30M290.20M346.80M345.40M310.80M455.00M1.18B1.52B
Operating Income --260.10M-285.30M-485.20M-263.10M-101.30M78.50M61.80M
Net Income -69.10M-282.40M-363.00M-521.10M-297.70M-147.40M30.90M40.30M
Diluted EPS --8.33-86.43-37.76-21.11-10.241.832.36

Balance Sheet (Annual)

Figures in USD.

Metric Dec 2017Dec 2018Dec 2019Dec 2020Dec 2021Mar 2022Jun 2022Sep 2022Dec 2022Dec 2023Dec 2024Dec 2025
Total Assets --728.60M1.76B1.32B---1.31B1.35B1.50B1.67B
Total Equity -33.60M-102.70M-374.00M1.03B536.40M467.60M381.30M321.80M277.10M165.70M203.70M284.30M
Cash & Equivalents --391.70M1.11B706.00M---762.10M678.70M599.30M669.30M
Long Term Debt --192.20M188.20M0---295.40M299.00M200.10M200.30M
Total Liabilities --542.20M729.90M670.90M---923.80M1.07B1.18B1.28B

Cash Flows (Annual)

Figures in USD.

Metric Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Operating Cash Flow -26.10M-127.20M-287.20M-403.40M-210.60M-33.60M195.70M206.50M
Investing Cash Flow -20.60M-114.00M-114.10M76.90M-16.60M-45.70M-154.40M-91.70M
Financing Cash Flow 150.90M535.50M1.10B-80.30M283.30M-4.10M-120.70M-25.20M
Capital Expenditure -1.20M-6.60M-1.80M-4.60M-0-200.00K-400.00K-0
Free Cash Flow -27.30M-133.80M-289.00M-408.00M-210.60M-33.80M195.30M206.50M
Share Buybacks 00200.00K00---

Ratios (Annual)

Figures in %.

Metric Dec 2018Dec 2019Dec 2020Dec 2021Dec 2022Dec 2023Dec 2024Dec 2025
Gross Margin % --------
Operating Margin % --89.6%-82.3%-140.5%-84.7%-22.3%6.7%4.1%
Net Margin % -159.6%-97.3%-104.7%-150.9%-95.8%-32.4%2.6%2.7%
ROE % 67.3%75.5%-35.2%-97.1%-107.4%-89.0%15.2%14.2%
ROCE % --------

Shareholding Pattern

Insiders
5.90%
Institutions
64.80%
Public Float
68.86%

Top Institutional Holders

#Holder% HeldSharesValue
1 Ribbit Management Company, LLC 9.01% 1.23M $69.56M
2 T. Rowe Price Investment Management, Inc. 8.92% 1.22M $68.90M
3 Blackrock Inc. 8.40% 1.15M $64.85M
4 Vanguard Capital Management LLC 3.86% 528.32K $29.81M
5 Findell Capital Management LLC 3.36% 460.00K $25.96M
6 Geode Capital Management, LLC 2.52% 345.38K $19.49M
7 State Street Corporation 2.12% 290.77K $16.41M
8 Galileo (ptc) Ltd 1.85% 252.67K $14.26M
9 Renaissance Technologies, LLC 1.79% 245.28K $13.84M
10 Boothbay Fund Management, LLC 1.48% 203.23K $11.47M

Analyst View

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Latest News

Recent headlines for ROOT

Yahoo Finance hu, 03 Sep 2026

Root to Participate in Upcoming Investor Conferences

COLUMBUS, Ohio, Sept. 03, 2026 (GLOBE NEWSWIRE) -- Root (NASDAQ: ROOT), the leading technology company in car insurance, today announced it will participate in two upcoming investor conferences in New York City. Management will have a prese…

Yahoo Finance hu, 27 Aug 2026

Root Reduces Auto Insurance Rates by 15% in Florida, Citing Impact of Legal Reforms

Florida insurance reforms and regulatory environment enable Root to deliver immediate savings to drivers as litigation costs declineCOLUMBUS, Ohio, Aug. 27, 2026 (GLOBE NEWSWIRE) -- Root (NASDAQ: ROOT), the leading technology company in car…

Yahoo Finance Sat, 22 Aug 2026

Root (ROOT) Stock Fair Value Falls After Analyst Target Cuts and Growth Reset

Root’s analyst story has shifted as price targets reset toward levels such as US$60, with fair value assumptions now closer to US$60.20. Analysts link these moves to a tougher competitive backdrop, updated growth expectations into 2026, and…

Yahoo Finance Wed, 12 Aug 2026

Root (ROOT) Q2 2026 Earnings Call Transcript

Net income jumped 15% on pricing discipline and AI-driven underwriting.

Yahoo Finance hu, 06 Aug 2026

Root Inc (ROOT) (Q2 2026) Earnings Call Highlights: Strategic Discipline Drives Profitability ...

Root Inc (ROOT) reports 15% net income growth and improved combined ratio, while navigating a competitive direct market with strategic growth levers.

Yahoo Finance Wed, 05 Aug 2026

Root (NASDAQ:ROOT) Reports Sales Below Analyst Estimates In Q2 CY2026 Earnings, Stock Drops 11.1%

Digital auto insurance company Root (NASDAQ:ROOT) missed Wall Street’s revenue expectations in Q2 CY2026 as sales only rose 1.6% year on year to $389.2 million. Its GAAP profit of $1.49 per share was 66% above analysts’ consensus estimates.…

ROOT — Frequently Asked Questions

What is the current share price of Root, Inc. (ROOT)?

As of 2026-09-07 16:24 PDT, Root, Inc. (ROOT) trades at $56.59 on NasdaqGS. Its 52-week range is $43.21 to $102.88.

What is the market capitalisation of ROOT?

Root, Inc. (ROOT) has a market capitalisation of $774.55M on NasdaqGS.

What is the P/E ratio of ROOT?

ROOT trades at a trailing price-to-earnings (P/E) ratio of 15.81. The industry average P/E is 14.52. Its price-to-book (P/B) ratio is 2.48.

What is the return on equity (ROE) of ROOT?

ROOT has a return on equity (ROE) of 15.37%.

Is ROOT a good stock to buy?

This page provides a data-driven analysis of Root, Inc. (ROOT), including valuation ratios, profitability, growth trends, auto-generated pros and cons, peer comparison and AI exposure. Review these fundamentals alongside your own research and risk tolerance. This is informational content, not investment advice.

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