Stocks · Financial Services · Insurance - Property & Casualty
Root, Inc. ROOT
$46.26 +0.11% Close, Oct 2, 2026 · NASDAQ · Market cap $648.6M
High qualityWeak trendInexpensive vs sector
Next earnings report: Nov 4, 2026
Scroll or pinch to zoom, drag to move. Daily prices adjusted for splits. Markers: E = earnings (green beat, red miss), S = split, D = dividend.
Three things to know
- Earnings beat analyst estimates in each of the last 14 quarters (average surprise over the last four: +100.0%).
- Over the past year the stock returned -47.5%, behind the S&P 500 by 62.5 percentage points.
- The stock is in a downtrend: below its 200-day average, with the 50-day average below the 200-day.
PromtFinance scores
Each score is a percentile within the Financial Services sector (0–100). Under each score: how the stock ranks in its sector on every component. As of Oct 5, 2026.
How fast revenue, earnings and cash flow are growing.
- Revenue growth (TTM, YoY)Top 29%
- EPS growth (TTM, YoY)Bottom 16%
- FCF growth (TTM, YoY)Bottom 30%
- Revenue growth, 3-year CAGRTop 3%
- Revenue growth accelerationBottom 19%
Returns on capital, margins, earnings quality and balance-sheet strength.
- Return on invested capitalTop 15%
- Gross marginBottom 11%
- Operating marginBottom 13%
- Cash conversion (OCF / net income)Top 5%
- Accruals (lower is better)Top 12%
- Net debt / EBITDA (lower is better)Top 10%
- Interest coverTop 25%
How cheap the shares are relative to earnings, cash flow and their own history.
- Earnings yieldTop 44%
- Free-cash-flow yieldTop 10%
- EBITDA / enterprise valueTop 7%
- Sales / enterprise valueTop 3%
Strength and persistence of the price trend, including versus the S&P 500.
- 12-month return excluding last monthBottom 5%
- 6-month returnTop 47%
- 1-year return vs S&P 500Bottom 5%
- Distance from 52-week highBottom 6%
- Trend checklist (0–4)Bottom 9%
Earnings surprises and analyst sentiment (estimate-revision history is being collected).
- Average EPS surprise, last 4 quartersTop 2%
- Consecutive EPS beatsTop 2%
- Share of analysts rating BuyBottom 9%
- Upside to consensus price targetTop 44%
Low volatility, shallow drawdowns, low market sensitivity and modest leverage.
- Volatility, 60 days (lower is better)Bottom 7%
- Maximum drawdown, 3 yearsBottom 5%
- Beta vs S&P 500 (lower is better)Bottom 35%
- Net debt / EBITDA (lower is better)Top 10%
What changed
Latest four quarters versus the same period a year earlier (growth: versus one quarter earlier).
| Measure | Before | Now | |
|---|---|---|---|
| Revenue growth (YoY) | 22.8% | 14.9% | ↓ |
| EPS growth (YoY) | 1.2% | -32.7% | ↓ |
| Gross margin | 30.1% | 31.5% | ↑ |
| Operating margin | 6.3% | 4.0% | ↓ |
| FCF margin | 13.5% | 11.4% | ↓ |
Fundamental momentum
| Measure | Now (TTM) | Year / quarter before | Sector rank | |
|---|---|---|---|---|
| Revenue growth (TTM, YoY) | 14.9% | 22.8% | ↓ | Top 29% |
| EPS growth (TTM, YoY) | -32.7% | 1.2% | ↓ | Bottom 16% |
| Gross margin | 31.5% | 30.1% | ↑ | Bottom 11% |
| Operating margin | 4.0% | 6.3% | ↓ | Bottom 13% |
| Net margin | 3.9% | 6.3% | ↓ | — |
| Free-cash-flow margin | 11.4% | 13.5% | ↓ | — |
| Return on invested capital | 9.4% | — | Top 15% | |
| Revenue growth, 3-year CAGR | 69.6% | — | Top 3% |
Quality of earnings and balance sheet
- Cash conversion (OCF / net income)Above 1× means profits are backed by cash.
- 3.00×
- Accruals (net income − OCF) / assetsLower is better; high accruals can signal weaker earnings quality.
- -8.0%
- Stock-based compensation / revenueA cost to shareholders through dilution.
- 3.7%
- Receivables growth vs revenue growthReceivables growing much faster than sales can be a warning.
- +14.9 pp
- Net debt / EBITDABelow 1× is conservative; above 3× is high leverage.
- -2.09×
- Interest cover (operating income / interest)How many times operating profit covers interest.
- 3.2×
Shareholder returns
- Dividend yield (dividends paid, TTM)
- 0.00%
- Net buyback yield (TTM)
- 3.19%
- Shareholder yield
- 3.19%
- Share count change, 1 year
- -0.6%
- Share count change, 3-year CAGR
- +5.7%
Shareholder yield = dividends + net buybacks over the last four quarters, divided by market cap.
Based on the four quarters through Jun 30, 2026 (filed Aug 5, 2026).
Earnings and expectations
Earnings momentum
- Consecutive EPS beats
- 14
- Beats in the last 8 reports
- 8 of 8
- Average EPS surprise, last 4
- +100.0%
- Average 2-day reaction, last 8
- +2.9%
- Positive 20 days after report
- 2 of 8
Analysts
- Consensus price target
- $54.00
- Target vs current price
- +16.7%
- Analysts with a rating
- 14
- Share rating Buy or Strong Buy
- 14%
- Consensus rating
- Hold
How the stock reacted to recent reports
| Report date | EPS surprise | 2 days | 5 days | 20 days | 60 days |
|---|---|---|---|---|---|
| Aug 5, 2026 | +80.0% | +2.0% | -12.7% | -6.8% | — |
| May 6, 2026 | +148.8% | +0.3% | +7.9% | -4.6% | -1.4% |
| Feb 25, 2026 | +933.3% | +5.7% | -17.3% | -19.2% | -2.2% |
| Nov 5, 2025 | +18.6% | +12.2% | +8.6% | -2.1% | -19.4% |
| Aug 6, 2025 | +21.7% | -2.4% | -28.3% | -29.9% | -37.5% |
| May 7, 2025 | +137.8% | +1.6% | +9.1% | -2.7% | -15.3% |
| Feb 26, 2025 | +306.3% | +1.7% | +36.3% | +73.6% | +29.7% |
| Oct 30, 2024 | +237.8% | +2.3% | +79.4% | +157.4% | +108.7% |
Returns from the close before each report. Past reactions do not determine future ones.
Earnings history
| Report date | EPS | Estimate | Surprise | Revenue |
|---|---|---|---|---|
| Aug 5, 2026 | $1.49 | $0.83 | +80.0% | $389.2M |
| May 6, 2026 | $2.09 | $0.84 | +148.8% | $393.5M |
| Feb 25, 2026 | $0.31 | $0.03 | +933.3% | $397.0M |
| Nov 5, 2025 | -$0.35 | -$0.43 | +18.6% | $387.8M |
| Aug 6, 2025 | $1.29 | $1.06 | +21.7% | $382.9M |
| May 7, 2025 | $1.07 | $0.45 | +137.8% | $9.4M |
| Feb 26, 2025 | $1.30 | -$0.63 | +306.3% | $326.7M |
| Oct 30, 2024 | $1.35 | -$0.98 | +237.8% | $305.7M |
Valuation in context
| Multiple | Now | 5-year median | 5-year percentile | Sector rank (cheapness) |
|---|---|---|---|---|
| P/E (trailing) | 13.7× | — | — | Top 44% |
| P/E (forward) | 10.3× | — | — | — |
| EV / EBITDA | 4.7× | — | — | Top 7% |
| EV / Sales | 0.29× | — | — | Top 3% |
| Free-cash-flow yield | 27.63% | — | — | Top 10% |
| Earnings yield | 7.28% | — | — | Top 44% |
P/E over the past five years
Range 17.0× – 57.7× since Dec 31, 2024. Each point: price on the filing date divided by trailing-twelve-month EPS known then.
What moved the stock over the past year
- Price return, 1 year
- -47.5%
- Earnings per share growth (TTM)
- -32.7%
- Change in P/E multiple
- -26.9%
Most of the move came from earnings growth.
Technical state
Trend checklist
- ✗ Price above 20-day average
- ✗ Price above 50-day average
- ✗ Price above 200-day average
- ✗ 50-day average above 200-day
- ✗ MACD histogram positive
Trend quality
- Days above the 50-day average
- 0
- Days above the 200-day average
- 0
- 50-day average slope (20 days)
- -6.9%
- 200-day average slope (20 days)
- -4.8%
- Distance from 50-day average
- -13.0%
- Distance from 200-day average
- -18.3%
- RSI (14)
- 33.6
- Relative volume
- 0.74×
Risk and drawdowns
- Volatility, 60 days (annualized)
- 65.1%
- Volatility vs own 5-year history
- 9th percentile · Low for this stock
- Beta vs S&P 500 (2 years, weekly)
- 0.83
- Correlation with S&P 500
- 0.13
- Current drawdown from 1-year high
- -49.1%
- Maximum drawdown, 3 years
- -75.7%
Largest declines in the past six years
| From peak | To low | Decline | Length | Recovery |
|---|---|---|---|---|
| Oct 28, 2020 | Mar 13, 2023 | -99.3% | 595 days | Not yet recovered |
Declines of 10% or more from a closing high, measured on daily closes.
Financial statements
- Market cap
- $648.6M
- P/E (TTM)
- 13.7
- EPS, diluted (TTM)
- $3.37
- Revenue (TTM)
- $1.57B
- 52-week range
- $40.91 – $92.27
| FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | |
|---|---|---|---|---|---|
| Revenue | $345.4M | $310.8M | $455.0M | $1.18B | $1.52B |
| Gross profit | -$51.9M | -$32.2M | $76.1M | $337.1M | $386.6M |
| Operating income | -$521.1M | -$297.7M | -$147.4M | $30.9M | $40.8M |
| Net income | -$521.1M | -$297.7M | -$147.4M | $30.9M | $40.3M |
| EPS (diluted) | -$37.62 | -$21.11 | -$10.24 | $1.83 | $2.24 |
| Q3 2024 | Q4 2024 | Q1 2025 | Q2 2025 | Q3 2025 | Q4 2025 | Q1 2026 | Q2 2026 | |
|---|---|---|---|---|---|---|---|---|
| Revenue | $305.7M | $326.7M | $349.4M | $382.9M | $387.8M | $397.0M | $393.5M | $389.2M |
| Net income | $22.8M | $22.1M | $18.4M | $22.0M | -$5.4M | $5.3M | $35.9M | $25.4M |
| EPS (diluted) | $1.35 | $1.30 | $1.07 | $1.29 | -$0.35 | $0.31 | $1.99 | $1.42 |
| FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | |
|---|---|---|---|---|---|
| Operating cash flow | -$403.4M | -$210.6M | -$33.6M | $195.7M | $206.5M |
| Capital expenditure | -$11.2M | -$10.1M | -$9.4M | -$11.8M | -$14.1M |
| Free cash flow | -$414.6M | -$220.7M | -$43.0M | $183.9M | $192.4M |
| Dividends paid | $0 | $0 | $0 | $0 | $0 |
| Net share buybacks | $0 | $0 | $0 | $0 | $300,000 |
Cash outflows are shown as negative numbers.
- Cash and short-term investments
- $1.03B
- Total assets
- $1.67B
- Total liabilities
- $1.34B
- Total debt
- $310.8M
- Net debt
- -$198.8M
- Shareholders’ equity
- $327.9M
As of Jun 30, 2026 (filed Aug 5, 2026).
Short interest
- Shares sold short
- 1,833,185
- Days to cover
- 10.95
- Change vs previous report
- +0.2%
FINRA short interest, settlement date Sep 15, 2026.
Stock splits
- Aug 15, 2022
- 1-for-18