Root, Inc. (ROOT) Valuation — DCF, Graham & Comparables

Root, Inc. (ROOT) — Price $52.44 Financial ServicesInsurance - Property & Casualty — NASDAQ

Latest reported results:

Valuation dashboard for Root, Inc. (ROOT) with P/E 13.83, P/B 2.46, EV/EBITDA 5.80 and dividend yield 0.00%. DCF, Graham Number and Earnings Power Value models plus sector comparison against other Financial Services companies.

Root, Inc. operates within the United States, concentrating on delivering a range of insurance solutions, including policies for automobiles, residential properties, and rental occupancy. The company employs a direct-to-consumer business model, primarily connecting with its customers via user-friendly mobile applications and its official website.

Analysis Summary

Root, Inc. reported revenue of $1.52B in the most recent fiscal year, growing at a 5-year CAGR of 34.3%.

Trailing-twelve-month margins: gross margin 31.5%, operating margin 4.0%, net margin 3.9%.

At the current price of $52.44, ROOT trades at a P/E of 13.83 and an ROE of 15.91%. Market capitalisation stands at $735M.

Balance sheet quality for ROOT: current ratio of 2.6. A debt-to-equity below 1.0 typically signals conservative capital structure, while a current ratio above 1.5 indicates comfortable short-term liquidity.

Valuation Ratios

P/E Ratio13.83
Price / Book2.46
EV / EBITDA5.80
Dividend Yield0.00%

Valuation Models

DCF Fair Value$-1125.58
vs Current Price-2246.4%

Peer Comparison

SymbolCompanyMarket CapP/EP/BROE
ROOTRoot, Inc.$735M13.832.4615.9%
0VQD.LChubb Limited$134.6B12.411.7414.0%
CBChubb Limited$131.8B12.131.8015.2%
0KOC.LThe Progressive Corporation$128.0B10.973.7235.4%
PGRThe Progressive Corporation$126.2B11.033.7435.4%
0R03.LThe Travelers Companies, Inc.$82.7B10.612.0119.1%
TRVThe Travelers Companies, Inc.$79.0B10.282.4825.6%
0HCZ.LThe Allstate Corporation$67.3B5.091.9643.1%

Price

Price$52.44
Market Cap$735M
ExchangeNASDAQ
CountryUS

Profitability

Return on Equity15.91%
Return on Invested Capital9.41%
Return on Assets3.67%
Gross Margin31.54%
Operating Margin3.96%
Net Margin3.90%

Related companies: ASIC · BOW · CSWC · HRZN · MFIC · OBK · PRA

Explore sector: Financial Services · Insurance - Property & Casualty

More sections of ROOT: Overview · Financials · Statistics · Estimates · Technical · Ownership · News · Events

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