# Root Inc. (ROOT) fundamentals

Data as of 2026-09-08. NASDAQ, United States. Sector: Financial Services / Insurance. Price $56.59, market value $877 million.

## Valuation
- **P/E (trailing): 15.8×** (5-yr avg 35.1×, 3-yr avg 35.1×). Root Inc. trades at 15.8× trailing earnings, well below its own five-year average of 35.1×: cheap by its own standards. The Financial Services median in the September 2026 study was 13.1×. Forward P/E is 20.1×, higher than trailing, so analysts expect earnings to fall.
- **PEG: 0.69**. A PEG of 0.69 means the P/E is low relative to expected earnings growth: the market is not paying much for that growth.
- **Price / sales: 0.6×**. Each dollar of revenue is priced at 0.6×, a low multiple typical of thin-margin businesses or out-of-favour stocks.
- **Price / book: 2.7×**. The shares trade at 2.7× book value; book value is a meaningful part of the valuation.
- **EV / EBITDA: 4.1×**. Enterprise value is 4.1× operating earnings before depreciation, the multiple that ignores how the company is financed; below 8× is inexpensive for most sectors.
- **Earnings yield: 6.3%**. The inverse of the P/E: 6.3% of the price is earned each year.

## Profitability
- **Operating margin: 5.5%**. 5.5% of revenue is left after running the business.
- **Net margin: 2.7%**. 2.7% of each dollar of sales reaches the bottom line.
- **Return on equity: 14.2%**. 14.2% on shareholders' equity is solid.
- **Return on invested capital: -36.9%**. Return on all capital, debt included, is -36.9%: close to or below the cost of capital, so growth may not create value.
- **Return on assets: 3.7%**. Each dollar of assets produces 3.7% of profit; low single digits are normal for banks and insurers.

## Growth
- **Revenue growth (1 yr): 29.0%** (3-yr 69.6%/yr, 5-yr 34.3%/yr). Revenue grew 29.0% over the last year, against 34.3% a year compounded over five years.
- **EPS growth (1 yr): 29.0%**. Earnings per share rose 29.0%, roughly in step with revenue.

## Financial health
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.
- **Cash and short-term investments: $669 million**. Leverage ratios are shown differently for banks and insurers, whose balance sheets are built on deposits and reserves; use return on equity and the regulatory capital in the filings instead.

## Dividends
- **Dividend: none**. Root Inc. does not currently pay a dividend.

## Price and momentum
- **Total return (1 yr): -39.7%** (YTD -21.7%, 3-mo 5.7%). The shares are down 39.7% over twelve months including dividends.
- **From 52-week high: -45.8%** (38.3% above the low). Trading 46% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 52**. An RSI of 52 is neutral.
- **Beta (1 yr): 1.99** (volatility 67%). Beta of 1.99 against the S&P 500: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=ROOT · Page: https://foliofundamentals.com/stocks/root

Not investment advice.