Notably, the company's loss ratio -- the percentage of earned premiums spent on claims and adjustment expenses -- has dropped from 111.9% in 2019 to 92.1% in 2020. ... This is primarily due to high loss-related expenses, though the company is also spending heavily on sales and marketing.

Why is roots stock so low?

As a final caveat, Root is currently unprofitable. This is primarily due to high loss-related expenses, though the company is also spending heavily on sales and marketing. As a result, cash from operations dropped to a loss of $287 million in 2020.

Is Roots stock a good buy?

Out of 11 analysts, 1 (9.09%) are recommending ROOT as a Strong Buy, 1 (9.09%) are recommending ROOT as a Buy, 9 (81.82%) are recommending ROOT as a Hold, 0 (0%) are recommending ROOT as a Sell, and 0 (0%) are recommending ROOT as a Strong Sell.