Exploring high growth characteristics of ROOT INC/OH -CLASS A (NASDAQ:ROOT).

Our stockscreener has identified a possible breakout setup on ROOT INC/OH -CLASS A (NASDAQ:ROOT). This occurs when the stock consolidates following a significant upward movement. While the breakout outcome cannot be guaranteed, it may be worth monitoring NASDAQ:ROOT for potential opportunities.

Zooming in on the technicals.

ChartMill assigns a Technical Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple technical indicators and properties.

Overall ROOT gets a technical rating of 7 out of 10. In the last year, ROOT was one of the better performers, but we do observe some doubts in the very recent evolution.

• The long term trend is positive and the short term trend is neutral. The long term trend may just continue or reversal may be around the corner!
• ROOT is one of the better performing stocks in the Insurance industry, it outperforms 100% of 141 stocks in the same industry.
• When comparing the yearly performance of all stocks, we notice that ROOT is one of the better performing stocks in the market, outperforming 99% of all stocks. However, this overall performance is mostly based on the strong move around 10 months ago.
• ROOT is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so ROOT is lagging the market slightly.

For an up to date full technical analysis you can check the technical report of ROOT

How do we evaluate the setup for NASDAQ:ROOT?

Besides the Technical Rating, ChartMill assigns a Setup Rating to every stock to determine the degree of consolidation. This rating, ranging from 0 to 10, is updated daily and evaluates various short-term technical indicators. NASDAQ:ROOT currently holds a 7 as its setup rating, suggesting a particular level of consolidation in the stock.

ROOT has an excellent technical rating and also presents a decent setup pattern. Prices have been consolidating lately. There is a resistance zone just above the current price starting at 77.90. Right above this resistance zone may be a good entry point. There is a support zone below the current price at 76.17, a Stop Loss order could be placed below this zone. We notice that large players showed an interest for ROOT in the last couple of days, which is a good sign.

Looking into the high growth metrics of ROOT INC/OH -CLASS A

• The recent financial report of ROOT INC/OH -CLASS A demonstrates a 143.0% increase in quarterly earnings compared to the previous quarter. This growth indicates positive momentum in the company's financials and suggests a promising upward trend
• The q2q revenue growth of 165.0% of ROOT INC/OH -CLASS A highlights the company's ability to generate incremental revenue and suggests positive market demand for its products or services.
• ROOT INC/OH -CLASS A has achieved significant 1-year revenue growth of 215.0%, signaling its ability to capture market opportunities and drive top-line expansion. This growth indicates the company's effective execution and its potential for continued success.
• The recent financial report of ROOT INC/OH -CLASS A demonstrates a 143.0% increase in quarterly earnings compared to the previous quarter. This growth indicates positive momentum in the company's financials and suggests a promising upward trend
• The earnings per share (EPS) growth of ROOT INC/OH -CLASS A are accelerating: the current Q2Q growth of 143.0% is above the previous year Q2Q growth of 30.4%. Earnings momentum and acceleration are key for high growth systems.
• With a favorable trend in its operating margin over the past year, ROOT INC/OH -CLASS A demonstrates its ability to enhance profitability through efficient operations. This growth reflects the company's focus on optimizing its cost structure.
• ROOT INC/OH -CLASS A has experienced notable growth in its free cash flow (FCF) over the past year, signaling improved cash generation and strong financial performance. This growth suggests the company's ability to generate excess cash for reinvestment or shareholder returns.
• ROOT INC/OH -CLASS A exhibits a favorable Debt-to-Equity ratio at 1.0. This highlights the company's ability to limit excessive debt levels and maintain a strong equity base, demonstrating its financial stability and risk management practices.
• With 60.84% of the total shares held by institutional investors, ROOT INC/OH -CLASS A showcases a healthy distribution of ownership. This suggests a mix of institutional and retail investors, fostering a dynamic market for the stock.
• With a track record of beating EPS estimates in the last 4 quarters, ROOT INC/OH -CLASS A showcases its consistent ability to deliver earnings surprises. This reflects the company's strong execution and its competitive position in the market.
• ROOT INC/OH -CLASS A has maintained a healthy Relative Strength (RS) over the analyzed period, with a current 99.31 rating. This demonstrates the stock's ability to outperform its peers and indicates its competitive positioning. ROOT INC/OH -CLASS A is well-positioned for potential price growth opportunities.

More ideas for high growth momentum breakouts can be found on ChartMill in our High Growth Momentum Breakout screen.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.