ROOT
Root, Inc.
Insurance - Property & Casualty
Market Cap$798M
5Y Perf.-86.8%
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Stock Comparison
ROOT vs PGR
Revenue, margins, valuation, and 5-year total return — side by side.
PGR
The Progressive Corporation
Insurance - Property & Casualty
Market Cap$114.73B
5Y Perf.+113.0%
ROOT vs PGR — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ROOT | PGR |
|---|---|---|
| Industry | Insurance - Property & Casualty | Insurance - Property & Casualty |
| Market Cap | $798M | $114.73B |
| Revenue (TTM) | $1.56B | $85.18B |
| Net Income (TTM) | $56M | $10.71B |
| Gross Margin | 17.9% | 26.3% |
| Operating Margin | 4.1% | 15.9% |
| Forward P/E | 29.0x | 12.0x |
| Total Debt | $201M | $6.89B |
| Cash & Equiv. | $690M | $143M |
ROOT vs PGR — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
ROOT
PGR
| Stock | Oct 20 | May 26 | Return |
|---|---|---|---|
| Root, Inc. (ROOT) | 100 | 13.2 | -86.8% |
| The Progressive Cor… (PGR) | 100 | 213.0 | +113.0% |
Price return only. Dividends and distributions are not included.
Quick Verdict: ROOT vs PGR
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: PGR leads in 5 of 7 categories, making it the strongest pick for profitability and margin quality and capital preservation and lower volatility. Root, Inc. is the stronger pick specifically for growth and revenue expansion and valuation and capital efficiency. As sector peers, any of these can serve as alternatives in the same allocation.
ROOT
Root, Inc.
The Insurance Pick
ROOT is the clearest fit if your priority is growth exposure.
- Rev growth 29.0%, EPS growth 22.4%, 3Y rev CAGR 69.6%
- 29.0% revenue growth vs PGR's 21.4%
- Better valuation composite
Best for: growth exposure
PGR
The Progressive Corporation
The Insurance Pick
PGR carries the broadest edge in this set and is the clearest fit for long-term compounding and sleep-well-at-night.
- 5.9% 10Y total return vs ROOT's -88.3%
- Lower volatility, beta -0.07, Low D/E 26.9%
- Combined ratio 0.9 vs ROOT's 1.0 (lower = better underwriting)
Best for: long-term compounding and sleep-well-at-night
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | ROOT | 29.0% revenue growth vs PGR's 21.4% |
| Value | ROOT | Better valuation composite |
| Quality / Margins | PGR | Combined ratio 0.9 vs ROOT's 1.0 (lower = better underwriting) |
| Stability / Safety | PGR | Lower D/E ratio (26.9% vs 50.8%) |
| Dividends | PGR | 0.6% yield; 1-year raise streak; the other pay no meaningful dividend |
| Momentum (1Y) | PGR | -26.8% vs ROOT's -59.3% |
| Efficiency (ROA) | PGR | 8.8% ROA vs ROOT's 3.7% |
ROOT vs PGR — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
FY 2024
ROOT vs PGR — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLPGRLAGGINGROOT
ROOTRoot, Inc.
1leads
PGRThe Progressive Corpo…
4leads
6 Total Categories
CATEGORYLEADERvs ROOTMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
PGR5/6
Valuation MetricsMultiples, price ratios, and targets
ROOT4/6
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
PGR6/8
Total Returns1Y, 3Y, 5Y total returns with dividends
PGR4/6
Risk & VolatilityBeta, volatility, and downside exposure
PGR2/2
Analyst OutlookRatings, price targets, and dividends
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—
Income & Cash Flow (Last 12 Months)
PGR leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
PGR is the larger business by revenue, generating $85.2B annually — 54.6x ROOT's $1.6B. PGR is the more profitable business, keeping 12.6% of every revenue dollar as net income compared to ROOT's 3.6%.
| Metric | ROOTRoot, Inc. | PGRThe Progressive C… |
|---|---|---|
| RevenueTrailing 12 months | $1.6B | $85.2B |
| EBITDAEarnings before interest/tax | $73M | $13.8B |
| Net IncomeAfter-tax profit | $56M | $10.7B |
| Free Cash FlowCash after capex | $181M | $17.0B |
| Gross MarginGross profit ÷ Revenue | +17.9% | +26.3% |
| Operating MarginEBIT ÷ Revenue | +4.1% | +15.9% |
| Net MarginNet income ÷ Revenue | +3.6% | +12.6% |
| FCF MarginFCF ÷ Revenue | +11.6% | +20.0% |
| Rev. Growth (YoY)Latest quarter vs prior year | +12.6% | +14.2% |
| EPS Growth (YoY)Latest quarter vs prior year | +95.3% | +12.1% |
PGR leads this category, winning 5 of 6 comparable metrics.
Valuation Metrics
ROOT leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
At 13.6x trailing earnings, PGR trades at a 46% valuation discount to ROOT's 25.4x P/E. On an enterprise value basis, ROOT's 5.9x EV/EBITDA is more attractive than PGR's 11.0x.
| Metric | ROOTRoot, Inc. | PGRThe Progressive C… |
|---|---|---|
| Market CapShares × price | $798M | $114.7B |
| Enterprise ValueMkt cap + debt − cash | $309M | $121.5B |
| Trailing P/EPrice ÷ TTM EPS | 25.41x | 13.59x |
| Forward P/EPrice ÷ next-FY EPS est. | 29.04x | 12.00x |
| PEG RatioP/E ÷ EPS growth rate | — | 0.83x |
| EV / EBITDAEnterprise value multiple | 5.88x | 11.05x |
| Price / SalesMarket cap ÷ Revenue | 0.53x | 1.52x |
| Price / BookPrice ÷ Book value/share | 2.47x | 4.50x |
| Price / FCFMarket cap ÷ FCF | 4.15x | 7.73x |
ROOT leads this category, winning 4 of 6 comparable metrics.
Profitability & Efficiency
PGR leads this category, winning 6 of 8 comparable metrics.
Profitability & Efficiency
PGR delivers a 30.2% return on equity — every $100 of shareholder capital generates $30 in annual profit, vs $15 for ROOT. PGR carries lower financial leverage with a 0.27x debt-to-equity ratio, signaling a more conservative balance sheet compared to ROOT's 0.51x. On the Piotroski fundamental quality scale (0–9), PGR scores 7/9 vs ROOT's 6/9, reflecting strong financial health.
| Metric | ROOTRoot, Inc. | PGRThe Progressive C… |
|---|---|---|
| ROE (TTM)Return on equity | +15.4% | +30.2% |
| ROA (TTM)Return on assets | +3.7% | +8.8% |
| ROICReturn on invested capital | — | +27.0% |
| ROCEReturn on capital employed | +3.8% | +11.0% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 7 |
| Debt / EquityFinancial leverage | 0.51x | 0.27x |
| Net DebtTotal debt minus cash | -$489M | $6.8B |
| Cash & Equiv.Liquid assets | $690M | $143M |
| Total DebtShort + long-term debt | $201M | $6.9B |
| Interest CoverageEBIT ÷ Interest expense | 1.86x | 49.44x |
PGR leads this category, winning 6 of 8 comparable metrics.
Total Returns (Dividends Reinvested)
PGR leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in PGR five years ago would be worth $20,726 today (with dividends reinvested), compared to $3,043 for ROOT. Over the past 12 months, PGR leads with a -26.8% total return vs ROOT's -59.3%. The 3-year compound annual growth rate (CAGR) favors ROOT at 117.4% vs PGR's 17.2% — a key indicator of consistent wealth creation.
| Metric | ROOTRoot, Inc. | PGRThe Progressive C… |
|---|---|---|
| YTD ReturnYear-to-date | -19.7% | -1.3% |
| 1-Year ReturnPast 12 months | -59.3% | -26.8% |
| 3-Year ReturnCumulative with dividends | +927.3% | +60.9% |
| 5-Year ReturnCumulative with dividends | -69.6% | +107.3% |
| 10-Year ReturnCumulative with dividends | -88.3% | +593.7% |
| CAGR (3Y)Annualised 3-year return | +117.4% | +17.2% |
PGR leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
PGR leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
PGR is the less volatile stock with a -0.07 beta — it tends to amplify market swings less than ROOT's 2.30 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. PGR currently trades 67.5% from its 52-week high vs ROOT's 34.9% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ROOTRoot, Inc. | PGRThe Progressive C… |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 2.30x | -0.07x |
| 52-Week HighHighest price in past year | $162.99 | $289.96 |
| 52-Week LowLowest price in past year | $40.91 | $192.02 |
| % of 52W HighCurrent price vs 52-week peak | +34.9% | +67.5% |
| RSI (14)Momentum oscillator 0–100 | 56.6 | 42.3 |
| Avg Volume (50D)Average daily shares traded | 330K | 2.6M |
PGR leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates ROOT as "Hold" and PGR as "Hold". Consensus price targets imply 31.8% upside for ROOT (target: $75) vs 17.6% for PGR (target: $230). PGR is the only dividend payer here at 0.59% yield — a key consideration for income-focused portfolios.
| Metric | ROOTRoot, Inc. | PGRThe Progressive C… |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Hold |
| Price TargetConsensus 12-month target | $75.00 | $230.27 |
| # AnalystsCovering analysts | 14 | 41 |
| Dividend YieldAnnual dividend ÷ price | — | +0.6% |
| Dividend StreakConsecutive years of raises | — | 1 |
| Dividend / ShareAnnual DPS | — | $1.15 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +0.6% |
Insufficient data to determine a leader in this category.
Key Takeaway
PGR leads in 4 of 6 categories (Income & Cash Flow, Profitability & Efficiency). ROOT leads in 1 (Valuation Metrics).
Best OverallThe Progressive Corporation (PGR)Leads 4 of 6 categories
Loading custom metrics...
ROOT vs PGR: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is ROOT or PGR a better buy right now?
For growth investors, Root, Inc.
(ROOT) is the stronger pick with 29. 0% revenue growth year-over-year, versus 21. 4% for The Progressive Corporation (PGR). The Progressive Corporation (PGR) offers the better valuation at 13. 6x trailing P/E (12. 0x forward), making it the more compelling value choice. Analysts rate Root, Inc. (ROOT) a "Hold" — based on 14 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — ROOT or PGR?
On trailing P/E, The Progressive Corporation (PGR) is the cheapest at 13.
6x versus Root, Inc. at 25. 4x. On forward P/E, The Progressive Corporation is actually cheaper at 12. 0x.
03Which is the better long-term investment — ROOT or PGR?
Over the past 5 years, The Progressive Corporation (PGR) delivered a total return of +107.
3%, compared to -69. 6% for Root, Inc. (ROOT). Over 10 years, the gap is even starker: PGR returned +593. 7% versus ROOT's -88. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — ROOT or PGR?
By beta (market sensitivity over 5 years), The Progressive Corporation (PGR) is the lower-risk stock at -0.
07β versus Root, Inc. 's 2. 30β — meaning ROOT is approximately -3374% more volatile than PGR relative to the S&P 500. On balance sheet safety, The Progressive Corporation (PGR) carries a lower debt/equity ratio of 27% versus 51% for Root, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — ROOT or PGR?
By revenue growth (latest reported year), Root, Inc.
(ROOT) is pulling ahead at 29. 0% versus 21. 4% for The Progressive Corporation (PGR). On earnings-per-share growth, the picture is similar: The Progressive Corporation grew EPS 118. 8% year-over-year, compared to 22. 4% for Root, Inc.. Over a 3-year CAGR, ROOT leads at 69. 6% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — ROOT or PGR?
The Progressive Corporation (PGR) is the more profitable company, earning 11.
3% net margin versus 2. 7% for Root, Inc. — meaning it keeps 11. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: PGR leads at 14. 2% versus 2. 7% for ROOT. At the gross margin level — before operating expenses — PGR leads at 27. 7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is ROOT or PGR more undervalued right now?
On forward earnings alone, The Progressive Corporation (PGR) trades at 12.
0x forward P/E versus 29. 0x for Root, Inc. — 17. 0x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for ROOT: 31. 8% to $75. 00.
08Which pays a better dividend — ROOT or PGR?
In this comparison, PGR (0.
6% yield) pays a dividend. ROOT does not pay a meaningful dividend and should not be held primarily for income.
09Is ROOT or PGR better for a retirement portfolio?
For long-horizon retirement investors, The Progressive Corporation (PGR) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β -0.
07), 0. 6% yield, +593. 7% 10Y return). Root, Inc. (ROOT) carries a higher beta of 2. 30 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (PGR: +593. 7%, ROOT: -88. 3%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between ROOT and PGR?
Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
PGR pays a dividend while ROOT does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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Revenue Growth>
%
(ROOT: 12.6% · PGR: 14.2%)Net Margin>
%
(ROOT: 3.6% · PGR: 12.6%)P/E Ratio<
x
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