ROOT
Root, Inc.
Insurance - Property & Casualty
Market Cap$798M
5Y Perf.-86.8%
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Stock Comparison
ROOT vs SAFT
Revenue, margins, valuation, and 5-year total return — side by side.
SAFT
Safety Insurance Group, Inc.
Insurance - Property & Casualty
Market Cap$1.07B
5Y Perf.+4.1%
ROOT vs SAFT — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ROOT | SAFT |
|---|---|---|
| Industry | Insurance - Property & Casualty | Insurance - Property & Casualty |
| Market Cap | $798M | $1.07B |
| Revenue (TTM) | $1.56B | $1.25B |
| Net Income (TTM) | $56M | $99M |
| Gross Margin | 17.9% | 36.4% |
| Operating Margin | 4.1% | 10.1% |
| Forward P/E | 29.0x | 10.8x |
| Total Debt | $201M | $62M |
| Cash & Equiv. | $690M | $74M |
ROOT vs SAFT — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
ROOT
SAFT
| Stock | Oct 20 | May 26 | Return |
|---|---|---|---|
| Root, Inc. (ROOT) | 100 | 13.2 | -86.8% |
| Safety Insurance Gr… (SAFT) | 100 | 104.1 | +4.1% |
Price return only. Dividends and distributions are not included.
Quick Verdict: ROOT vs SAFT
Each card shows where this stock fits in a portfolio — not just who wins on paper.
Bottom line: SAFT leads in 6 of 7 categories, making it the strongest pick for valuation and capital efficiency and profitability and margin quality. Root, Inc. is the stronger pick specifically for growth and revenue expansion. 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 SAFT's 13.0%
Best for: growth exposure
SAFT
Safety Insurance Group, Inc.
The Insurance Pick
SAFT carries the broadest edge in this set and is the clearest fit for income & stability and long-term compounding.
- Dividend streak 3 yrs, beta 0.27, yield 5.0%
- 79.1% 10Y total return vs ROOT's -88.3%
- Lower volatility, beta 0.27, Low D/E 6.9%, current ratio 0.84x
Best for: income & stability and long-term compounding
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | ROOT | 29.0% revenue growth vs SAFT's 13.0% |
| Value | SAFT | Lower P/E (10.8x vs 29.0x) |
| Quality / Margins | SAFT | Combined ratio 0.9 vs ROOT's 1.0 (lower = better underwriting) |
| Stability / Safety | SAFT | Beta 0.27 vs ROOT's 2.30, lower leverage |
| Dividends | SAFT | 5.0% yield; 3-year raise streak; the other pay no meaningful dividend |
| Momentum (1Y) | SAFT | -0.6% vs ROOT's -59.3% |
| Efficiency (ROA) | SAFT | 4.1% ROA vs ROOT's 3.7% |
ROOT vs SAFT — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
Segment breakdown not available.
FY 2017
ROOT vs SAFT — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
BEST OVERALLSAFTLAGGINGROOT
ROOTRoot, Inc.
0leads
SAFTSafety Insurance Grou…
4leads
6 Total Categories
CATEGORYLEADERvs ROOTMETRICS WON
Income & Cash FlowRevenue, margins, and cash flow strength
SAFT5/6
Valuation MetricsMultiples, price ratios, and targets
Tied
—
Profitability & EfficiencyROE, ROIC, leverage, and quality scores
SAFT6/8
Total Returns1Y, 3Y, 5Y total returns with dividends
SAFT4/6
Risk & VolatilityBeta, volatility, and downside exposure
SAFT2/2
Analyst OutlookRatings, price targets, and dividends
—
—
Income & Cash Flow (Last 12 Months)
SAFT leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
ROOT and SAFT operate at a comparable scale, with $1.6B and $1.3B in trailing revenue. Profitability is closely matched — net margins range from 7.9% (SAFT) to 3.6% (ROOT).
| Metric | ROOTRoot, Inc. | SAFTSafety Insurance … |
|---|---|---|
| RevenueTrailing 12 months | $1.6B | $1.3B |
| EBITDAEarnings before interest/tax | $73M | $138M |
| Net IncomeAfter-tax profit | $56M | $99M |
| Free Cash FlowCash after capex | $181M | $192M |
| Gross MarginGross profit ÷ Revenue | +17.9% | +36.4% |
| Operating MarginEBIT ÷ Revenue | +4.1% | +10.1% |
| Net MarginNet income ÷ Revenue | +3.6% | +7.9% |
| FCF MarginFCF ÷ Revenue | +11.6% | +15.3% |
| Rev. Growth (YoY)Latest quarter vs prior year | +12.6% | +10.7% |
| EPS Growth (YoY)Latest quarter vs prior year | +95.3% | +149.1% |
SAFT leads this category, winning 5 of 6 comparable metrics.
Valuation Metrics
Evenly matched — ROOT and SAFT each lead in 3 of 6 comparable metrics.
Valuation Metrics
At 10.9x trailing earnings, SAFT trades at a 57% valuation discount to ROOT's 25.4x P/E. On an enterprise value basis, ROOT's 5.9x EV/EBITDA is more attractive than SAFT's 8.3x.
| Metric | ROOTRoot, Inc. | SAFTSafety Insurance … |
|---|---|---|
| Market CapShares × price | $798M | $1.1B |
| Enterprise ValueMkt cap + debt − cash | $309M | $1.1B |
| Trailing P/EPrice ÷ TTM EPS | 25.41x | 10.88x |
| Forward P/EPrice ÷ next-FY EPS est. | 29.04x | 10.80x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 5.88x | 8.25x |
| Price / SalesMarket cap ÷ Revenue | 0.53x | 0.85x |
| Price / BookPrice ÷ Book value/share | 2.47x | 1.20x |
| Price / FCFMarket cap ÷ FCF | 4.15x | 5.57x |
Evenly matched — ROOT and SAFT each lead in 3 of 6 comparable metrics.
Profitability & Efficiency
SAFT leads this category, winning 6 of 8 comparable metrics.
Profitability & Efficiency
ROOT delivers a 15.4% return on equity — every $100 of shareholder capital generates $15 in annual profit, vs $11 for SAFT. SAFT carries lower financial leverage with a 0.07x debt-to-equity ratio, signaling a more conservative balance sheet compared to ROOT's 0.51x. On the Piotroski fundamental quality scale (0–9), SAFT scores 7/9 vs ROOT's 6/9, reflecting strong financial health.
| Metric | ROOTRoot, Inc. | SAFTSafety Insurance … |
|---|---|---|
| ROE (TTM)Return on equity | +15.4% | +11.3% |
| ROA (TTM)Return on assets | +3.7% | +4.1% |
| ROICReturn on invested capital | — | +11.2% |
| ROCEReturn on capital employed | +3.8% | +15.8% |
| Piotroski ScoreFundamental quality 0–9 | 6 | 7 |
| Debt / EquityFinancial leverage | 0.51x | 0.07x |
| Net DebtTotal debt minus cash | -$489M | -$12M |
| Cash & Equiv.Liquid assets | $690M | $74M |
| Total DebtShort + long-term debt | $201M | $62M |
| Interest CoverageEBIT ÷ Interest expense | 1.86x | 83.80x |
SAFT leads this category, winning 6 of 8 comparable metrics.
Total Returns (Dividends Reinvested)
SAFT leads this category, winning 4 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in SAFT five years ago would be worth $10,574 today (with dividends reinvested), compared to $3,043 for ROOT. Over the past 12 months, SAFT leads with a -0.6% total return vs ROOT's -59.3%. The 3-year compound annual growth rate (CAGR) favors ROOT at 117.4% vs SAFT's 6.2% — a key indicator of consistent wealth creation.
| Metric | ROOTRoot, Inc. | SAFTSafety Insurance … |
|---|---|---|
| YTD ReturnYear-to-date | -19.7% | -2.5% |
| 1-Year ReturnPast 12 months | -59.3% | -0.6% |
| 3-Year ReturnCumulative with dividends | +927.3% | +19.8% |
| 5-Year ReturnCumulative with dividends | -69.6% | +5.7% |
| 10-Year ReturnCumulative with dividends | -88.3% | +79.1% |
| CAGR (3Y)Annualised 3-year return | +117.4% | +6.2% |
SAFT leads this category, winning 4 of 6 comparable metrics.
Risk & Volatility
SAFT leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
SAFT is the less volatile stock with a 0.27 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. SAFT currently trades 86.5% 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. | SAFTSafety Insurance … |
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 2.30x | 0.27x |
| 52-Week HighHighest price in past year | $162.99 | $84.20 |
| 52-Week LowLowest price in past year | $40.91 | $67.04 |
| % of 52W HighCurrent price vs 52-week peak | +34.9% | +86.5% |
| RSI (14)Momentum oscillator 0–100 | 56.6 | 45.1 |
| Avg Volume (50D)Average daily shares traded | 330K | 84K |
SAFT 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 SAFT as "Hold". SAFT is the only dividend payer here at 5.01% yield — a key consideration for income-focused portfolios.
| Metric | ROOTRoot, Inc. | SAFTSafety Insurance … |
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Hold |
| Price TargetConsensus 12-month target | $75.00 | — |
| # AnalystsCovering analysts | 14 | 3 |
| Dividend YieldAnnual dividend ÷ price | — | +5.0% |
| Dividend StreakConsecutive years of raises | — | 3 |
| Dividend / ShareAnnual DPS | — | $3.65 |
| Buyback YieldShare repurchases ÷ mkt cap | 0.0% | +1.9% |
Insufficient data to determine a leader in this category.
Key Takeaway
SAFT leads in 4 of 6 categories — strongest in Income & Cash Flow and Profitability & Efficiency. 1 category is tied.
Best OverallSafety Insurance Group, Inc. (SAFT)Leads 4 of 6 categories
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ROOT vs SAFT: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is ROOT or SAFT a better buy right now?
For growth investors, Root, Inc.
(ROOT) is the stronger pick with 29. 0% revenue growth year-over-year, versus 13. 0% for Safety Insurance Group, Inc. (SAFT). Safety Insurance Group, Inc. (SAFT) offers the better valuation at 10. 9x trailing P/E (10. 8x 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 SAFT?
On trailing P/E, Safety Insurance Group, Inc.
(SAFT) is the cheapest at 10. 9x versus Root, Inc. at 25. 4x. On forward P/E, Safety Insurance Group, Inc. is actually cheaper at 10. 8x.
03Which is the better long-term investment — ROOT or SAFT?
Over the past 5 years, Safety Insurance Group, Inc.
(SAFT) delivered a total return of +5. 7%, compared to -69. 6% for Root, Inc. (ROOT). Over 10 years, the gap is even starker: SAFT returned +79. 1% 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 SAFT?
By beta (market sensitivity over 5 years), Safety Insurance Group, Inc.
(SAFT) is the lower-risk stock at 0. 27β versus Root, Inc. 's 2. 30β — meaning ROOT is approximately 749% more volatile than SAFT relative to the S&P 500. On balance sheet safety, Safety Insurance Group, Inc. (SAFT) carries a lower debt/equity ratio of 7% versus 51% for Root, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — ROOT or SAFT?
By revenue growth (latest reported year), Root, Inc.
(ROOT) is pulling ahead at 29. 0% versus 13. 0% for Safety Insurance Group, Inc. (SAFT). On earnings-per-share growth, the picture is similar: Safety Insurance Group, Inc. grew EPS 40. 2% 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 SAFT?
Safety Insurance Group, Inc.
(SAFT) is the more profitable company, earning 7. 9% net margin versus 2. 7% for Root, Inc. — meaning it keeps 7. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: SAFT leads at 10. 1% versus 2. 7% for ROOT. At the gross margin level — before operating expenses — SAFT leads at 36. 4%, 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 SAFT more undervalued right now?
On forward earnings alone, Safety Insurance Group, Inc.
(SAFT) trades at 10. 8x forward P/E versus 29. 0x for Root, Inc. — 18. 2x cheaper on a one-year earnings basis.
08Which pays a better dividend — ROOT or SAFT?
In this comparison, SAFT (5.
0% yield) pays a dividend. ROOT does not pay a meaningful dividend and should not be held primarily for income.
09Is ROOT or SAFT better for a retirement portfolio?
For long-horizon retirement investors, Safety Insurance Group, Inc.
(SAFT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 27), 5. 0% yield). 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 (SAFT: +79. 1%, 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 SAFT?
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.
In terms of investment character: ROOT is a small-cap high-growth stock; SAFT is a small-cap deep-value stock. SAFT 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% · SAFT: 10.7%)Net Margin>
%
(ROOT: 3.6% · SAFT: 7.9%)P/E Ratio<
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