Root, Inc. (ROOT) P/E Ratio History
Historical price-to-earnings valuation from 2024 to 2026
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ROOT Valuation Context
How does the current P/E compare to historical and market benchmarks?
P/E Ratio Analysis
As of May 7, 2026, Root, Inc. (ROOT) trades at a price-to-earnings ratio of 24.6x, with a stock price of $55.05 and trailing twelve-month earnings per share of $3.26.
The current P/E is 19% below its 5-year average of 30.2x. Over the past five years, ROOT's P/E has ranged from a low of 13.2x to a high of 42.5x, placing the current valuation at the 17th percentile of its historical range.
Compared to the Financial Services sector median P/E of 13.4x, ROOT trades at a 84% premium to its sector peers. The sector includes 774 companies with P/E ratios ranging from 0.0x to 195.8x.
Relative to the broader market, ROOT trades roughly in line with the S&P 500 median P/E of 25.2x. Investors should consider the company's growth prospects, competitive position, and earnings quality when evaluating whether the current valuation is justified.
For a comprehensive intrinsic value estimate using discounted cash flow analysis, see our ROOT DCF Valuation Calculator →
Note: P/E ratio is just one valuation metric. It does not account for balance sheet strength, cash flow quality, or growth sustainability. Always conduct comprehensive due diligence before making investment decisions.
ROOT P/E vs Peers
P/E ratio compared to closely matched public peers
| Company | Market Cap | P/E Ratio | PEG Ratio | EPS Growth (1Y) |
|---|---|---|---|---|
| $713M | 12.3 | - | +235%Best | |
| $115B | 13.7 | 0.83 | +119% | |
| $1B | 11.1 | - | +40% | |
| $2B | 14.3 | - | -53% | |
| $10B | 20.1 | 1.48 | -7% | |
| $34B | 8.1Lowest | 0.29Best | +4% | |
| $7B | 14.0 | 0.34 | +22% | |
| $2B | 316.1 | - | +112% |
Peers sorted by market capitalization. P/E below peers may indicate undervaluation or lower growth expectations. Consider PEG ratio for growth-adjusted comparison.
ROOT Historical P/E Data (2024–2026)
Quarterly P/E ratios calculated from closing price and TTM EPS
| Quarter | Date | Price | TTM EPS | P/E Ratio | vs Avg |
|---|---|---|---|---|---|
| FY2026 Q1 | $44.17 | $3.34 | 13.2x | -56% | |
| FY2025 Q4 | Wed Dec 31 2025 00:00:00 GM | $72.23 | $2.32 | 31.1x | +3% |
| FY2025 Q3 | $89.51 | $3.31 | 27.0x | -10% | |
| FY2025 Q2 | Mon Jun 30 2025 00:00:00 GM | $127.97 | $5.01 | 25.5x | -15% |
| FY2025 Q1 | Mon Mar 31 2025 00:00:00 GM | $133.44 | $3.20 | 41.7x | +38% |
| FY2024 Q4 | $72.59 | $1.71 | 42.5x | +41% |
Average P/E for displayed period: 30.2x
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Start ComparisonROOT — Frequently Asked Questions
Quick answers to the most common questions about buying ROOT stock.
Is ROOT stock overvalued or undervalued?
ROOT trades at 24.6x P/E, near its 5-year average of 30.2x. The 17th percentile ranking places valuation within normal historical bounds.
How does ROOT's valuation compare to peers?
Root, Inc. P/E of 24.6x compares to sector median of 13.4x. The premium reflects expected growth above peers.
What is ROOT's PEG ratio?
ROOT PEG ratio is N/A. Above 2.0 indicates premium valuation relative to growth rate. Historical P/E data spans 2024-2026.