ROOTRoot, Inc.

Fire, Marine & Casualty Insurance

Revenue: $1.5B; 29% YoY
Operating margin: 4.1%; 39% YoY
EBITDA: $62M; 22% YoY
Market cap: $2.2B
Employees: 1,256; $1M revenue each
Net debt / EBITDA: -5.0×; −$312M net debt
AI in 10-K: 4.2; mentions per 10K words

Takeover score 3 of 13

Fixable underperformance 1 of 7

TSR below peersYes
5 of 5 years
3+ of last 5 years
High CEO pay despite TSRNo
$8M median
Median CEO pay ≥ $15M while TSR trails
Earnings not backed by cashNo
516% of net income
Cash flow under 80% of net income
Dilutive SBCNo
3% of revenue
Over 10% of revenue
Payouts exceed cash flowNo
0% of cash flow
Buybacks + dividends over cash flow
Goodwill-heavyNo
—
Over 40% of assets
Shareholder dissentNo
85% lowest support
Any vote under 80% support

Buyer economics 2 of 4

Low revenue per employeeNo
$1M · 39th pct
Bottom quartile of its SIC industry
Quiet on AINo
4.2 per 10K words · 79th pct
Bottom quartile of AI mentions in 10-Ks
Net cashYes
Net cash · 5.0× EBITDA
More cash than debt, positive EBITDA
Buyout-sizedYes
$2.2B market cap
Market cap $500M–$5B

Catalysts 0 of 2

Active 13DNo
0 filings
Active-intent 13D in 18 months
Net insider sellingNo
−$3M net
Net sales over $10M in 12 months

Financials

Metric	FY2021	FY2022	FY2023	FY2024	FY2025	YoY	Trend
Revenue	$345M	$311M	$455M	$1.2B	$1.5B	29%
Operating income	−$485M	−$263M	−$101M	$79M	$62M	21%
Net income	−$521M	−$298M	−$147M	$31M	$40M	29%
Operating cash flow	−$403M	−$211M	−$34M	$196M	$207M	5.5%
Capex	$5M	$0	$200K	$400K	$0	100%
Stock-based comp	$19M	$31M	$17M	$19M	$40M	117%
Buybacks	$0	$0	—	—	—

Deal filings

None.

13D filers

Filed	Filer	Form	Stake	Intent
Sep 2, 2026	CARVANA GROUP, LLC	SCHEDULE 13D/A	5.4%	Passive
Mar 3, 2026	CARVANA GROUP, LLC	SCHEDULE 13D/A	21.2%	Passive
Sep 2, 2025	CARVANA GROUP, LLC	SCHEDULE 13D/A	14.0%	Passive
Aug 8, 2025	CARVANA GROUP, LLC	SCHEDULE 13D/A	36.9%	Passive
May 13, 2025	CARVANA GROUP, LLC	SCHEDULE 13D/A	39.7%	Passive
Aug 9, 2024	CARVANA GROUP, LLC	SC 13D/A	42.9%	Passive
May 7, 2024	CARVANA GROUP, LLC	SC 13D/A	44.5%	Passive
Nov 15, 2023	CARVANA GROUP, LLC	SC 13D/A	39.8%	Passive
Nov 15, 2023	Silver Lake Group, L.L.C.	SC 13D/A	0.0%	Passive
Sep 1, 2023	CARVANA GROUP, LLC	SC 13D/A	24.9%	Passive

Insider trading

Open-market buys, 12 mo: $0 · 0
Open-market sells, 12 mo: $3M · 13
Net: −$3M

Pay vs performance

Year	CEO total comp	Comp actually paid	TSR (indexed)	Peer TSR
FY2025	$8M	$14M	26	87
FY2024	$11M	$34M	26	92
FY2023	$9M	$10M	4	61
FY2022	$5M	−$3M	2	51
FY2021	$6M	−$25M	20	83