Why Root Was a Flop on Friday
Shares of next-generation auto insurance company Root (NASDAQ: ROOT) crumpled by nearly 18% on Friday. The company released its fourth-quarter 2020 results following market close on Thursday, and they didn't make investors feel too secure.
Despite a 37% year-over-year increase in direct written premiums, Root's total revenue fell by over 50% to $50.9 million from the year-ago quarter's tally of $106.5 million. The net loss deepened to $133 million, or $0.72 per share, from the year-ago deficit of $85 million.
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Source Fool.com
