Root upgraded to Buy from Hold at Jefferies

Jefferies analyst Yaron Kinar upgraded Root to Buy from Hold with a price target of $40, up from $10. The analyst says the company executed a “better-than-industry” target loss ratio this quarter, setting a path to profitable growth, market share gains and scalability for a viable business model. Lower cessions are resulting in scale and greater retained economics on improved underlying business, the analyst tells investors in a research note.