Roots (RROTF) Moat Score: 4/10 (As of Jul. 01, 2026)


RROTF Roots Corp RROTF
61 GF Score
Price $3.00
GF Value $2.22
Valuation Significantly Overvalued
! 3 Warning Signs
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What is Roots Moat Score?

Roots RROTF 61 Moat Score is 4 as of Jul. 01, 2026. GuruFocus rates RROTF with a GF Score™ of 61/100 and a GF Value™ of $2.22 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 1,118 Retail - Cyclical companies, Roots ranks better than 88.64% on this metric.

Roots has the Moat Score of 4, which implies that the company might have Narrow Moat - Discernible but modest moat.

Roots has Narrow Moat: Roots Corp has a modest moat with a recognizable brand and customer loyalty in the apparel sector. It benefits from some economies of scale, but intense competition and limited pricing power prevent it from achieving a stronger moat.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Roots might have Narrow Moat - Discernible but modest moat.

Roots  (OTCPK:RROTF) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Roots Moat Score Related Terms

RROTF vs TJX, ROST, BURL: Moat Score Comparison

For the Apparel Retail subindustry, Roots's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Roots Moat Score vs Retail - Cyclical Industry

For the Retail - Cyclical industry and Consumer Cyclical sector, Roots's Moat Score distribution charts can be found below:

* The bar in red indicates where Roots's Moat Score falls into.


RROTF
61GF Score
Roots Corp RROTF
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 4 mean?
Roots (RROTF) has a Moat Score of 4 as of Jul. 01, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Roots ranks #127 out of 1118 companies in the Retail - Cyclical industry, placing it in the top 11.4%.
Is Roots' Moat Score too high?
Roots' current Moat Score is 4. Based on the distribution chart, Roots ranks #127 out of 1118 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Roots has a GF Score™ of 61/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Roots' Moat Score compare to TJX and ROST?
According to the Retail - Cyclical industry distribution chart, Roots ranks #127 out of 1118 companies for Moat Score. This places Roots in the top 11% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Retail - Cyclical company?
A good Moat Score depends on the Retail - Cyclical industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Roots's current Moat Score is 4. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Roots stock overvalued right now?
Based on GuruFocus' analysis, Roots (RROTF) is currently considered Significantly Overvalued. The stock's GF Value™ is $2.22, compared to a current price of $3.00 — trading 35.1% above its estimated fair value. The current Moat Score is 4. Roots' overall GF Score™ is 61/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Roots (RROTF), the current Moat Score is 4 as of Jul. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Roots (RROTF) Overvalued in 2026?

Based on GuruFocus' analysis, Roots stock appears to be overvalued. The current stock price of $3.00 is trading 35.1% above its estimated GF Value™ of $2.22. GuruFocus considers Roots to be Significantly Overvalued.

Key valuation signals for RROTF:

  • Moat Score: 4
  • GF Value™: $2.22 vs. price of $3.00 (35.1% above fair value)
  • GF Score™: 61/100 with 3 warning signs

No single metric tells the full story. See the RROTF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Roots Business Description

Other Exchanges 4RO:GermanyROOT:Canada
Address 1400 Castlefield Avenue, Toronto, ON, CAN, M6B 4C4
Roots Corp provides a portfolio of apparel, leather goods, accessories, and footwear for men, women, and children under the Roots brand. Its merchandise includes genuine leather, such as jackets, bags, kids & baby clothing, and leather, linens, towels, and accessories. The company operates through two segments: Direct-To-Consumer (DTC), which accounts for the majority of revenue, and Partners and Other. The DTC segment sells products through the company's corporate retail stores and e-commerce website, and the Partners and Other segment engages in the wholesale of Roots-branded products to the company's international operating partners, and it earns royalties on the retail sales of Roots-branded products.
61GF Score

Get the complete analysis for RROTF

Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$3.00
Price
$2.22
GF Value