Steps for rooting Moto E lollipop 5.0.2 :-
1.Install TWRP 2.8 recovery Download From Below Link
2.Download the supersu zip provided in the attatchment below.
3.Flash it in TWRP.
AFTER ROOTING YOU CAN MOVE APPS TO SD CARD …. i have tried Asphalt 8 and GAme of thrones on Lollipop…
#Things you need before rooting your Moto E
2.Download mfastboot-v2 install it on desktop content.
#Steps to Unlock Bootloder of Moto E.
Turn The device On again by holding volume down button and power key
for 5 sec and release it.You will see Boot loader will be open on the
screen.Like below image.
Hold the shift key and right click on the mouse the in any blank space
in that folder you will see open command window here click on that.
fastboot oem get_unlock_data
Now you will some some code in different line just copy that code in
notepad and delete all the blank space so that you will get a single
send via email to the email you logged in with to the Motorola site.
Code: fastboot oem unlock YOURKEY
12. Congratulation you Just unlocked you bootloader.
Now you need to Flash TWRP recovery in you Moto E.
Must see:How to make your Own EXE file
#Flash TWRP recovery in you Moto E
Then Turn On it gain By holding Volume button and power button at the
same time for 6 sec and release it you will again see the boot
loader.Now pug you device with yor PC.
fastboot flash recovery recovery.img
:recovery.img is the name of the twrp-22.214.171.124-condor.img recovery that you downloaded above
steps so you can rename according to the name of the file that you
paste in the tools folder.
7.You have successfully flashed TWRP Recovery in your Moto E running on android lollipop.
Now tap volume down button on your Moto E to highlight the recovery
option in the boot loader And Press volume Up button to select it.
9.In Recovery ,Select Install from sdcard Option using volume down button to navigate and power button to select it.
install zip from sdcard the select 0 (0 is the location of internal
storage ) and now select supersu.zip and flash it.
11.Now wait for few seconds until installation in progress.
12.Now Select advanced > reboot to bootloader.
13.Select reboot device.