Mercer International Inc. (NASDAQ:MERC) Given Average Rating of “Strong Sell” by Analysts

Shares of Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U) have earned an average rating of “Strong Sell” from the six analysts that are currently covering the firm, MarketBeat reports. Four analysts have rated the stock with a sell rating and two have assigned a hold rating to the company. The average 12-month target price among brokerages that have issued ratings on the stock in the last year is $1.85.

Several research analysts have recently commented on MERC shares. Royal Bank Of Canada reduced their target price on Mercer International from $1.25 to $1.00 and set a “sector perform” rating on the stock in a report on Monday, May 11th. Weiss Ratings reissued a “sell (e+)” rating on shares of Mercer International in a report on Friday, March 27th. TD Securities downgraded Mercer International from a “hold” rating to a “strong sell” rating in a report on Wednesday, February 18th. Finally, TD reduced their target price on Mercer International from $1.00 to $0.50 and set a “sell” rating on the stock in a report on Monday, May 11th.

Mercer International Stock Down 10.1%

NASDAQ MERC opened at $0.89 on Wednesday. The company has a current ratio of 2.17, a quick ratio of 1.22 and a debt-to-equity ratio of 23.58. The stock’s 50 day moving average is $1.02 and its two-hundred day moving average is $1.60. The company has a market capitalization of $59.75 million, a price-to-earnings ratio of -0.11 and a beta of 0.47. Mercer International has a 1-year low of $0.75 and a 1-year high of $4.47.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last announced its earnings results on Thursday, May 7th. The basic materials company reported ($0.78) EPS for the quarter, missing the consensus estimate of ($0.74) by ($0.04). The business had revenue of $489.30 million during the quarter, compared to analyst estimates of $493.00 million. Mercer International had a negative return on equity of 136.20% and a negative net margin of 28.51%. Equities analysts forecast that Mercer International will post -2.21 earnings per share for the current fiscal year.

Insider Transactions at Mercer International

In other news, major shareholder Peter R. Kellogg acquired 380,000 shares of Mercer International stock in a transaction on Monday, May 18th. The shares were purchased at an average price of $0.96 per share, with a total value of $364,800.00. Following the acquisition, the insider owned 1,852,000 shares in the company, valued at $1,777,920. This represents a 25.82% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Over the last 90 days, insiders acquired 1,000,000 shares of company stock worth $932,900. 1.00% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Iat Reinsurance Co. LTD. lifted its holdings in Mercer International by 1.3% during the 3rd quarter. Iat Reinsurance Co. LTD. now owns 16,700,000 shares of the basic materials company’s stock worth $48,096,000 after buying an additional 220,000 shares in the last quarter. Millennium Management LLC lifted its holdings in Mercer International by 16.1% during the 3rd quarter. Millennium Management LLC now owns 994,974 shares of the basic materials company’s stock worth $2,866,000 after buying an additional 137,906 shares in the last quarter. Geode Capital Management LLC lifted its holdings in Mercer International by 2.7% during the 4th quarter. Geode Capital Management LLC now owns 561,001 shares of the basic materials company’s stock worth $1,111,000 after buying an additional 14,603 shares in the last quarter. Gabelli Funds LLC acquired a new position in Mercer International during the 2nd quarter worth $1,804,000. Finally, Jump Financial LLC lifted its holdings in Mercer International by 340.6% during the 2nd quarter. Jump Financial LLC now owns 276,837 shares of the basic materials company’s stock worth $969,000 after buying an additional 214,008 shares in the last quarter. Institutional investors and hedge funds own 85.79% of the company’s stock.

Mercer International Company Profile

Mercer International Inc is a publicly traded pulp producer headquartered in Vancouver, British Columbia. Listed on the NASDAQ under the symbol MERC, the company specializes in the manufacture of Northern Bleached Softwood Kraft (NBSK) pulp and dissolving pulp for use in tissue, specialty paper and textile applications.

Mercer’s core business activities include the operation of integrated pulp mills in North America and Europe. Its production portfolio encompasses NBSK pulp, renowned for its strength and versatility, and dissolving pulp, which serves as a key raw material in the manufacture of viscose, cellulose acetate and other specialty products.

The company’s facilities are located in British Columbia and the U.S.