Mercury General (NYSE:MCY) Releases Earnings Results, Beats Estimates By $1.10 EPS

Mercury General (NYSE:MCY) issued its earnings results on Tuesday. The insurance provider reported $3.66 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.56 by $1.10, FiscalAI reports. Mercury General had a return on equity of 19.53% and a net margin of 7.55%.The company had revenue of $1.54 billion for the quarter, compared to analysts’ expectations of $1.37 billion.

Mercury General Stock Performance

Shares of Mercury General stock traded up $2.84 during trading hours on Tuesday, hitting $96.31. 378,073 shares of the company’s stock traded hands, compared to its average volume of 230,633. The stock has a market capitalization of $5.33 billion, a price-to-earnings ratio of 12.15 and a beta of 0.94. Mercury General has a 12-month low of $47.06 and a 12-month high of $96.86. The company has a debt-to-equity ratio of 0.26, a current ratio of 0.45 and a quick ratio of 0.45. The company has a fifty day simple moving average of $91.33 and a 200-day simple moving average of $84.68.

Wall Street Analysts Forecast Growth

A number of research analysts have weighed in on MCY shares. Zacks Research lowered shares of Mercury General from a “strong-buy” rating to a “hold” rating in a research note on Friday, January 9th. Weiss Ratings restated a “buy (b-)” rating on shares of Mercury General in a report on Thursday, January 22nd. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and one has issued a Hold rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average price target of $100.00.

Institutional Trading of Mercury General

A number of large investors have recently added to or reduced their stakes in the stock. Kestra Advisory Services LLC bought a new stake in Mercury General during the 4th quarter valued at $102,000. EverSource Wealth Advisors LLC raised its stake in shares of Mercury General by 194.2% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,209 shares of the insurance provider’s stock valued at $81,000 after purchasing an additional 798 shares during the period. Smartleaf Asset Management LLC lifted its holdings in Mercury General by 186.7% during the 4th quarter. Smartleaf Asset Management LLC now owns 1,270 shares of the insurance provider’s stock worth $120,000 after purchasing an additional 827 shares in the last quarter. Advisory Services Network LLC purchased a new stake in Mercury General during the 3rd quarter worth about $115,000. Finally, denkapparat Operations GmbH bought a new position in Mercury General in the 4th quarter worth about $204,000. Hedge funds and other institutional investors own 42.39% of the company’s stock.

About Mercury General

Mercury General Corporation is a holding company headquartered in Los Angeles, California, that underwrites and markets property and casualty insurance products through its principal subsidiary, Mercury Insurance Company. Established in 1961, the company has built a reputation for offering a broad range of personal and commercial lines, with a focus on automobile coverage. Mercury General operates in key U.S. markets, deploying a mix of independent agents and direct distribution channels to serve policyholders.

The company’s product portfolio includes personal automobile insurance, homeowners and renters policies, as well as commercial automobile, business liability and umbrella insurance.