Mercer International Inc. (NASDAQ:MERC) Receives Consensus Rating of “Strong Sell” from Analysts

Shares of Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U) have received a consensus recommendation of “Strong Sell” from the six analysts that are presently covering the company, Marketbeat reports. Four equities research analysts have rated the stock with a sell recommendation and two have issued a hold recommendation on the company. The average 12 month price target among brokerages that have issued ratings on the stock in the last year is $1.13.

A number of research analysts have recently issued reports on the company. Wall Street Zen upgraded Mercer International from a “strong sell” rating to a “sell” rating in a research report on Saturday, August 15th. Canadian Imperial Bank of Commerce reduced their price objective on shares of Mercer International from $1.50 to $1.00 and set a “neutral” rating for the company in a research report on Tuesday, July 21st. Royal Bank Of Canada dropped their target price on shares of Mercer International from $1.00 to $0.75 and set a “sector perform” rating on the stock in a research report on Friday, July 17th. Weiss Ratings reissued a “sell (e+)” rating on shares of Mercer International in a research note on Wednesday, June 24th. Finally, TD reduced their price target on shares of Mercer International from $0.40 to $0.15 and set a “sell” rating for the company in a research report on Monday, August 10th.

Insider Buying and Selling

In other news, major shareholder Peter R. Kellogg bought 51,441 shares of Mercer International stock in a transaction on Friday, June 12th. The stock was acquired at an average price of $0.92 per share, with a total value of $47,325.72. Following the completion of the acquisition, the insider directly owned 1,385,672 shares of the company’s stock, valued at $1,274,818.24. The trade was a 3.86% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. In the last ninety days, insiders purchased 383,743 shares of company stock worth $331,665. 1.20% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. Empowered Funds LLC purchased a new position in Mercer International in the 2nd quarter valued at $67,000. Gamco Investors INC. ET AL purchased a new position in Mercer International in the 2nd quarter worth approximately $244,000. GSA Capital Partners LLP acquired a new position in shares of Mercer International during the 2nd quarter worth approximately $379,000. BlackRock Inc. acquired a new position in shares of Mercer International during the 2nd quarter worth approximately $798,000. Finally, Jump Financial LLC grew its position in shares of Mercer International by 340.6% in the second quarter. Jump Financial LLC now owns 276,837 shares of the basic materials company’s stock valued at $969,000 after purchasing an additional 214,008 shares in the last quarter. 85.79% of the stock is owned by institutional investors and hedge funds.

Mercer International Stock Performance

Shares of MERC stock opened at $0.43 on Monday. The company has a market capitalization of $28.50 million, a P/E ratio of -0.06 and a beta of 0.53. The business’s 50 day moving average is $0.65 and its two-hundred day moving average is $1.09. The company has a current ratio of 1.30, a quick ratio of 0.68 and a debt-to-equity ratio of 23.58. Mercer International has a 12-month low of $0.42 and a 12-month high of $3.38.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last issued its quarterly earnings data on Thursday, August 6th. The basic materials company reported ($1.13) EPS for the quarter, missing the consensus estimate of ($0.95) by ($0.18). The business had revenue of $460.28 million during the quarter, compared to analyst estimates of $476.00 million. Mercer International had a negative net margin of 27.86% and a negative return on equity of 352.57%. Analysts expect that Mercer International will post -3.19 EPS for the current fiscal year.

About Mercer International

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.