Mercury General (NYSE:MCY) Hits New 12-Month High – Still a Buy?

Shares of Mercury General Corporation (NYSE:MCY) hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $104.32 and last traded at $104.3270, with a volume of 20549 shares trading hands. The stock had previously closed at $102.67.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on MCY shares. Zacks Research upgraded shares of Mercury General from a “hold” rating to a “strong-buy” rating in a research note on Tuesday, May 26th. Wall Street Zen lowered Mercury General from a “strong-buy” rating to a “buy” rating in a report on Saturday, June 13th. Finally, Weiss Ratings reissued a “buy (b)” rating on shares of Mercury General in a research report on Thursday, June 4th. Two research analysts have rated the stock with a Strong Buy rating and one has assigned a Buy rating to the company. According to data from MarketBeat, the stock has an average rating of “Strong Buy” and a consensus price target of $100.00.

Mercury General Stock Up 1.4%

The company has a quick ratio of 0.44, a current ratio of 0.44 and a debt-to-equity ratio of 0.22. The firm has a 50 day simple moving average of $98.52 and a 200-day simple moving average of $93.18. The stock has a market cap of $5.77 billion, a P/E ratio of 6.87 and a beta of 0.91.

Mercury General (NYSE:MCY) last issued its earnings results on Tuesday, May 5th. The insurance provider reported $3.50 EPS for the quarter, topping the consensus estimate of $2.15 by $1.35. The company had revenue of $1.54 billion during the quarter, compared to the consensus estimate of $1.46 billion. Mercury General had a return on equity of 32.94% and a net margin of 13.68%. On average, equities research analysts forecast that Mercury General Corporation will post 11.38 earnings per share for the current fiscal year.

Mercury General Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, June 25th. Shareholders of record on Thursday, June 11th will be issued a $0.3175 dividend. This represents a $1.27 annualized dividend and a dividend yield of 1.2%. The ex-dividend date is Thursday, June 11th. Mercury General’s payout ratio is currently 8.37%.

Hedge Funds Weigh In On Mercury General

Several large investors have recently modified their holdings of the stock. Financial Management Professionals Inc. bought a new stake in shares of Mercury General during the 4th quarter worth about $25,000. Aster Capital Management DIFC Ltd bought a new position in Mercury General in the 3rd quarter valued at about $34,000. Jones Financial Companies Lllp lifted its position in Mercury General by 236.0% during the third quarter. Jones Financial Companies Lllp now owns 457 shares of the insurance provider’s stock worth $38,000 after acquiring an additional 321 shares during the last quarter. Hilton Head Capital Partners LLC acquired a new stake in Mercury General during the fourth quarter worth approximately $38,000. Finally, Mcguire Capital Advisors Inc. bought a new stake in shares of Mercury General during the fourth quarter worth approximately $40,000. 42.39% of the stock is owned by institutional investors.

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.