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

Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U) has received an average rating of “Strong Sell” from the six brokerages that are presently covering the stock, Marketbeat reports. Four research analysts have rated the stock with a sell rating and two have assigned a hold rating to the company. The average 1-year price objective among brokerages that have issued ratings on the stock in the last year is $1.20.

Several equities analysts have recently issued reports on MERC shares. Royal Bank Of Canada reduced their target price on Mercer International from $1.00 to $0.75 and set a “sector perform” rating for the company in a report on Friday, July 17th. Weiss Ratings reissued a “sell (e+)” rating on shares of Mercer International in a research report on Wednesday, June 24th. Canadian Imperial Bank of Commerce reduced their price objective on Mercer International from $1.50 to $1.00 and set a “neutral” rating for the company in a research note on Tuesday, July 21st. Wall Street Zen lowered Mercer International from a “sell” rating to a “strong sell” rating in a research report on Saturday, July 18th. Finally, TD reissued a “sell” rating on shares of Mercer International in a report on Tuesday, July 14th.

Insider Buying and Selling

In related news, major shareholder Peter R. Kellogg bought 51,441 shares of the company’s stock in a transaction on Friday, June 12th. The shares were purchased at an average cost of $0.92 per share, for a total transaction of $47,325.72. Following the completion of the purchase, the insider directly owned 1,385,672 shares in the company, valued at $1,274,818.24. The trade was a 3.86% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this link. Insiders have bought a total of 1,383,743 shares of company stock valued at $1,264,565 over the last 90 days. Insiders own 1.20% of the company’s stock.

Institutional Investors Weigh In On Mercer International

Hedge funds have recently modified their holdings of the stock. Gamco Investors INC. ET AL purchased a new position in Mercer International in the second quarter valued at approximately $244,000. Jump Financial LLC grew its holdings in Mercer International by 340.6% during 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 during the period. Geode Capital Management LLC increased its position in Mercer International by 2.7% in the fourth 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 during the last quarter. Gabelli Funds LLC purchased a new stake in Mercer International in the second quarter worth $1,804,000. Finally, Millennium Management LLC raised its stake in shares of Mercer International by 16.1% in the third quarter. Millennium Management LLC now owns 994,974 shares of the basic materials company’s stock valued at $2,866,000 after buying an additional 137,906 shares during the period. Institutional investors own 85.79% of the company’s stock.

Mercer International Stock Down 11.2%

Mercer International stock opened at $0.60 on Thursday. Mercer International has a fifty-two week low of $0.53 and a fifty-two week high of $4.31. The company has a debt-to-equity ratio of 23.58, a quick ratio of 1.22 and a current ratio of 2.17. The firm’s 50-day simple moving average is $0.78 and its 200 day simple moving average is $1.31. The stock has a market cap of $40.52 million, a PE ratio of -0.08 and a beta of 0.52.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last posted its quarterly earnings data 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). Mercer International had a negative net margin of 28.51% and a negative return on equity of 136.20%. The firm had revenue of $489.30 million during the quarter, compared to analysts’ expectations of $493.00 million. Research analysts predict that Mercer International will post -3.1 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.