StockNews.com Downgrades Mercer International (NASDAQ:MERC) to Sell

Mercer International (NASDAQ:MERC) (TSE:MRI.U) was downgraded by equities researchers at StockNews.com from a “hold” rating to a “sell” rating in a research note issued on Wednesday.

A number of other research firms have also weighed in on MERC. CIBC cut their price objective on shares of Mercer International from $10.00 to $8.50 and set a “neutral” rating for the company in a research report on Tuesday, August 13th. Royal Bank of Canada lowered their target price on shares of Mercer International from $10.00 to $8.00 and set a “sector perform” rating for the company in a research note on Monday, August 12th. One investment analyst has rated the stock with a sell rating and four have assigned a hold rating to the stock. According to data from MarketBeat.com, Mercer International has a consensus rating of “Hold” and an average target price of $9.38.

Mercer International Price Performance

Shares of NASDAQ:MERC opened at $6.35 on Wednesday. The company has a debt-to-equity ratio of 3.22, a quick ratio of 2.17 and a current ratio of 3.46. The business’s fifty day moving average price is $6.56 and its two-hundred day moving average price is $8.44. The stock has a market cap of $424.62 million, a PE ratio of -1.85 and a beta of 1.34. Mercer International has a one year low of $5.33 and a one year high of $11.20.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last posted its quarterly earnings data on Thursday, August 8th. The basic materials company reported ($0.50) EPS for the quarter, missing analysts’ consensus estimates of ($0.42) by ($0.08). Mercer International had a negative net margin of 9.90% and a negative return on equity of 17.93%. The company had revenue of $499.40 million for the quarter, compared to analyst estimates of $482.35 million. During the same period in the previous year, the business earned ($1.48) EPS. The firm’s revenue was down 5.8% on a year-over-year basis. On average, analysts forecast that Mercer International will post -1.15 EPS for the current fiscal year.

Insider Activity at Mercer International

In related news, CEO Estrada Juan Carlos Bueno purchased 7,800 shares of the business’s stock in a transaction on Friday, September 13th. The shares were bought at an average price of $6.60 per share, with a total value of $51,480.00. Following the completion of the purchase, the chief executive officer now directly owns 67,615 shares in the company, valued at approximately $446,259. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. In other Mercer International news, Director Rainer Rettig purchased 5,000 shares of the business’s stock in a transaction that occurred on Monday, September 9th. The shares were purchased at an average price of $6.24 per share, for a total transaction of $31,200.00. Following the completion of the acquisition, the director now owns 42,463 shares of the company’s stock, valued at approximately $264,969.12. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CEO Estrada Juan Carlos Bueno acquired 7,800 shares of the firm’s stock in a transaction on Friday, September 13th. The shares were acquired at an average price of $6.60 per share, with a total value of $51,480.00. Following the completion of the purchase, the chief executive officer now owns 67,615 shares of the company’s stock, valued at $446,259. The disclosure for this purchase can be found here. Over the last three months, insiders purchased 41,300 shares of company stock worth $252,650. 4.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On Mercer International

A number of hedge funds have recently made changes to their positions in the business. SG Americas Securities LLC boosted its position in Mercer International by 26.5% during the 1st quarter. SG Americas Securities LLC now owns 51,201 shares of the basic materials company’s stock worth $509,000 after purchasing an additional 10,713 shares during the period. Russell Investments Group Ltd. purchased a new stake in shares of Mercer International in the first quarter worth about $193,000. Finally, Everence Capital Management Inc. acquired a new stake in shares of Mercer International in the first quarter valued at about $261,000. Hedge funds and other institutional investors own 85.79% of the company’s stock.

Mercer International Company Profile

Mercer International Inc, together with its subsidiaries, manufactures and sells northern bleached softwood kraft (NBSK) and northern bleached hardwood kraft (NBHK) pulp worldwide. The company operates through two segments, Pulp and Solid Wood. It manufactures, sells, and distributes pulp, electricity, and chemicals through pulp mills.