Royal Bank Of Canada Has Lowered Expectations for Mercer International (NASDAQ:MERC) Stock Price

Mercer International (NASDAQ:MERC) (TSE:MRI.U) had its price target lowered by equities research analysts at Royal Bank Of Canada from $1.00 to $0.75 in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a “sector perform” rating on the basic materials company’s stock. Royal Bank Of Canada’s price objective points to a potential upside of 15.38% from the stock’s current price.

MERC has been the subject of a number of other reports. TD reissued a “sell” rating on shares of Mercer International in a report on Tuesday. Wall Street Zen raised Mercer International from a “strong sell” rating to a “sell” rating in a research note on Saturday, June 20th. Finally, Weiss Ratings reiterated a “sell (e+)” rating on shares of Mercer International in a research report on Wednesday, June 24th. Two research analysts have rated the stock with a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Strong Sell” and an average target price of $1.80.

Mercer International Stock Performance

MERC stock traded down $0.02 during mid-day trading on Friday, reaching $0.65. The company had a trading volume of 194,201 shares, compared to its average volume of 604,940. The stock’s 50-day simple moving average is $0.82 and its two-hundred day simple moving average is $1.41. The stock has a market capitalization of $43.54 million, a P/E ratio of -0.08 and a beta of 0.52. The company has a quick ratio of 1.22, a current ratio of 2.17 and a debt-to-equity ratio of 23.58. Mercer International has a one year low of $0.53 and a one year high of $4.47.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last posted its earnings results on Thursday, May 7th. The basic materials company reported ($0.78) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 for the quarter, compared to analyst estimates of $493.00 million. Research analysts anticipate that Mercer International will post -2.21 EPS for the current year.

Insiders Place Their Bets

In other news, major shareholder Peter R. Kellogg purchased 51,441 shares of the firm’s stock in a transaction on Friday, June 12th. The stock was purchased at an average cost of $0.92 per share, with a total value of $47,325.72. Following the purchase, the insider owned 1,385,672 shares in the company, valued at $1,274,818.24. This trade represents a 3.86% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders purchased 1,383,743 shares of company stock valued at $1,264,565 in the last three months. Corporate insiders own 1.00% of the company’s stock.

Institutional Trading of Mercer International

Hedge funds and other institutional investors have recently made changes to their positions in the business. Millennium Management LLC boosted its holdings in Mercer International by 16.1% during the third quarter. Millennium Management LLC now owns 994,974 shares of the basic materials company’s stock worth $2,866,000 after buying an additional 137,906 shares in the last quarter. Geode Capital Management LLC boosted its position in shares of Mercer International by 2.7% in the 4th quarter. Geode Capital Management LLC now owns 561,001 shares of the basic materials company’s stock valued at $1,111,000 after purchasing an additional 14,603 shares during the period. Gabelli Funds LLC acquired a new stake in shares of Mercer International during the second quarter valued at approximately $1,804,000. Jump Financial LLC boosted 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 worth $969,000 after buying an additional 214,008 shares during the period. Finally, Gamco Investors INC. ET AL purchased a new position in Mercer International during the 2nd quarter valued at about $244,000. 85.79% of the stock is currently owned by institutional investors.

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.