Mercer International (NASDAQ:MERC) Downgraded to “Sell” Rating by TD Cowen

TD Cowen downgraded shares of Mercer International (NASDAQ:MERC) (TSE:MRI.U) from a hold rating to a sell rating in a research report released on Wednesday morning, Marketbeat reports. TD Cowen currently has $2.25 price objective on the basic materials company’s stock, up from their prior price objective of $2.00.

MERC has been the topic of a number of other reports. Weiss Ratings reaffirmed a “sell (e+)” rating on shares of Mercer International in a research note on Monday, December 29th. Royal Bank Of Canada decreased their price objective on Mercer International from $3.00 to $2.00 and set a “sector perform” rating on the stock in a report on Monday, November 10th. Three investment analysts have rated the stock with a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, Mercer International currently has a consensus rating of “Reduce” and a consensus price target of $3.10.

Mercer International Stock Down 2.4%

MERC stock opened at $2.48 on Wednesday. Mercer International has a 52 week low of $1.48 and a 52 week high of $8.28. The company has a quick ratio of 1.68, a current ratio of 3.01 and a debt-to-equity ratio of 4.30. The firm has a 50-day simple moving average of $2.04 and a 200-day simple moving average of $2.65. The stock has a market capitalization of $166.11 million, a P/E ratio of -0.96 and a beta of 0.69.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last issued its quarterly earnings results on Thursday, November 6th. The basic materials company reported ($0.97) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.89) by ($0.08). Mercer International had a negative net margin of 9.04% and a negative return on equity of 37.38%. The company had revenue of $458.07 million during the quarter, compared to analysts’ expectations of $482.70 million. Equities analysts forecast that Mercer International will post -0.29 earnings per share for the current fiscal year.

Insider Transactions at Mercer International

In other news, major shareholder Peter R. Kellogg bought 225,000 shares of Mercer International stock in a transaction on Thursday, November 13th. The shares were bought at an average cost of $1.73 per share, with a total value of $389,250.00. Following the completion of the purchase, the insider directly owned 1,320,000 shares of the company’s stock, valued at approximately $2,283,600. This trade represents a 20.55% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Insiders have bought 1,007,718 shares of company stock worth $1,860,644 in the last ninety days. 1.00% of the stock is currently owned by company insiders.

Institutional Trading of Mercer International

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Gamco Investors INC. ET AL purchased a new stake in shares of Mercer International during the 2nd quarter valued at approximately $244,000. Jump Financial LLC increased its stake 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 worth $969,000 after acquiring an additional 214,008 shares during the last quarter. Gabelli Funds LLC acquired a new stake in Mercer International during the second quarter worth $1,804,000. Millennium Management LLC raised its position in 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 purchasing an additional 137,906 shares during the period. Finally, Iat Reinsurance Co. LTD. lifted its stake in shares of Mercer International by 1.3% in the 3rd quarter. Iat Reinsurance Co. LTD. now owns 16,700,000 shares of the basic materials company’s stock valued at $48,096,000 after purchasing an additional 220,000 shares during the last quarter. Institutional investors and hedge funds own 85.79% of the company’s stock.

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.