Mercer International (NASDAQ:MERC) Issues Earnings Results, Beats Expectations By $0.03 EPS

Mercer International (NASDAQ:MERC) (TSE:MRI.U) posted its earnings results on Thursday. The basic materials company reported ($0.26) EPS for the quarter, topping analysts’ consensus estimates of ($0.29) by $0.03, Briefing.com reports. The company had revenue of $502.14 million for the quarter, compared to the consensus estimate of $485.84 million. Mercer International had a negative return on equity of 17.93% and a negative net margin of 9.90%. Mercer International’s quarterly revenue was up 6.7% compared to the same quarter last year. During the same period in the previous year, the business earned ($0.39) earnings per share.

Mercer International Stock Down 1.2 %

MERC stock traded down $0.08 during mid-day trading on Friday, hitting $6.44. 672,553 shares of the company were exchanged, compared to its average volume of 358,226. The firm has a fifty day simple moving average of $6.47 and a 200 day simple moving average of $7.93. The company has a market capitalization of $430.64 million, a PE ratio of -2.18 and a beta of 1.34. Mercer International has a twelve month low of $5.33 and a twelve month high of $11.20. The company has a current ratio of 3.46, a quick ratio of 2.17 and a debt-to-equity ratio of 3.22.

Mercer International Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, October 3rd. Investors of record on Wednesday, September 25th were paid a $0.075 dividend. This represents a $0.30 annualized dividend and a dividend yield of 4.66%. The ex-dividend date was Wednesday, September 25th. Mercer International’s dividend payout ratio (DPR) is -10.14%.

Insider Transactions at Mercer International

In other news, VP Wolfgang Beck purchased 18,500 shares of the stock in a transaction dated Tuesday, September 3rd. The stock was acquired at an average cost of $6.02 per share, for a total transaction of $111,370.00. Following the acquisition, the vice president now owns 26,263 shares of the company’s stock, valued at $158,103.26. The trade was a 200.00 % increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through this link. In other Mercer International news, VP Wolfgang Beck acquired 18,500 shares of the stock in a transaction that occurred on Tuesday, September 3rd. The stock was acquired at an average price of $6.02 per share, with a total value of $111,370.00. Following the transaction, the vice president now directly owns 26,263 shares in the company, valued at approximately $158,103.26. This represents a 200.00 % increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Richard George Short acquired 6,000 shares of Mercer International stock in a transaction that occurred on Friday, September 6th. The shares were bought at an average price of $5.70 per share, with a total value of $34,200.00. Following the transaction, the chief financial officer now directly owns 51,382 shares in the company, valued at approximately $292,877.40. This trade represents a 0.00 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last 90 days, insiders have purchased 41,300 shares of company stock valued at $252,650. Insiders own 4.20% of the company’s stock.

Analysts Set New Price Targets

A number of equities research analysts recently commented on the stock. CIBC lowered their price objective on shares of Mercer International from $10.00 to $8.50 and set a “neutral” rating on the stock in a research note on Tuesday, August 13th. StockNews.com raised Mercer International from a “sell” rating to a “hold” rating in a research note on Friday, October 18th. Finally, Royal Bank of Canada dropped their price target on Mercer International from $10.00 to $8.00 and set a “sector perform” rating for the company in a research report on Monday, August 12th. Five analysts have rated the stock with a hold rating, Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $9.38.

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.