MRC Global (NYSE:MRC) Shares Down 6.4% – Time to Sell?

MRC Global Inc. (NYSE:MRC)’s share price dropped 6.4% on Thursday . The company traded as low as $13.63 and last traded at $13.59. Approximately 587,516 shares traded hands during trading, a decline of 11% from the average daily volume of 659,595 shares. The stock had previously closed at $14.52.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on MRC shares. StockNews.com cut MRC Global from a “strong-buy” rating to a “buy” rating in a research report on Saturday, November 9th. Susquehanna lifted their price target on MRC Global from $16.00 to $17.00 and gave the company a “positive” rating in a research note on Thursday, November 7th. Finally, Stifel Nicolaus upped their price objective on MRC Global from $14.00 to $15.00 and gave the company a “buy” rating in a research note on Tuesday, October 15th.

MRC Global Price Performance

The company has a fifty day simple moving average of $13.70 and a 200 day simple moving average of $13.19. The stock has a market capitalization of $1.13 billion, a price-to-earnings ratio of 15.15 and a beta of 1.97. The company has a debt-to-equity ratio of 0.15, a quick ratio of 1.11 and a current ratio of 1.99.

MRC Global (NYSE:MRC) last issued its quarterly earnings data on Tuesday, November 5th. The oil and gas company reported $0.22 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.19 by $0.03. MRC Global had a return on equity of 19.58% and a net margin of 3.09%. The company had revenue of $797.00 million during the quarter, compared to the consensus estimate of $794.17 million. During the same period last year, the company earned $0.32 earnings per share. The firm’s revenue was down 10.2% compared to the same quarter last year. Equities research analysts forecast that MRC Global Inc. will post 0.86 EPS for the current fiscal year.

MRC Global announced that its Board of Directors has authorized a share buyback program on Friday, January 3rd that allows the company to buyback $125.00 million in shares. This buyback authorization allows the oil and gas company to purchase up to 11% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On MRC Global

Several institutional investors have recently added to or reduced their stakes in MRC. Barclays PLC increased its position in MRC Global by 197.7% in the 3rd quarter. Barclays PLC now owns 151,169 shares of the oil and gas company’s stock valued at $1,927,000 after buying an additional 100,384 shares in the last quarter. JPMorgan Chase & Co. increased its holdings in shares of MRC Global by 12.7% during the third quarter. JPMorgan Chase & Co. now owns 156,332 shares of the oil and gas company’s stock valued at $1,992,000 after acquiring an additional 17,609 shares in the last quarter. Allspring Global Investments Holdings LLC raised its position in shares of MRC Global by 20.4% during the third quarter. Allspring Global Investments Holdings LLC now owns 15,575 shares of the oil and gas company’s stock worth $198,000 after purchasing an additional 2,639 shares during the period. Geode Capital Management LLC lifted its holdings in shares of MRC Global by 1.7% in the 3rd quarter. Geode Capital Management LLC now owns 1,956,725 shares of the oil and gas company’s stock worth $24,934,000 after purchasing an additional 32,760 shares in the last quarter. Finally, Intech Investment Management LLC acquired a new stake in MRC Global in the 3rd quarter valued at $193,000. 94.97% of the stock is owned by institutional investors and hedge funds.

MRC Global Company Profile

MRC Global Inc, through its subsidiaries, distributes pipes, valves, fittings, and other infrastructure products and services in the United States, Canada, and internationally. It offers ball, butterfly, gate, globe, check, diaphragm, needle, and plug valves; other products, such as lined corrosion resistant piping systems, control valves, valve automation, and top work components; and valve modification services, including valve control extensions, welding, hydrotesting, painting, coating, x-raying, and actuation assembly.