Mercer International (NASDAQ:MERC) Stock Passes Above Two Hundred Day Moving Average – Time to Sell?

Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U)’s stock price crossed above its 200-day moving average during trading on Wednesday . The stock has a 200-day moving average of $6.59 and traded as high as $6.79. Mercer International shares last traded at $6.68, with a volume of 226,335 shares changing hands.

Wall Street Analysts Forecast Growth

MERC has been the subject of several research analyst reports. Raymond James cut their target price on shares of Mercer International from $7.50 to $7.00 in a research note on Tuesday, January 21st. Royal Bank of Canada reiterated a “sector perform” rating and set a $7.00 price objective on shares of Mercer International in a research note on Monday, November 4th. Finally, StockNews.com upgraded shares of Mercer International from a “sell” rating to a “hold” rating in a research note on Friday, October 18th. Five investment analysts have rated the stock with a hold rating, According to MarketBeat.com, the stock presently has an average rating of “Hold” and an average target price of $8.25.

Mercer International Stock Performance

The firm has a market cap of $446.70 million, a P/E ratio of -2.36 and a beta of 1.29. The company has a quick ratio of 2.39, a current ratio of 3.79 and a debt-to-equity ratio of 3.09. The firm has a fifty day moving average of $6.44 and a 200-day moving average of $6.59.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last posted its quarterly earnings results on Thursday, October 31st. The basic materials company reported ($0.26) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.29) by $0.03. Mercer International had a negative net margin of 9.33% and a negative return on equity of 17.62%. The business had revenue of $502.14 million during the quarter, compared to the consensus estimate of $485.84 million. During the same period in the previous year, the firm posted ($0.39) earnings per share. Mercer International’s revenue for the quarter was up 6.7% compared to the same quarter last year. Research analysts predict that Mercer International Inc. will post -1.44 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Entropy Technologies LP bought a new stake in Mercer International in the third quarter valued at about $75,000. BNP Paribas Financial Markets increased its stake in Mercer International by 22.7% in the third quarter. BNP Paribas Financial Markets now owns 36,661 shares of the basic materials company’s stock valued at $248,000 after purchasing an additional 6,786 shares in the last quarter. Quantbot Technologies LP raised its stake in Mercer International by 505.8% during the 3rd quarter. Quantbot Technologies LP now owns 49,483 shares of the basic materials company’s stock worth $335,000 after buying an additional 41,315 shares during the period. Finally, Geode Capital Management LLC increased its holdings in shares of Mercer International by 1.7% in the third quarter. Geode Capital Management LLC now owns 525,532 shares of the basic materials company’s stock worth $3,559,000 after acquiring an additional 8,957 shares in the last quarter. 85.79% of the stock is currently owned by institutional investors.

About Mercer International

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.