Mercer International (NASDAQ:MERC) Stock Price Passes Above Two Hundred Day Moving Average – Should You Sell?

Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U)’s stock price crossed above its two hundred day moving average during trading on Wednesday . The stock has a two hundred 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.

Wall Street Analysts Forecast Growth

Several brokerages have commented on MERC. Royal Bank of Canada reiterated a “sector perform” rating and issued a $7.00 price target on shares of Mercer International in a research report on Monday, November 4th. Raymond James reduced their target price on shares of Mercer International from $7.50 to $7.00 in a report on Tuesday, January 21st. Finally, StockNews.com raised Mercer International from a “sell” rating to a “hold” rating in a report on Friday, October 18th. Five investment analysts have rated the stock with a hold rating, According to data from MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $8.25.

Mercer International Price Performance

The stock’s fifty day moving average price is $6.44 and its 200-day moving average price is $6.59. The company has a debt-to-equity ratio of 3.09, a current ratio of 3.79 and a quick ratio of 2.39. The firm has a market cap of $446.70 million, a price-to-earnings ratio of -2.36 and a beta of 1.29.

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

Hedge Funds Weigh In On Mercer International

A number of large investors have recently made changes to their positions in the business. Entropy Technologies LP purchased a new position in Mercer International during the third quarter valued at approximately $75,000. BNP Paribas Financial Markets increased its stake in shares of 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 worth $248,000 after acquiring an additional 6,786 shares during the last quarter. Quantbot Technologies LP raised its holdings in shares of Mercer International by 505.8% during the third quarter. Quantbot Technologies LP now owns 49,483 shares of the basic materials company’s stock worth $335,000 after acquiring an additional 41,315 shares in the last quarter. Finally, Geode Capital Management LLC grew its stake in 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 valued at $3,559,000 after purchasing an additional 8,957 shares in the last quarter. Institutional investors and hedge funds own 85.79% of the company’s stock.

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.