Mercer International Stock Buy Hold or Sell Recommendation

MERC Stock  USD 6.24  0.08  1.30%   
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Mercer International is 'Cautious Hold'. Macroaxis provides Mercer International buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding MERC positions.
  
Check out Mercer International Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
For information on how to trade Mercer Stock refer to our How to Trade Mercer Stock guide.
In addition, we conduct extensive research on individual companies such as Mercer and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Mercer International. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.

Execute Mercer International Buy or Sell Advice

The Mercer recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Mercer International. Macroaxis does not own or have any residual interests in Mercer International or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Mercer International's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Mercer InternationalBuy Mercer International
Cautious Hold

Market Performance

Very WeakDetails

Volatility

Slightly riskyDetails

Hype Condition

StaleDetails

Current Valuation

UndervaluedDetails

Odds Of Distress

Below AverageDetails

Economic Sensitivity

Slowly supersedes the marketDetails

Investor Sentiment

ExcitedDetails

Analyst Consensus

HoldDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Possible ManipulatorDetails
For the selected time horizon Mercer International has a Mean Deviation of 2.24, Semi Deviation of 3.23, Standard Deviation of 3.49, Variance of 12.18, Downside Variance of 11.62 and Semi Variance of 10.42
We provide investment recommendation to complement the last-minute expert consensus on Mercer International. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the entity's potential to grow using all technical and fundamental data available at the time. To make sure Mercer International is not overpriced, please verify all Mercer International fundamentals, including its price to sales, debt to equity, number of employees, as well as the relationship between the net income and short ratio . Given that Mercer International has a price to earning of 3.05 X, we recommend you to check Mercer International market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Mercer International Trading Alerts and Improvement Suggestions

Mercer International had very high historical volatility over the last 90 days
The company reported the previous year's revenue of 2.04 B. Net Loss for the year was (85.14 M) with profit before overhead, payroll, taxes, and interest of 359.9 M.
About 55.0% of the company shares are owned by institutional investors
Latest headline from patch.com: Disposition of 3155 shares by Heine Eric Xavier of Mercer International at 6.2605 subject to Rule 16b-3

Mercer International Returns Distribution Density

The distribution of Mercer International's historical returns is an attempt to chart the uncertainty of Mercer International's future price movements. The chart of the probability distribution of Mercer International daily returns describes the distribution of returns around its average expected value. We use Mercer International price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Mercer International returns is essential to provide solid investment advice for Mercer International.
Mean Return
0.04
Value At Risk
-4.78
Potential Upside
2.92
Standard Deviation
3.49
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Mercer International historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Mercer Stock Institutional Investors

Shares
Gates Capital Management Inc2024-12-31
M
Vanguard Group Inc2024-12-31
794.4 K
Pictet Asset Manangement Sa2024-12-31
731.3 K
Charles Schwab Investment Management Inc2024-12-31
627.8 K
American Century Companies Inc2024-12-31
616.6 K
Keeley-teton Advisors, Llc2024-12-31
599.6 K
Citadel Advisors Llc2024-12-31
568.6 K
Geode Capital Management, Llc2024-12-31
524.2 K
Hotchkis & Wiley Capital Management Llc2024-12-31
503.4 K
Iat Reinsurance Co Ltd2024-12-31
16.5 M
Boundary Creek Advisors Lp2024-12-31
4.2 M
Note, although Mercer International's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Mercer International Cash Flow Accounts

202020212022202320242025 (projected)
Change In Cash10.0M(15.5M)8.4M(40.0M)(129.1M)(122.6M)
Free Cash Flow(37.6M)21.4M181.4M(205.3M)5.9M3.5M
Depreciation128.9M132.2M144.2M172.5M170.8M179.3M
Other Non Cash Items21.2M12.7M(19.3M)95.2M36.4M38.2M
Capital Expenditures79.2M160.8M179.2M136.3M84.3M77.4M
Net Income(17.2M)171.0M247.0M(242.1M)(85.1M)(80.9M)
End Period Cash Flow361.1M345.6M354.0M314.0M184.9M135.7M
Dividends Paid21.9M17.2M19.8M20.0M20.1M17.8M
Change To Inventory(11.4M)(96.4M)(63.2M)(15.8M)23.9M25.1M
Net Borrowings43.2M52.7M17.0M105.3M121.1M127.2M
Change To Netincome21.0M6.8M33.9M(5.5M)(6.4M)(6.0M)
Investments17.5M(187.1M)(425.7M)(153.7M)(67.0M)(70.3M)

Mercer International Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Mercer International or Paper & Forest Products sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Mercer International's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Mercer stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
0.07
β
Beta against Dow Jones0.38
σ
Overall volatility
3.47
Ir
Information ratio 0.04

Mercer International Volatility Alert

Mercer International shows above-average downside volatility for the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Mercer International's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Mercer International's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Mercer International Fundamentals Vs Peers

Comparing Mercer International's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Mercer International's direct or indirect competition across all of the common fundamentals between Mercer International and the related equities. This way, we can detect undervalued stocks with similar characteristics as Mercer International or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Mercer International's fundamental indicators could also be used in its relative valuation, which is a method of valuing Mercer International by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Mercer International to competition
FundamentalsMercer InternationalPeer Average
Return On Equity-0.16-0.31
Return On Asset0.0189-0.14
Profit Margin(0.04) %(1.27) %
Operating Margin0.10 %(5.51) %
Current Valuation1.72 B16.62 B
Shares Outstanding66.87 M571.82 M
Shares Owned By Insiders37.92 %10.09 %
Shares Owned By Institutions55.06 %39.21 %
Number Of Shares Shorted523.54 K4.71 M
Price To Earning3.05 X28.72 X
Price To Book0.97 X9.51 X
Price To Sales0.20 X11.42 X
Revenue2.04 B9.43 B
Gross Profit359.9 M27.38 B
EBITDA15.01 M3.9 B
Net Income(85.14 M)570.98 M
Cash And Equivalents362.25 M2.7 B
Cash Per Share5.48 X5.01 X
Total Debt1.48 B5.32 B
Debt To Equity1.89 %48.70 %
Current Ratio3.39 X2.16 X
Book Value Per Share6.43 X1.93 K
Cash Flow From Operations90.2 M971.22 M
Short Ratio1.54 X4.00 X
Earnings Per Share(1.27) X3.12 X
Price To Earnings To Growth1.54 X4.89 X
Target Price7.38
Number Of Employees3.58 K18.84 K
Beta1.23-0.15
Market Capitalization417.27 M19.03 B
Total Asset2.26 B29.47 B
Retained Earnings230.91 M9.33 B
Working Capital653.47 M1.48 B
Note: Acquisition by Rettig Rainer of 2570 shares of Mercer International subject to Rule 16b-3 [view details]

Mercer International Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Mercer . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Mercer International Buy or Sell Advice

When is the right time to buy or sell Mercer International? Buying financial instruments such as Mercer Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Mercer International in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Cleaning Theme or any other thematic opportunities.
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When determining whether Mercer International offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Mercer International's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Mercer International Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Mercer International Stock:
Check out Mercer International Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
For information on how to trade Mercer Stock refer to our How to Trade Mercer Stock guide.
You can also try the Stock Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.
Is Paper & Forest Products space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Mercer International. If investors know Mercer will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Mercer International listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.73)
Dividend Share
0.3
Earnings Share
(1.27)
Revenue Per Share
30.579
Quarterly Revenue Growth
0.038
The market value of Mercer International is measured differently than its book value, which is the value of Mercer that is recorded on the company's balance sheet. Investors also form their own opinion of Mercer International's value that differs from its market value or its book value, called intrinsic value, which is Mercer International's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Mercer International's market value can be influenced by many factors that don't directly affect Mercer International's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Mercer International's value and its price as these two are different measures arrived at by different means. Investors typically determine if Mercer International is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Mercer International's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.