Canadian Imperial Bank of Commerce Issues Pessimistic Forecast for Mercer International (NASDAQ:MERC) Stock Price

Mercer International (NASDAQ:MERC) (TSE:MRI.U) had its price target lowered by Canadian Imperial Bank of Commerce from $1.50 to $1.00 in a report issued on Tuesday,Benzinga reports. The brokerage presently has a “neutral” rating on the basic materials company’s stock. Canadian Imperial Bank of Commerce’s target price points to a potential upside of 47.38% from the company’s current price.

Several other research analysts also recently issued reports on the stock. Weiss Ratings reiterated a “sell (e+)” rating on shares of Mercer International in a report on Wednesday, June 24th. Royal Bank Of Canada cut their price objective on Mercer International from $1.00 to $0.75 and set a “sector perform” rating on the stock in a report on Friday, July 17th. Wall Street Zen lowered Mercer International from a “sell” rating to a “strong sell” rating in a research report on Saturday, July 18th. Finally, TD reaffirmed a “sell” rating on shares of Mercer International in a report on Tuesday, July 14th. Two research analysts have rated the stock with a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Strong Sell” and an average target price of $1.20.

Mercer International Trading Up 1.3%

Shares of Mercer International stock opened at $0.68 on Tuesday. The firm has a market capitalization of $45.45 million, a PE ratio of -0.09 and a beta of 0.52. The company has a current ratio of 2.17, a quick ratio of 1.22 and a debt-to-equity ratio of 23.58. The firm’s 50 day moving average is $0.81 and its 200 day moving average is $1.37. Mercer International has a 1 year low of $0.53 and a 1 year high of $4.47.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last released its quarterly earnings data on Thursday, May 7th. The basic materials company reported ($0.78) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.74) by ($0.04). Mercer International had a negative return on equity of 136.20% and a negative net margin of 28.51%.The company had revenue of $489.30 million for the quarter, compared to analyst estimates of $493.00 million. Equities research analysts forecast that Mercer International will post -2.21 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Peter R. Kellogg bought 51,441 shares of the firm’s stock in a transaction on Friday, June 12th. The stock was acquired at an average price of $0.92 per share, with a total value of $47,325.72. Following the transaction, the insider owned 1,385,672 shares of the company’s stock, valued at $1,274,818.24. This trade represents a 3.86% increase in their position. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Insiders purchased 1,383,743 shares of company stock valued at $1,264,565 in the last quarter. Corporate insiders own 1.20% of the company’s stock.

Institutional Investors Weigh In On Mercer International

Several large investors have recently modified their holdings of the company. Gamco Investors INC. ET AL bought a new position in Mercer International during the second quarter worth $244,000. Jump Financial LLC boosted its position in Mercer International by 340.6% during the second quarter. Jump Financial LLC now owns 276,837 shares of the basic materials company’s stock valued at $969,000 after acquiring an additional 214,008 shares during the last quarter. Gabelli Funds LLC bought a new stake in Mercer International during the second quarter valued at $1,804,000. Geode Capital Management LLC grew its holdings in Mercer International by 2.7% during the 4th quarter. Geode Capital Management LLC now owns 561,001 shares of the basic materials company’s stock worth $1,111,000 after acquiring an additional 14,603 shares during the period. Finally, Millennium Management LLC grew its holdings in Mercer International by 16.1% during the 3rd quarter. Millennium Management LLC now owns 994,974 shares of the basic materials company’s stock worth $2,866,000 after acquiring an additional 137,906 shares during the period. 85.79% of the stock is currently owned by institutional investors and hedge funds.

About Mercer International

Mercer International Inc is a publicly traded pulp producer headquartered in Vancouver, British Columbia. Listed on the NASDAQ under the symbol MERC, the company specializes in the manufacture of Northern Bleached Softwood Kraft (NBSK) pulp and dissolving pulp for use in tissue, specialty paper and textile applications.

Mercer’s core business activities include the operation of integrated pulp mills in North America and Europe. Its production portfolio encompasses NBSK pulp, renowned for its strength and versatility, and dissolving pulp, which serves as a key raw material in the manufacture of viscose, cellulose acetate and other specialty products.

The company’s facilities are located in British Columbia and the U.S.