Short Interest in Mercer International Inc. (NASDAQ:MERC) Declines By 20.3%

Mercer International Inc. (NASDAQ:MERC) (TSE:MRI.U) was the recipient of a large decrease in short interest in December. As of December 15th, there was short interest totalling 337,500 shares, a decrease of 20.3% from the November 30th total of 423,300 shares. Based on an average daily trading volume, of 394,400 shares, the days-to-cover ratio is currently 0.9 days. Currently, 0.9% of the shares of the stock are short sold.

Mercer International Price Performance

Shares of NASDAQ:MERC remained flat at $6.48 during midday trading on Monday. The stock had a trading volume of 301,865 shares, compared to its average volume of 353,509. The firm has a market cap of $433.32 million, a price-to-earnings ratio of -2.29 and a beta of 1.32. The company’s 50-day moving average is $6.41 and its 200 day moving average is $6.89. Mercer International has a twelve month low of $5.33 and a twelve month high of $11.20. The company has a debt-to-equity ratio of 3.09, a quick ratio of 2.39 and a current ratio of 3.79.

Mercer International (NASDAQ:MERC) (TSE:MRI.U) last posted its quarterly earnings results on Thursday, October 31st. The basic materials company reported ($0.26) EPS for the quarter, beating the consensus estimate of ($0.29) by $0.03. The company had revenue of $502.14 million during the quarter, compared to analysts’ expectations of $485.84 million. Mercer International had a negative return on equity of 17.62% and a negative net margin of 9.33%. The firm’s revenue was up 6.7% on a year-over-year basis. During the same quarter in the previous year, the business earned ($0.39) EPS. Sell-side analysts anticipate that Mercer International will post -1.62 earnings per share for the current fiscal year.

Mercer International Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, December 26th. Investors of record on Wednesday, December 18th were issued a $0.075 dividend. This represents a $0.30 dividend on an annualized basis and a yield of 4.63%. The ex-dividend date of this dividend was Wednesday, December 18th. Mercer International’s payout ratio is currently -10.60%.

Wall Street Analysts Forecast Growth

MERC has been the subject of a number of analyst reports. Royal Bank of Canada reissued a “sector perform” rating and issued a $7.00 price target on shares of Mercer International in a report on Monday, November 4th. StockNews.com upgraded shares of 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 MarketBeat, the stock currently has an average rating of “Hold” and a consensus price target of $9.13.

Institutional Investors Weigh In On Mercer International

Several institutional investors and hedge funds have recently added to or reduced their stakes in MERC. Entropy Technologies LP purchased a new stake in Mercer International during the third quarter worth approximately $75,000. Quantbot Technologies LP boosted its position 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 purchasing an additional 41,315 shares during the period. BNP Paribas Financial Markets increased its holdings in Mercer International by 22.7% in the 3rd 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. Finally, Geode Capital Management LLC increased its holdings in Mercer International by 1.7% in the 3rd 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. 85.79% of the stock is currently owned by institutional investors and hedge funds.

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.