Mercury General (NYSE:MCY) Hits New 12-Month High – Still a Buy?

Mercury General Corporation (NYSE:MCY) reached a new 52-week high during mid-day trading on Monday . The stock traded as high as $95.24 and last traded at $95.58, with a volume of 34761 shares. The stock had previously closed at $93.62.

Analyst Ratings Changes

MCY has been the subject of a number of recent analyst reports. Zacks Research raised Mercury General from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, November 11th. Raymond James Financial reissued a “strong-buy” rating and issued a $100.00 price target (up previously from $90.00) on shares of Mercury General in a report on Monday, September 22nd. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Mercury General in a report on Wednesday, October 8th. Two equities research analysts have rated the stock with a Strong Buy rating and one has given a Buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has an average rating of “Strong Buy” and an average target price of $100.00.

Mercury General Trading Up 1.5%

The company has a current ratio of 0.45, a quick ratio of 0.45 and a debt-to-equity ratio of 0.26. The stock has a 50-day simple moving average of $86.18 and a 200 day simple moving average of $77.59. The company has a market cap of $5.26 billion, a price-to-earnings ratio of 11.98 and a beta of 0.97.

Mercury General (NYSE:MCY) last announced its quarterly earnings data on Tuesday, November 4th. The insurance provider reported $3.86 earnings per share for the quarter, beating analysts’ consensus estimates of $2.15 by $1.71. Mercury General had a return on equity of 19.53% and a net margin of 7.55%.The business had revenue of $1.58 billion for the quarter, compared to analyst estimates of $1.49 billion. As a group, equities research analysts predict that Mercury General Corporation will post -0.5 EPS for the current fiscal year.

Mercury General Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, December 24th. Shareholders of record on Wednesday, December 10th will be given a dividend of $0.3175 per share. The ex-dividend date of this dividend is Wednesday, December 10th. This represents a $1.27 dividend on an annualized basis and a yield of 1.3%. Mercury General’s dividend payout ratio (DPR) is currently 16.02%.

Institutional Trading of Mercury General

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Aster Capital Management DIFC Ltd acquired a new position in Mercury General during the third quarter valued at $34,000. Jones Financial Companies Lllp raised its stake in shares of Mercury General by 236.0% during the 3rd quarter. Jones Financial Companies Lllp now owns 457 shares of the insurance provider’s stock valued at $38,000 after buying an additional 321 shares during the last quarter. Caitlin John LLC acquired a new position in shares of Mercury General in the 3rd quarter valued at about $41,000. Allworth Financial LP lifted its holdings in shares of Mercury General by 18.6% in the 3rd quarter. Allworth Financial LP now owns 753 shares of the insurance provider’s stock valued at $64,000 after buying an additional 118 shares during the period. Finally, State of Wyoming purchased a new stake in shares of Mercury General in the third quarter worth about $72,000. Institutional investors and hedge funds own 42.39% of the company’s stock.

About Mercury General

Mercury General Corporation is a holding company headquartered in Los Angeles, California, that underwrites and markets property and casualty insurance products through its principal subsidiary, Mercury Insurance Company. Established in 1961, the company has built a reputation for offering a broad range of personal and commercial lines, with a focus on automobile coverage. Mercury General operates in key U.S. markets, deploying a mix of independent agents and direct distribution channels to serve policyholders.

The company’s product portfolio includes personal automobile insurance, homeowners and renters policies, as well as commercial automobile, business liability and umbrella insurance.