Mercury General Co. (NYSE:MCY) Sees Significant Increase in Short Interest

Mercury General Co. (NYSE:MCY) was the recipient of a large increase in short interest in December. As of December 15th, there was short interest totalling 1,040,000 shares, an increase of 29.5% from the November 30th total of 803,000 shares. Approximately 3.9% of the shares of the company are sold short. Based on an average daily trading volume, of 261,300 shares, the short-interest ratio is currently 4.0 days.

Mercury General Price Performance

MCY stock opened at $66.61 on Tuesday. The company has a debt-to-equity ratio of 0.31, a quick ratio of 0.33 and a current ratio of 0.33. The company’s fifty day moving average price is $72.08 and its 200-day moving average price is $63.79. Mercury General has a one year low of $36.96 and a one year high of $80.72. The company has a market capitalization of $3.69 billion, a PE ratio of 6.60 and a beta of 0.84.

Mercury General (NYSE:MCY) last announced its quarterly earnings results on Tuesday, October 29th. The insurance provider reported $2.54 EPS for the quarter, topping the consensus estimate of $1.15 by $1.39. The business had revenue of $1.53 billion for the quarter, compared to analysts’ expectations of $1.37 billion. Mercury General had a net margin of 10.18% and a return on equity of 18.04%. During the same quarter in the previous year, the company earned $1.14 EPS. On average, equities analysts anticipate that Mercury General will post 6.35 EPS for the current fiscal year.

Mercury General Cuts Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, December 26th. Investors of record on Thursday, December 12th were paid a dividend of $0.317 per share. This represents a $1.27 dividend on an annualized basis and a yield of 1.90%. The ex-dividend date was Thursday, December 12th. Mercury General’s payout ratio is presently 12.59%.

Insider Activity at Mercury General

In other Mercury General news, VP Heidi C. Sullivan sold 1,076 shares of the firm’s stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $77.28, for a total transaction of $83,153.28. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. 35.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Mercury General

A number of large investors have recently added to or reduced their stakes in MCY. National Bank of Canada FI bought a new position in shares of Mercury General during the 2nd quarter valued at approximately $32,000. Allworth Financial LP raised its stake in Mercury General by 1,190.5% during the third quarter. Allworth Financial LP now owns 542 shares of the insurance provider’s stock valued at $34,000 after purchasing an additional 500 shares in the last quarter. Quarry LP lifted its position in Mercury General by 112.0% during the second quarter. Quarry LP now owns 1,215 shares of the insurance provider’s stock valued at $65,000 after purchasing an additional 642 shares during the last quarter. Blue Trust Inc. grew its stake in shares of Mercury General by 72.0% in the 3rd quarter. Blue Trust Inc. now owns 1,151 shares of the insurance provider’s stock worth $72,000 after buying an additional 482 shares in the last quarter. Finally, CWM LLC increased its holdings in shares of Mercury General by 115.8% in the 3rd quarter. CWM LLC now owns 1,215 shares of the insurance provider’s stock worth $77,000 after buying an additional 652 shares during the last quarter. Institutional investors own 42.39% of the company’s stock.

Wall Street Analysts Forecast Growth

Separately, StockNews.com downgraded Mercury General from a “strong-buy” rating to a “buy” rating in a research note on Thursday, December 26th.

Mercury General Company Profile

Mercury General Corporation, together with its subsidiaries, engages in writing personal automobile insurance in the United States. The company also writes homeowners, commercial automobile, commercial property, mechanical protection, and umbrella insurance products. Its automobile insurance products include collision, property damage, bodily injury, comprehensive, personal injury protection, underinsured and uninsured motorist, and other hazards; and homeowners insurance products comprise dwelling, liability, personal property, and other coverages.