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MERC

BEARISH
$1.08 Live
Mercer International Inc. · NASDAQ
Target $1.81 (+67.1%)
$1.06 52W Range $5.22

At a glance

Key valuation, profitability, growth, and risk metrics.

Updated Apr 14, 2026
Market cap
$72.68M
P/E
N/A
ROE
-200.0%
Profit margin
-26.7%
Debt/Equity
23.89
Dividend yield
16.04%

AI Analysis

AI-powered fundamental assessment

Confidence
95%
MERC exhibits severe financial distress, anchored by a weak Piotroski F-Score of 2/9 and a catastrophic ROE of -200.02%. The company is heavily over-leveraged with a Debt/Equity ratio of 23.89, suggesting an unsustainable capital structure. Despite a superficially attractive dividend yield of 16.04%, the combination of negative profit margins (-26.65%) and a technical freefall (1Y change of -78.3%) indicates a high risk of capital impairment or dividend suspension. The stock is currently trading near its 52-week low, reflecting a market that has priced in significant fundamental deterioration.

Key Strengths

Extremely low Price-to-Sales ratio (0.04)
Current Ratio of 3.05 suggests short-term liquidity is maintained
Price is trading near book value (P/B 1.07)
Analyst target price ($1.81) remains above current market price
Quick ratio of 1.71 provides a buffer for immediate obligations

Key Risks

Extreme leverage with Debt/Equity at 23.89
Severe profitability collapse with ROE at -200.02%
Negative revenue growth (-8.00% YoY) and crashing EPS (-656% YoY)
Technical trend is completely bearish (0/100 score)
Dividend sustainability is highly questionable given negative earnings
AI Fair Value Estimate
Based on comprehensive analysis
$0.85
-21.7% below current price

Performance Snowflake

Multi-dimensional analysis across 5 key categories

Overall
19
Weak
Value
30
Future
10
Past
5
Health
10
Dividend
40
AI Verdict
High Risk / Value Trap
Key drivers: Extreme Debt/Equity ratio, Negative profitability, Piotroski F-Score of 2/9, Consistent earnings misses
Confidence
90%
Value
30/100

While metrics like P/S look cheap, they are likely a value trap given the negative earnings trajectory.

Positives
  • Low P/S ratio
  • P/B near 1.0
Watchpoints
  • Negative P/E
  • No Graham Number available due to lack of earnings
Future
10/100

Revenue and earnings growth are both trending sharply downward.

Positives
No standout positives identified.
Watchpoints
  • Declining revenue
  • Negative EPS growth
  • 0/4 earnings beats in last year
Past
5/100

Long-term and short-term price performance is catastrophic.

Positives
No standout positives identified.
Watchpoints
  • 5Y change of -92%
  • 1Y change of -78.3%
  • Consistent quarterly earnings misses
Health
10/100

The company is fundamentally unstable with extreme leverage.

Positives
  • Healthy Current Ratio
Watchpoints
  • Piotroski F-Score 2/9
  • Debt/Equity 23.89
  • Negative ROA
Dividend
40/100

The yield is a 'dividend trap' as it is not supported by current profitability.

Positives
  • High nominal yield (16.04%)
Watchpoints
  • Paid out of negative earnings
  • High risk of cut

Stock Price & Analyst Targets

Real-time price movements and analyst price targets

Current Price
$1.08
Analyst Target
$1.81
Upside/Downside
+67.1%

Multi-Horizon Performance vs Peers

Price momentum across 5Y → 1W horizons for MERC and closest competitors.

Updated 2026-04-13
MER
Mercer International Inc.
Primary
5Y
-92.0%
3Y
-87.3%
1Y
-78.3%
6M
-58.3%
1M
-27.2%
1W
-22.5%
BIO
Bioceres Crop Solutions Corp.
Peer
5Y
-85.0%
3Y
-90.1%
1Y
-82.5%
6M
-68.0%
1M
-11.8%
1W
-7.0%
HLP
Hongli Group Inc.
Peer
5Y
-74.6%
3Y
-73.6%
1Y
-10.2%
6M
-46.1%
1M
-12.8%
1W
+5.8%
KBS
FST Corp.
Peer
5Y
-86.6%
3Y
-87.4%
1Y
-35.4%
6M
-21.4%
1M
+0.8%
1W
+1.9%
GRM
Greenland Mines Ltd
Peer
5Y
-96.0%
3Y
-96.1%
1Y
+141.0%
6M
-31.6%
1M
-23.7%
1W
+9.9%

Positive values indicate cumulative gains over the specified period. Comparables pulled from the same sector to highlight whether momentum is stock-specific or industry-wide.

Historical Performance Trends

Long-term financial metrics and growth patterns

Revenue & Net Income

Profit & Operating Margins

Return on Equity (ROE)

Quarterly Revenue Growth

Historical data shows last 12 quarters (3 years)

Valuation Metrics

Key valuation ratios and pricing indicators

P/E Ratio
N/A
Forward P/E
-1.33
PEG Ratio
N/A
P/B Ratio
1.07
P/S Ratio
0.04
EV/Revenue
0.81
EV/EBITDA
-75.91
Market Cap
$72.68M

Profitability

Profit margins and return metrics

Profit Margin -26.65%
Operating Margin -13.86%
Gross Margin 4.93%
ROE -200.02%
ROA -5.23%

Growth

Revenue and earnings growth rates

Revenue Growth -8.0%
Earnings Growth N/A
Q/Q Revenue Growth -7.96%
Q/Q Earnings Growth N/A

Financial Health

Balance sheet strength and liquidity metrics

Debt/Equity
23.89
High debt
Current Ratio
3.05
Strong
Quick Ratio
1.71
Excellent
Cash/Share
$2.79

Financial Statement Flow

Interactive flow visualization showing how money moves through the company Q4 2025

Revenue
$0.4B
Gross Margin
-8.3%
Op. Margin
-14.0%
Net Margin
-68.7%
Total Assets
$2.0B
Liabilities
$2.0B
Equity
$0.1B
Debt/Equity
28.99x
Operating CF
$0.0B
CapEx
$-0.0B
Free Cash Flow
$0.0B
FCF Yield
69%

Quarterly Earnings History

EPS performance vs analyst estimates

2026-04-30
$N/A
2026-02-12
$-1.39
-59.8% surprise
2025-11-06
$-1.21
-31.8% surprise
2025-07-31
$-1.29
-34.9% surprise

Basic Materials Sector Comparison

Comparing MERC against 73 companies in the Basic Materials sector (1 bullish, 29 neutral, 43 bearish)
Return on Equity (ROE)
-200.02%
This Stock
vs
-11.57%
Sector Avg
+1628.3% (Excellent)
Profit Margin
-26.65%
This Stock
vs
-11.1%
Sector Avg
+140.1% (Superior)
Debt to Equity
23.89
This Stock
vs
0.93
Sector Avg
+2476.1% (Higher)
Revenue Growth
-8.0%
This Stock
vs
49.59%
Sector Avg
-116.1% (Slower)
Current Ratio
3.05
This Stock
vs
7.7
Sector Avg
-60.3% (Weaker)

Similar Companies

Peer comparison within the same industry

Recent Insider Trading

Insider buy and sell transactions from the last 6 months

LABERGE ALICE
Director
Buy
2026-02-25
1,000 shares · $1,900
KELLOGG PETER R.
Beneficial Owner of more than 10% of a Class of Security
Buy
2025-11-13
1,014,540 shares · $1,879,939
Insider transactions can signal confidence or concerns about company prospects

Wall Street Analysts

Professional analyst ratings and price targets

Consensus
NONE
4 analysts
TD Securities
2026-02-17
Maintains
Hold Hold
TD Cowen
2026-01-21
down
Hold Sell
RBC Capital
2025-11-10
Maintains
Sector Perform Sector Perform

Past News Coverage

Recent headlines mentioning MERC from our newsroom.

Newest → oldest
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