LSE:MRC

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Executive Summary

The Mercantile Investment Trust plc is an open ended equity mutual fund launched and managed by JPMorgan Funds Limited. More Details

Rewards


Snowflake Analysis

Share Price & News

How has Mercantile Investment Trust's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: MRC has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.8%

MRC

-2.6%

GB Capital Markets

-1.9%

GB Market


1 Year Return

-11.8%

MRC

-0.9%

GB Capital Markets

-16.2%

GB Market

Return vs Industry: MRC underperformed the UK Capital Markets industry which returned 0.1% over the past year.

Return vs Market: MRC exceeded the UK Market which returned -14.8% over the past year.


Shareholder returns

MRCIndustryMarket
7 Day0.8%-2.6%-1.9%
30 Day14.1%-0.2%0.7%
90 Day3.2%-2.6%-4.8%
1 Year-8.8%-11.8%2.5%-0.9%-13.0%-16.2%
3 Year3.6%-5.1%20.7%6.3%-9.4%-20.6%
5 Year31.8%14.8%60.8%31.5%13.5%-12.0%

Price Volatility Vs. Market

How volatile is Mercantile Investment Trust's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Mercantile Investment Trust undervalued compared to its fair value and its price relative to the market?

50.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MRC (£1.98) is trading below our estimate of fair value (£3.96)

Significantly Below Fair Value: MRC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MRC is good value based on its PE Ratio (3.2x) compared to the GB Capital Markets industry average (17.1x).

PE vs Market: MRC is good value based on its PE Ratio (3.2x) compared to the UK market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate MRC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: MRC is good value based on its PB Ratio (0.7x) compared to the GB Capital Markets industry average (1.3x).

Future Growth

How is Mercantile Investment Trust forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.6%

Forecasted Diversified Financials industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Mercantile Investment Trust has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

How has Mercantile Investment Trust performed over the past 5 years?

-2.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MRC has a high level of non-cash earnings.

Growing Profit Margin: MRC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: MRC's earnings have declined by 2.4% per year over the past 5 years.

Accelerating Growth: MRC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: MRC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Capital Markets industry (0.9%).


Return on Equity

High ROE: MRC's Return on Equity (22.1%) is considered high.

Financial Health

How is Mercantile Investment Trust's financial position?


Financial Position Analysis

Short Term Liabilities: MRC's short term assets (£77.0M) exceed its short term liabilities (£5.9M).

Long Term Liabilities: MRC's short term assets (£77.0M) do not cover its long term liabilities (£177.9M).


Debt to Equity History and Analysis

Debt Level: MRC's debt to equity ratio (8.1%) is considered satisfactory.

Reducing Debt: MRC's debt to equity ratio has reduced from 10.3% to 8.1% over the past 5 years.

Debt Coverage: MRC's debt is well covered by operating cash flow (25.8%).

Interest Coverage: MRC's interest payments on its debt are well covered by EBIT (45.1x coverage).


Balance Sheet

Dividend

What is Mercantile Investment Trust current dividend yield, its reliability and sustainability?

3.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MRC's dividend (3.33%) is higher than the bottom 25% of dividend payers in the UK market (1.83%).

High Dividend: MRC's dividend (3.33%) is low compared to the top 25% of dividend payers in the UK market (5.32%).


Stability and Growth of Payments

Stable Dividend: MRC's dividends per share have been stable in the past 10 years.

Growing Dividend: MRC's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (10.8%), MRC's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.

Management

How experienced are the management team and are they aligned to shareholders interests?

11.4yrs

Average board tenure


CEO

Mercantile Investment Trust has no CEO, or we have no data on them.


Board Members

NamePositionTenureCompensationOwnership
Helen James
Director9.08yrsUK£33.00k0.00082%
£ 12.8k
Ian S. Russell
Non-Executive Director13.75yrsUK£2.08kno data
Hamish Melville
Chairman17.08yrsUK£25.00kno data
Harry Michael Morley
Non-Executive Director6.42yrsno data0.0050%
£ 78.7k
Jeremy Tigue
Director8.58yrsUK£33.00k0.022%
£ 339.5k
Alisdair Gordon Nairn
Director16.83yrsUK£33.00kno data

11.4yrs

Average Tenure

59yo

Average Age

Experienced Board: MRC's board of directors are seasoned and experienced ( 11.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

The Mercantile Investment Trust plc's company bio, employee growth, exchange listings and data sources


Key Information


Location

  • The Mercantile Investment Trust plc
  • 20 Finsbury Street
  • Finsbury Dials
  • London
  • Greater London
  • EC2Y 9AQ
  • United Kingdom

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MRCLSE (London Stock Exchange)YesOrdinary SharesGBGBPJan 1992
MINX.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
MRCLBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBGBPJan 1992

Biography

The Mercantile Investment Trust plc is an open ended equity mutual fund launched and managed by JPMorgan Funds Limited. The fund is co-managed by JPMorgan Asset Management (UK) Limited. It invests in the p ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/21 21:13
End of Day Share Price2020/10/21 00:00
Earnings2020/01/31
Annual Earnings2020/01/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.