WSE:MCR

Stock Analysis Report

Executive Summary

Mercor SA manufactures, sells, installs, and maintains passive fire protection systems.


Snowflake Analysis

Solid track record and good value.

Share Price & News

How has Mercor's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

0.4%

MCR

-0.2%

PL Building

0.7%

PL Market


1 Year Return

9.3%

MCR

3.5%

PL Building

-7.1%

PL Market

Return vs Industry: MCR exceeded the Polish Building industry which returned -2.5% over the past year.

Return vs Market: MCR exceeded the Polish Market which returned -7.7% over the past year.


Shareholder returns

MCRIndustryMarket
7 Day0.4%-0.2%0.7%
30 Day2.1%-3.3%-1.7%
90 Day25.6%10.8%-0.2%
1 Year9.3%9.3%6.6%3.5%-4.3%-7.1%
3 Year-13.2%-13.2%-2.0%-8.4%-4.3%-11.1%
5 Year25.0%7.0%-4.4%-15.3%2.7%-10.3%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Mercor undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MCR (PLN9.6) is trading below our estimate of fair value (PLN59.67)

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


Price To Earnings Ratio

PE vs Industry: MCR is good value based on its PE Ratio (7.8x) compared to the Building industry average (8.9x).

PE vs Market: MCR is good value based on its PE Ratio (7.8x) compared to the Polish market (12.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: MCR is overvalued based on its PB Ratio (1x) compared to the PL Building industry average (1x).


Next Steps

Future Growth

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

8.8%

Forecasted Capital Goods 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 Mercor 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.


Next Steps

Past Performance

How has Mercor performed over the past 5 years?

20.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MCR has high quality earnings.

Growing Profit Margin: MCR's current net profit margins (5%) are higher than last year (3.4%).


Past Earnings Growth Analysis

Earnings Trend: MCR's earnings have grown significantly by 20.8% per year over the past 5 years.

Accelerating Growth: MCR's earnings growth over the past year (70%) exceeds its 5-year average (20.8% per year).

Earnings vs Industry: MCR earnings growth over the past year (70%) exceeded the Building industry -22.2%.


Return on Equity

High ROE: MCR's Return on Equity (12.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Mercor's financial position?


Financial Position Analysis

Short Term Liabilities: MCR's short term assets (PLN165.1M) exceed its short term liabilities (PLN103.9M).

Long Term Liabilities: MCR's short term assets (PLN165.1M) exceed its long term liabilities (PLN97.5M).


Debt to Equity History and Analysis

Debt Level: MCR's debt to equity ratio (48.6%) is considered high.

Reducing Debt: MCR's debt to equity ratio has increased from 31.4% to 48.6% over the past 5 years.

Debt Coverage: MCR's debt is well covered by operating cash flow (49.2%).

Interest Coverage: MCR's interest payments on its debt are well covered by EBIT (7.9x coverage).


Balance Sheet

Inventory Level: MCR has a high level of physical assets or inventory.

Debt Coverage by Assets: MCR's debt is covered by short term assets (assets are 2.1x debt).


Next Steps

Dividend

What is Mercor's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

company0%marketbottom25%2.3%markettop25%6.6%industryaverage2.1%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate MCR's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate MCR's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if MCR's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if MCR's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: MCR is not paying a notable dividend for the Polish market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of MCR's dividend in 3 years as they are not forecast to pay a notable one for the Polish market.


Next Steps

Management

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


CEO

Krzysztof Krempec 0

Mr. Krzysztof Krempec serves as the Chairman of the Management Board of Mercor S.a. and served as its Vice-Chairman. 


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

Mercor SA's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Mercor SA
  • Ticker: MCR
  • Exchange: WSE
  • Founded: 1988
  • Industry: Building Products
  • Sector: Capital Goods
  • Market Cap: zł150.635m
  • Shares outstanding: 15.66m
  • Website: https://www.mercor.com.pl

Number of Employees


Location

  • Mercor SA
  • Grzegorza z Sanoka 2
  • Gdansk
  • 80-408
  • Poland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
MCRWSE (Warsaw Stock Exchange)YesCommon StockPLPLNJul 2007
0LW5LSE (London Stock Exchange)YesCommon StockGBPLNJul 2007

Biography

Mercor SA manufactures, sells, installs, and maintains passive fire protection systems. The company provides natural smoke exhausting systems comprising smoke exhaust vents, skylights, roof hatches, ventilation flaps, continuous roof lights, smoke curtains, louvered vents, and control systems; and fire ventilation systems comprising cut-off fire valves, fire dampers, smoke exhaust fans, intake and exhaust fans, control units, overpressure systems for staircases, jet ventilation systems for garages, and explosion-proof technology products. It also offers construction protections, such as fire protection board, magnesium board, spray, sealing, intumescent coating, and spray acoustical coating systems. The company’s products are used in production halls and warehouses, logistics centers, public buildings, commercial buildings, and residential buildings. Mercor SA was founded in 1988 and is headquartered in Gdansk, Poland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/18 21:29
End of Day Share Price2020/02/18 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


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.