OTCPK:MINX.F

Stock Analysis Report

Executive Summary

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


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: MINX.F has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

MINX.F

0.4%

US Capital Markets

0.06%

US Market


1 Year Return

n/a

MINX.F

17.9%

US Capital Markets

19.3%

US Market

Return vs Industry: Insufficient data to determine how MINX.F performed against the US Capital Markets industry.

Return vs Market: Insufficient data to determine how MINX.F performed against the US Market.


Shareholder returns

MINX.FIndustryMarket
7 Day0%0.4%0.06%
30 Dayn/a0.7%1.7%
90 Dayn/a6.9%9.0%
1 Yearn/a20.2%17.9%21.8%19.3%
3 Yearn/a40.2%32.4%49.5%39.9%
5 Yearn/a84.5%67.4%73.1%54.1%

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?

1.16x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: MINX.F ($3.52) is trading above our estimate of fair value ($1.38)

Significantly Below Fair Value: MINX.F is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: MINX.F is unprofitable, so we can't compare its PE Ratio to the Capital Markets industry average.

PE vs Market: MINX.F is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: MINX.F is good value based on its PB Ratio (1.2x) compared to the US Capital Markets industry average (6.8x).

Future Growth

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

8.5%

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?

-12.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MINX.F is currently unprofitable.

Growing Profit Margin: MINX.F is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: MINX.F is unprofitable, and losses have increased over the past 5 years at a rate of -12% per year.

Accelerating Growth: Unable to compare MINX.F's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: MINX.F is unprofitable, making it difficult to compare its past year earnings growth to the Capital Markets industry (8.4%).


Return on Equity

High ROE: MINX.F has a negative Return on Equity (-2.16%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed

Financial Health

How is Mercantile Investment Trust's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: MINX.F has a low level of unsold assets or inventory.

Debt Coverage by Assets: MINX.F's debt is covered by short term assets (assets are 1.1x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: MINX.F has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: MINX.F has been profitable on average in the past, therefore cash runway is not a concern.


Financial Institutions Analysis

Asset Level: MINX.F's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if MINX.F has a sufficient allowance for bad loans.

Low Risk Liabilities: MINX.F reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if MINX.F has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MINX.F has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if MINX.F has an appropriate level of bad loans.

Dividend

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

2.26%

Current Dividend Yield


Dividend Yield vs Market

company2.3%marketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Yearsn/a

Current dividend yield vs market & industry

Notable Dividend: MINX.F's dividend (2.26%) is higher than the bottom 25% of dividend payers in the US market (1.44%).

High Dividend: MINX.F's dividend (2.26%) is low compared to the top 25% of dividend payers in the US market (3.71%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: MINX.F is paying a dividend but the company is unprofitable.


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?

13.1yrs

Average board tenure


CEO

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


Board Members

NamePositionTenureCompensationOwnership
Helen James
Director8.4yrsno data0.00082% £23.4k
Ian S. Russell
Non-Executive Director13.1yrsUK£2.08kno data
Hamish Melville
Chairman16.4yrsUK£25.00kno data
Jeremy Tigue
Director7.9yrsno data0.021% £604.4k
Alisdair Gordon Nairn
Director16.2yrsUK£18.00kno data

13.1yrs

Average Tenure

59yo

Average Age

Experienced Board: MINX.F's board of directors are seasoned and experienced ( 13.1 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

  • Name: The Mercantile Investment Trust plc
  • Ticker: MINX.F
  • Exchange: OTCPK
  • Founded: 1884
  • Industry: Asset Management and Custody Banks
  • Sector: Diversified Financials
  • Market Cap: UK£2.204b
  • Listing Market Cap: UK£2.854b
  • Shares outstanding: 791.52m
  • Website: https://am.jpmorgan.co.uk/investment-trusts/trusts/mercantile-it.aspx?isin=GB0005794036

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
MRCLSE (London Stock Exchange)Ord Gbp0.025GBGBPMay 2018

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 public equity markets of the United Kingdoms. The fund spreads its investments across diversified sectors. It invests in the stocks of mid and small cap companies. The fund benchmarks the performance of its portfolio against the FTSE All Share (ex FTSE 100, ex Inv Companies) Index. It was formerly known as JP Morgan Fleming Mercantile Investment Trust plc. The Mercantile Investment Trust plc was formed in December 1884 and is domiciled in the United Kingdoms. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/21 00:53
End of Day Share Price2020/02/14 00:00
Earnings2019/07/31
Annual Earnings2019/01/31


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.