Mercury General Corporation, together with its subsidiaries, engages in writing personal automobile insurance in the United States. More Details
6 star dividend payer with proven track record.
Share Price & News
How has Mercury General's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MCY is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: MCY's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: MCY exceeded the US Insurance industry which returned 43.2% over the past year.
Return vs Market: MCY exceeded the US Market which returned 53.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Mercury General's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall StHere's Why I Think Mercury General (NYSE:MCY) Is An Interesting Stock
1 month ago | Simply Wall StHave Mercury General Corporation (NYSE:MCY) Insiders Been Selling Their Stock?
1 month ago | Simply Wall StHere's What We Like About Mercury General's (NYSE:MCY) Upcoming Dividend
Is Mercury General undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: MCY ($66.14) is trading above our estimate of fair value ($54.64)
Significantly Below Fair Value: MCY is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: MCY is good value based on its PE Ratio (9.8x) compared to the US Insurance industry average (14.8x).
PE vs Market: MCY is good value based on its PE Ratio (9.8x) compared to the US market (22.5x).
Price to Earnings Growth Ratio
PEG Ratio: MCY's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: MCY is overvalued based on its PB Ratio (1.8x) compared to the US Insurance industry average (1.1x).
How is Mercury General forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MCY's earnings are forecast to decline over the next 3 years (-35.6% per year).
Earnings vs Market: MCY's earnings are forecast to decline over the next 3 years (-35.6% per year).
High Growth Earnings: MCY's earnings are forecast to decline over the next 3 years.
Revenue vs Market: MCY's revenue is expected to decline over the next 3 years (-0.3% per year).
High Growth Revenue: MCY's revenue is forecast to decline over the next 3 years (-0.3% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if MCY's Return on Equity is forecast to be high in 3 years time
How has Mercury General performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MCY has high quality earnings.
Growing Profit Margin: MCY's current net profit margins (9.9%) are higher than last year (8%).
Past Earnings Growth Analysis
Earnings Trend: MCY's earnings have grown significantly by 27.3% per year over the past 5 years.
Accelerating Growth: MCY's earnings growth over the past year (18.1%) is below its 5-year average (27.3% per year).
Earnings vs Industry: MCY earnings growth over the past year (18.1%) exceeded the Insurance industry -9.8%.
Return on Equity
High ROE: MCY's Return on Equity (18.4%) is considered low.
How is Mercury General's financial position?
Financial Position Analysis
Short Term Liabilities: MCY's short term assets ($1.4B) do not cover its short term liabilities ($2.9B).
Long Term Liabilities: MCY's short term assets ($1.4B) do not cover its long term liabilities ($1.4B).
Debt to Equity History and Analysis
Debt Level: MCY's debt to equity ratio (18.3%) is considered satisfactory.
Reducing Debt: MCY's debt to equity ratio has increased from 16.6% to 18.3% over the past 5 years.
Debt Coverage: MCY's debt is well covered by operating cash flow (162.6%).
Interest Coverage: MCY's interest payments on its debt are well covered by EBIT (27.9x coverage).
What is Mercury General current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MCY's dividend (3.83%) is higher than the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: MCY's dividend (3.83%) is in the top 25% of dividend payers in the US market (3.46%)
Stability and Growth of Payments
Stable Dividend: MCY's dividends per share have been stable in the past 10 years.
Growing Dividend: MCY's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (37.3%), MCY's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MCY's dividends in 3 years are forecast to be covered by earnings (72% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Gabe Tirador (55 yo)
Mr. Gabriel Tirador, also known as Gabe, has been the President of California Automobile Insurance Company and Mercury General Corporation since October 2001 and has been its Chief Executive Officer since ...
CEO Compensation Analysis
Compensation vs Market: Gabe's total compensation ($USD2.88M) is below average for companies of similar size in the US market ($USD5.16M).
Compensation vs Earnings: Gabe's compensation has increased by more than 20% in the past year.
Experienced Management: MCY's management team is seasoned and experienced (13.3 years average tenure).
Experienced Board: MCY's board of directors are considered experienced (4.2 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: MCY insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Mercury General Corporation's company bio, employee growth, exchange listings and data sources
- Name: Mercury General Corporation
- Ticker: MCY
- Exchange: NYSE
- Founded: 1961
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$3.662b
- Shares outstanding: 55.37m
- Website: https://www.mercuryinsurance.com
Number of Employees
- Mercury General Corporation
- 4484 Wilshire Boulevard
- Los Angeles
- United States
Mercury General Corporation, together with its subsidiaries, engages in writing personal automobile insurance in the United States. It also writes homeowners, commercial automobile, commercial property, me...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/19 22:52|
|End of Day Share Price||2021/04/19 00:00|
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.